monitoring for results and results reporting

1

PROJECT

“Development of a robust standardization, quality assurance,

accreditation and metrology (SQAM) infrastructure in

Malawi”

UNDP Project ID 00069207

INTERIM PROGRESS REPORT

July - December 2015

United Nations Development Programme

(UNDP)

Date of Report

-4 February 2016-

CONTENTS

Acronyms ........................................................................................................................ 3

Executive Summary ........................................................................................................ 4

A. Situational Background/Context ...................................................................... 6

B. Assessment of Project Results During the Reporting Period .......................... 7

C. Financial Status and Utilization ..................................................................... 18

D. Lessons Learned ............................................................................................ 21

E. Conclusion ..................................................................................................... 22

F. Future Work Plan ........................................................................................... 23

Annex I.......................................................................................................................... 24

2015 INTERIM REPORT

(JULY-DECEMBER 2015)

Development of a Robust SQAM

Infrastructure in Malawi Project

ACRONYMS

AWP Annual Work Plan

COMESA Common Market for Eastern and Southern Africa

CTA Chief Technical Advisor

DHRM&D Department of Human Resources, Management and

Development

DTIS Diagnostic Trade Integration Study

ERP Enterprise Resource Planning

EU European Union

HQ Headquarters

IE International Expert

MATCB “Malawi: Market access and trade capacity building support for

agro-industrial products”

MBS Malawi Bureau of Standards

MDGs Millennium Development Goals

MGDS Malawi Growth and Development Strategy

MoIT Ministry of Industry and Trade

MSD Metrology Services Department

NML National Metrology Laboratory

NASFAM National Smallholder Farmers Association of Malawi

NORAD Norwegian Agency for Development Cooperation

NQI National Quality Infrastructure

NQP National Quality Policy

NQS National Quality Strategy

SC Steering Committee

SME Small and Medium sized Enterprise

SADC Southern African Development Community

SPM Senior Programme Manager

SQAM Standardization, Quality Assurance, Accreditation and

Metrology

ToRs Terms of Reference

UNDAF United Nations Development Assistance Framework

UNDP United Nations Development Programme

UNIDO United Nations Industrial Development Organization

WTO World Trade Organization

2015 INTERIM REPORT




Executive Summary

The purpose of the “Development of a robust standardization, quality assurance,

accreditation and metrology (SQAM) infrastructure” project is to contribute to a more

adequate, effective and sustainable National Quality Infrastructure (NQI) in Malawi

in accordance with international and regional principles and practices (e.g. Common

Market for Eastern and Southern Africa (COMESA), Southern African Development

Community (SADC)), by supporting the enhancement of the performance of the

Malawi Bureau of Standards (MBS). This will have direct implications in terms of

benefits for Malawi enterprises through improved business services provided by the

National Quality Infrastructure and indirectly, and in the long term, in terms of

improved protection of consumer rights of Malawian citizens.

This progress report presents a summary of work implemented by the Malawi Bureau

of Standards and United Nations Industrial Development Organisation (UNIDO)

during the second half of 2015 (01 July to 31 December 2015). The activities reported

on are part of the Scenario I Annual Work Plan for 2015 (AWP 2015) as amended

based on the outcomes of the Mid-Year Review meeting held in June 2015 and the

subsequent approval thereof by the SQAM Project Steering Committee held on 08

July 2015.

Overall, there was good progress for the reporting period under review (01 July – 31

December, 2015). After using Direct Payment modality, adopted in mid-2014 by

UNDP, for MBS National Project Implementation activities, a cash Advance to MBS

was reinstated by UNDP in May 2015 and amounting to 9,604,550 MWK1 or 22,079

USD. No further cash advance was given to MBS in the second quarter and the Direct

Payment modality was mostly used for implementation of activties. UNDP spot-

checks to MBS were thoroughly conducted and implementation of audit

recommendations was monitored throughout this period.

After the first interim payment that was requested by UNDP to the EU on April 22nd

2014 amounting to EUR 1,390,295 as stipulated by Article 4(2) of the Special

Conditions of the Contribution Agreement, no further payment requests were made in

to the EU in the second semester of the year. The funds remitted to UNIDO, as per

Inter-Agency Agreement, amounted to EUR 1,009,449.

The financial expenditure for the period 01 July – 31 December 2015 was registered

at 698,675 EUR2.

Some of the main achievements during the reporting period include:

Development of the National Quality Strategy to guide the implementation of

the Malawi’s National Quality Policy;

The UN Official exchange rate of 31 December 2015 was applied for the conversion from MKW to

USD. (http://treasury.un.org/operationalrates/Default.aspx)

The UN Official exchange rate of 31 December 2015 was applied for the conversion from EUR to

USD. (http://treasury.un.org/operationalrates/Default.aspx)

2015 INTERIM REPORT




Completion of in-country training courses where a total of 93 MBS officers

were trained through the six courses offered by the British Standards Institute

Group recruited by UNIDO. Certificates were awarded during the World

Standards Day event;

Conclusion of the out-of-country specialist trainings in metrology with the

final training conducted in France, Vietnam, Botswana and Mozambique;

Pre-assessments by International Experts on MBS implementation of the

ISO17021 and ISO17065 quality management systems for MBS readiness for

accreditation in such systems;

Procurement and installation of the HPLC and aflatoxin reactor;

Finalization of the selection process of a local contractor for the construction

of the MBS Building finalised;

For Quarter 3, the 8th SQAM Project Steering Committee was held on 16 July, 2015.

For Quarter 4, the 9th SQAM project Steering Committee was held on 14 October,

2015 and the 10th SQAM Project Steering Committee was held on 11th December,

2015. UNIDO attended the 10th SQAM project Steering Committee which discussed

and approved the 2016 SQAM project Annual Work Plan.

UNIDO also participated in the December technical working session to formulate the

2016 SQAM Annual Work Plan. Discussions were constructive and robust and

yielded a sound Annual Work Plan for 2016.

A welcome development was the announcement by the European Union, at the

December Project Steering Committee Meeting, that Project Extension was granted

for a period of 24 months, with the SQAM Project end date now being 17 May 2018.

The conclusion of the amendment of the Inter-Agency-Agreement between UNDP

and UNIDO remains of highest priority for 2016.

2015 INTERIM REPORT




A. Situational Background/Context

There is a clear need for rapid and sustainable economic growth if Malawi is to

achieve the Millennium Development Goals (MDGs) and the overall objective of

poverty reduction on a meaningful scale. Trade, as recognized by the Malawi Growth

and Development Strategy II (MGDS II), has the potential to be an engine for growth

that can lift many Malawians out of poverty.

Malawi’s standardization, quality assurance, accreditation and metrology

infrastructure is currently inadequate to support export growth envisaged by the

MGDS II. The MBS is the national enquiry point required by the World Trade

Organization (WTO) under the Agreement on Technical Barriers to Trade. MBS sets

and implements standards and conducts conformity tests on selected imports and

exports. However, certificates from MBS are not recognized widely and exporters

incur high costs to obtain certification overseas. More generally, MBS has very

limited infrastructure to meet demands for the provision of SQAM services within

Malawi.

To address these issues, the SQAM project intends to achieve international recognized

accreditation of the conformity assessment services of the MBS, contributing to an

efficient and adequate National Quality Infrastructure in Malawi by 2016. This will

have direct benefits for Malawian enterprises, and indirect, long-term benefits for

Malawian citizens in terms of improved protection of consumer rights.

As well as the MGDS II, the SQAM project also aligns with the United Nations

Development Assistance Framework (UNDAF) 2012-2016. The project will

contribute to poverty reduction through the achievement of UNDAF Outcome 1.3,

“Productive poor benefit from decent work, income generation and pro-poor private

sector growth by 2016”; under Theme 1, “Sustainable and equitable economic growth

and food security”. More directly, the project ties into UNDAF Output 1.3.3 that aims

at improving Malawi’s access to international and regional markets.

The Lead Implementing Partner for the project is the MBS. Financial and

Management oversight is provided by the UNDP whilst UNIDO provides specialist

technical support.

2015 INTERIM REPORT




B. Assessment of Project Results During the Reporting

Period

This progress report presents a summary of work implemented by the Malawi Bureau

of Standards and United Nations Industrial Development Organisation (UNIDO)

during the second half of 2015 (01 July to 31 December 2015). The activities reported

on are part of the Scenario I Annual Work Plan for 2015 (AWP 2015) as amended

based on the outcomes of the Mid-Year Review meeting and the subsequent approval

thereof by the SQAM Project Steering Committee on 08 July, 2015.

Overall, there was good progress for the reporting period under review (01 July – 31

December, 2015). The tables below present a summary of progress made for activities

under each result area as per Scenario I Annual Work Plan for 2015 (AWP 2015) as

amended based on the outcomes of the Mid-Year Review meeting and the subsequent

approval thereof by the SQAM Project Steering Committee on 8th July, 2015.

B.1 Progress on implementation of activities within each Result Area

R-1: Increased efficiency and sustainability of the Malawi Bureau of Standards ACTIVITY STATUS

1.0 National Quality Policy

[MoIT/UNDP component]

An International Expert was recruited by UNDP for

the development of a National Quality Strategy (NQS)

to guide the implementation of the Malawi’s National

Quality Policy. The NQS was finalized and delivered

to stakeholders. Implementation of recommendations

will follow in 2016.

1.1 Project Visibility event

[MBS component]

As per AWP 2015, all visibility events are provided for

under Output 8 as part of the Communications and

Visibility activity.

1.2 Review and set-up of organizational structures,

service delivery procedures and knowledge

management within MBS

[MBS component]

Functional Review

MBS Board reviewed the Functional Review Report

and made some recommendations. However, the

Department of Human Resource Management and

Development (DHRM&D) indicated some

recommendations lacked technical viability.

Arrangements were being made to ensure that this

matter is amicably resolved with the involvement of

Ministry of Industry and Trade (where necessary) to

meet with Office of President and Cabinet (OPC).

Enterprise Resource Planning software Reasonable progress was registered in the final testing

of the final modules of Enterprise Resource Planning

(ERP) system in October 2015. The service provider

(Techno-Brain) sent two of their officers to MBS to be

assisting with hands on training and debugging.

However, the testing of the modules has not yet been

concluded because some areas still need attention and

MBS is working together with Techno-Brain to ensure

that all modules should be up and running.

1.3 Market survey on the demand for testing and The consultancy for the mapping of the Malawi

2015 INTERIM REPORT





calibration in Malawi

[MBS component]

laboratory landscape was advertised in the local

newspapers but the response was relatively poor, only

one application was received. The consultancy was re-

advertise in the local newspaper in December 2015 to

seek more applications and the assignment will start in

2016.

1.4 Preparation of a business plan and monitoring

system for MBS

[UNIDO component]

The implementation process of the recommendations

from the Institutional Reform report by Dr. Geoff

Visser will roll over to 2016.

1.5 Development of a “marketing unit” within MBS

[UNIDO component]

The development of a “Marketing Unit” within MBS

was captured in the functional review report and will

be implemented when the Government of Malawi

approves the report.

1.6 Enhancement and updating of the MBS website

[MBS component]

MBS has been updating its website to include

implementation of activities under the SQAM Project.

1.7 Preparation and implementation of a “training plan”

for MBS

[MBS/UNIDO component]

Training actions were undertaken and aligned to the

approved Training Plan of August 2014. These

included:

In-country training courses:

All certificates from British Standards Institute (BSI)

Group for the six training courses were received and

handed over to the MBS to award to officers who

participated in the training.

The final training report was also delivered by BSI. An

important conclusion from the findings and

recommendation is that significant work remains to be

done at MBS in preparation for accreditation in all

areas but especially in ISO17025 (Testing). Several of

the findings and recommendation highlight several

challenges and it is therefore essential for UNIDO to

field international technical assistance to support MBS

in this regard in view of accreditation as provided for

under Output 3.

Nominations from MBS officers from the Testing

Services Department to participate in the training in

pesticides, microbiology, food chemistry and elements

analysis at preferably the International Food Safety

Training Laboratory (IFSTL), Maryland USA, were

received. Training is anticipated to commence in 2016

in accordance with the course schedule of the IFSTL.

Out-of-country trainings (metrology):

The final training of MBS officers from the Metrology

Services Department were concluded in the last

quarter of 2015. This involved training of 4 MSD

officers in December at the Botswana Bureau of

Standards (BoBS) on the use and operation of the

weighbridge verification system as well as the annual

calibration of the reference standards (weights), this in

2015 INTERIM REPORT





consideration of the significant similarities between

the systems at BoBS and MBS. A site visit to the

National Institute for Standards and Quality (INNOQ)

Mozambique was also undertaken by the Director of

Metrology Services in view of the establishment of a

possible weighbridge verification comparison

programme in view of the significant road freight

transportation between Malawi and Mozambique.

R-2: Better technical regulations - Support to the reviews and development of technical

regulations

ACTIVITY STATUS

2.1 Documentary and field survey of the Malawian

situation with regards to technical regulations and

enforcement.


Implementation of the various findings and

recommendations arising from the report by the

International Expert concerned (Nikonov), including

the proposed strategy and implementation actions

regarding an improved approach to the formulation of

technical regulations, using a risk-based approach, are

under discussion amongst national implementation

partners. MBS outlined that the recommendations and

approach is also well aligned with those arising from

SADC committees dealing with technical regulations.

MBS outlined the challenges in such implementation as

matters concerning the technical regulations are not

solely the responsibility of the MBS, but involve all

regulators and several Government Departments.

Although the Technical Barriers to Trade (TBT)

Committee under the MoIT provides a good platform

for continuation of this work, the continuation of this

work require leadership by MoIT and support also of

the Ministry of Justice.

There is considerable work under national

implementation under this Output that will be taken

forward by MBS in 2016

2.2 Awareness campaigns and training on "Better

regulation".


2.3 Data gathering on TR, analysis and consolidation.

Preparation of a strategy and a plan for the

institutionalization of "Better Regulation" in Malawi.


2.4 Preparation of a strategy and a plan for the

institutionalization of "Better Regulation" in Malawi.


R-3: Structurally enhances capacity of the Malawi Bureau of Standards for conformity

assessment services ACTIVITY STATUS

3.1a Construction of the Metrology building.

[MBS/GoM component]

The procurement process for the selection of a

contractor was finalized during the semester and a

contract was awarded to Terrastone. GoM indicated

that it was ready to hold the Ground Breaking

Ceremony in Q1 2016.

It was encouraging to note that there is increased

urgency within GoM for the process to move forward

and that the project had been included as part of the

reforms agenda led by the Vice President of Malawi.

2015 INTERIM REPORT






3.1b Develop within MBS an accredited product

certification body


Current implementation pertains to the Pilot Phase for

MBS to be accredited to ISO/IEC 17065 as a product

certification body.

In December 2015 an International Expert (Shaukat H.

Malik) was contracted by UNIDO to undertake a pre-

assessment of the ISO17065 quality management

system implemented by MBS in view of its readiness

for accreditation.

Initial findings indicated that significant work remains

for MBS in continued development and

implementation of the system before accreditation can

be achieved. Some of the main gaps identified include

matters related to internal auditing, requirement to

develop qualified auditors/lead auditors, completion of

documentation and ensuring the system is implemented

and all system records are available.

Preliminary indications from the expert suggest that

accreditation could be possible by December 2016

subject to continued effort by MBS to ensure actions

towards closing the identified gaps. A detailed report

with an action plan is expected to be delivered by the

expert in Quarter 1 2016.

3.2 Develop within MBS a management systems

certification body for ISO 9001 and ISO 22000 /

HACCP


Current implementation is in terms of the Pilot Phase

for MBS to be accredited to ISO/IEC 17021 for

ISO9001 management system certification.

International Expert (Shaukat H. Malik) was contracted

by UNIDO to undertake a pre-assessment during

December of the ISO17021 quality management

system implemented by MBS in view of the readiness

thereof for accreditation.

Initial findings indicated that significant work remains

for MBS in continued development and

implementation of the system before accreditation can

be achieved. Some of the main gaps identified include

matters related to internal auditing, filling of vacancies,

committee structures, completion of documentation

and ensuring the system is implemented and all system

records are available.

The early indication from the expert is that

accreditation could be possible by Dec. 2016 subject to

continued effort by MBS ensure actions in closing

these gaps. A detailed report with action plan by the

expert is expected early in Quarter 1 of 2016.

3.3 Upgraded and accredited testing laboratories in

MBS



MBS to be accredited to ISO/IEC 17025 with scope

limited to 2-3 priorities –in line with the Mid Term

Evaluation Report- including microbiology, pesticides,

2015 INTERIM REPORT






elements analysis, and food contaminants (e.g.

aflatoxins).

The High-Performance Liquid Chromatograph (HPLC)

to be used for analysis of food contaminants, especially

mycotoxins, and in particular the aflatoxins and

analysis of vitamins and the Photochemical Reactor for

detection enhancement for aflatoxins, were procured,

installed and commissioned by the supplier during the

semester. The supplier also provided on-site training to

MBS laboratory staff for the use of the equipment.

Following the successful installation of the systems,

the supplier informed that further training in the system

software use and operation is scheduled for January

2016.

License documentation and end-user declarations from

MBS, required to ensure the delivery of the Certified

Reference Materials (CRMs), were prepared and were

provided to European authorities, delivery of these

CRMs is anticipated for the first quarter 2016.

During the reporting period, the centralized

procurement process was concluded for the

procurement of equipment in accordance with the

approved procurement plan, in particular:

o PO 3000031176 was issued to Enkay Enterprises

for supply and installation of a Universal Testing

Machine for testing of various strength

properties of materials, specifically high-

capacity tension, compression, bend/flex, and

shear testing through;

o PO 3000031222 was issued to Anatech

Instruments for supply and installation of a High

Pressure Capillary Ion Chromatograph to be

used for routine testing and primarily for the

enhanced determination of anions such as

Nitrates, Phosphates, Sulphates, Fluorides and

many others in different types of water;

o PO 3000031108 was issued to Chemetrix for

supply and installation an Automated

Atmospheric Distillation Analyzer to be used in

the petrochemicals laboratory to analyse

distillation trend of fuels.

Other items in the next cycle procurement list included

solar testing (lighting) equipment; procurement of

these items will only be undertaken following

discussions with MBS regarding laboratory

infrastructure and staff capacity related to this field and

subject to availability of funds.

Significant work remains to be done for the MBS in the

development and implementation of the ISO17025

2015 INTERIM REPORT






management system to eventually achieve accreditation

and it was agreed with MBS the fielding of an

international expert to provide technical assistance to

MBS in this regard. UNIDO is awaiting a formal

request from MBS and a detailed plan with scope of

work in order to proceed with this recruitment

anticipated for 2016.

3.4 Upgraded and accredited calibration laboratories in

MBS


MBS to be accredited to ISO/IEC 17025 with scope

limited to mass, volume and dimension (length) and

being implemented in close collaboration with the

MATCB project.

A significant development this semester is the

commencement, under the Norad funded MATCB

project, of the construction works at the Metrology

Services Department, where such works will provide

for (a) a dedicated heavy mass and large volume

laboratory and storage facility, and (b) upgrading of the

laboratory environment and air conditioning systems of

the existing MSD facilities. These construction works

and upgrading are essential also for the SQAM project

to ensure a conducive environment for eventual

accreditation of calibration services.

With the weigh bridge verification system, the truck

and trailer (MATCB Project) and forklift (SQAM

Project) and accessories delivered and all training

competed, it is realistic to anticipate that MBS would

in early 2016 commence the use and operation of the

system. MBS, under national implementation

responsibility, has provided for (a) training of MBS

driver(s) to be licensed to drive the truck, and (b)

forklift operator trainings.

During the semester, the centralized procurement

process was concluded for the procurement of

equipment, and in accordance with the approved next

cycle procurement plan, required to address gaps in the

capabilities in mass metrology, and PO 3000031169

was issued to VWR International to supply and install:

o A calibrated class F2 weight set (1 mg -20 kg);

o Calibrated mass comparators (balances):

o Balance of 200g capacity (x1),

o Balances of 520 g capacity (x2);

o Laptop computers to be used for the analysis of

data during laboratory and on-site calibrations;

o Digital thermometer-hygrometer (x5) to allow

for monitoring of laboratory environmental

conditions.

Other items in the next cycle procurement list included

temperature and dimensional metrology equipment;

-Procurement of Equipment

-MBS metrology capacity

2015 INTERIM REPORT






procurement of these items will only be undertaken

following discussions with MBS regarding temperature

laboratory infrastructure and staff capacity, further

analysis of traceability charts in these areas and subject

to funds availability.

3.5 Develop a training business unit.


During this reporting period, UNIDO agreed with MBS

that this implementation, especially implementation of

ISO 29990 for training services, will/may not be done

through a study tour but through the fielding of an

International expert as per the original provision of the

project plan and will be implemented in 2016.

3.6 Develop a business unit to manage a pool of

Malawian auditors.


This activity provides for technical assistance to MBS

for the development of processes and system to support

the management of a pool of auditors where such

auditors are integral part of conformity assessment

services earmarked for accreditation.

Activities will commence in 2016.

3.7 Collaboration with the Malawi Laboratory

Association to strengthen the association as an integral

part of the national quality infrastructure, notably in

view of testing and calibration services.

Implementation was concluded in November 2014. No

further action was required.

R-4: Enhanced Capacity of National Enquiry Points (NEP). Proactive and responsive

NEP to info and notification requirements of WTO/TBT/SPS agreements ACTIVITY STATUS

4.1 Identify, store, update, create and use the

information on foreign TR, standards and conformity

assessment dispositions of countries that import from

Malawi


An International Expert, Enrique Sierra, was engaged

under this activity in Q3 and produced and submitted the

report “The National Enquiry Points (NEPs) under the

WTO SPS Agreement.” This represented the conclusion

of the UNIDO technical assistance to this activity. The

report presents a number recommendations on how

compliance by Malawi with the WTO transparency

provisions could be highly improved by strengthening the

three National Enquiry Points for SPS and the National

Notification Authority

Implementation of the various findings and

recommendations arising from the report towards the

compliance by Malawi with the WTO transparency

provisions of the three National Enquiry Points for SPS

and the National Notification Authority is now required

under national implementation responsibility. The

specific responsibilities however go beyond only the

MBS, as other key stakeholders are also involved as

outlined below:

Food Safety [Malawi Bureau of Standards,

Blantyre]

2015 INTERIM REPORT




Animal Health [Ministry of Agriculture, Dept.

Animal Health and Livestock, Lilongwe]

Plant Protection [Ministry of Agriculture, Dept.

Agric. Research Services, Lilongwe]

The National Notification Authority [Ministry of

Industry and Trade, Lilongwe]

Remaining activities to be implemented by MBS in

2016.

R-5: Strengthened Sanitary and Phytosanitary infrastructure

ACTIVITY STATUS

5.1 Review the national SPS infrastructure


During the reporting period, UNIDO concluded

discussions with the Food and Agricultural

Organization of the UN (FAO) and a concept note was

developed for the implementation of activities under

this Output. The concept note discussed with MBS and

agreed upon for implementation.

The first mission by the team of experts from the Food

and Agricultural Organization of the UN (FAO) was

undertaken during the month of November. The

mission provided for meetings and consultations with

Government and industry parties concerned with food

safety.

The specific objective of this work by FAO is to

support the development of draft primary legislation

for food safety control in Malawi, aligned with

international standards and requirements that sets out

an institutional framework for food safety control

appropriate for the needs of Malawi, aligning to its

regional trade arrangements (COMESA, SADC etc.).

Initial feedback by the FAO indicated that a key

challenge for Malawi, with regards to food safety, is

the institutional arrangement required to oversee

matters related to a future food safety policy and

supporting legislation.

The report by FAO is expected to be delivered in early

2016 (Q1) and next phase of work will require the

tabling by FAO of a draft Food Safety law and

consultations regarding the proposed legislation as well

as arrangements related to the implementation of the

same.

There are two ministries that are involved in the works

with FAO, namely the Ministry of Agriculture and the

Ministry of Health whilst MBS is coordinating efforts

through MoIT.

5.2 Develop a road map to improve the Malawian SPS

infrastructure.


5.4 Review and upgrade the legislation for the SPS

infrastructure


2015 INTERIM REPORT




R-6: Capacity of Small and Medium sized Enterprises (SME), and particularly women

and youth led enterprises, strengthened to comply with quality requirements

ACTIVITY STATUS

6.1 Preparation of an overall training and technical

assistance programme for SMEs, in particular female

and youth headed SMEs

The International Expert for cohort I will be fielded in

2016 to initiate support to 7 companies (SMEs) on

ISO22000 and ISO9001. UNIDO is finalizing the

contracting process of the IE that will assist the 7

companies in 2016.

A task force workshop aimed at selecting SMEs to be

included in Cohort II failed to take place due to poor

response from the SMEs on the questionnaires that

were distributed to them. As a result, and as discussed

during the 2016 Annual Work Planning session, MBS

is considering a change in approach and implementing

a value chain upgrade within the National Export

Strategy (NES).

To be noted that this Output is seriously lagging behind

in terms of implementation and expenditure is

extremely low. There is need to strategize on

expediting implementation of activities.

6.2 Technical assistance to 15 SMEs, in particular

female and youth headed SMEs, to comply with

HACCP / ISO 22000 Food safety management systems


During the reporting period, MBS approved UNIDO

recommendation of the International Expert to be

contracted for the initial technical assistance to be

provided to the 3 Cohort I companies to be supported

in the implementation of ISO22000.

Implementation is planned to commence in Q1 of

2016, subject to availability of the expert.

6.3 Technical assistance to 10 SMEs, in particular

female and youth headed SMEs, to comply with

ISO 9001 Quality management systems.


During the reporting period, MBS approved UNIDO

recommendation of the International Expert to be

contracted for the initial technical assistance to be

provided to the 4 Cohort I companies to be supported

in implementation of ISO22000.

Implementation is planned to commence in Q1 of

2016, subject to availability of the expert.

6.4 Trainers-cum-counselors and auditors: Training in

HACCP / ISO 22000 Food safety management

systems.


Implementation is planned for 2016 (AWP2016).

6.5 Training in ISO 9001 Quality management systems

for trainers-cum-counselors and auditors.


This activity will be combined with a mission of the

expert to be fielded in 6.2; foreseen for 2016.

MBS has identified 18 external individuals to be

trained as trainers-counsellors in various management

systems.

6.6 Training in ISO 9001 Quality management systems

for trainers-cum-counsellors and auditors.

[MBS (UNIDO)]

This activity will be combined with a mission of the

expert to be fielded in 6.3; foreseen for 2016.

6.7 Trainers-cum-counsellors: Training in "Initiating

quality improvement in selected sectors"


2015 INTERIM REPORT




R-6: Capacity of Small and Medium sized Enterprises (SME), and particularly women

and youth led enterprises, strengthened to comply with quality requirements

ACTIVITY STATUS

[MBS (UNIDO)]

6.8 Awareness seminars: ISO 14000 Environment

management systems; GLOBALG.A.P. (Good

Agricultural Practice)

[MBS (UNIDO)]


6.9 Trainers-cum-counsellors and auditors: Training in

ISO/IEC 17025

[MBS (UNIDO)]

National inputs are pending for UNIDO to initiate

implementation, e.g. the survey of laboratory landscape

to be undertaken under national implementation

modality act. 1.3. This activity is shifted to 2016 for

implementation.

R 7: MBS Compliant with International Regulations established ACTIVITY STATUS

7.1 TA for the preparation of the organizational and

operational bylaws and business plan for the Malawian

accreditation body.


This activity was concluded in Q2 of 2015. No further

action is required.

Operational Management Team

ACTIVITY STATUS

8.1 Operational Management Team

[UNDP/MBS/UNIDO component]

-International Technical Assistance and related costs

Provides for International Technical Assistance and

related costs, including the project CTA and UNIDO

travel and the contracts of the CTA and junior

consultant at UNIDO.

A joint exercise between MBS and MTL found out that

the internet connectivity was available in all the MBS

sites. MBS also monitored the performance of the

internet (speed and stability) and the results of the

assessment was a mix of good performance from some

office sites while others registered poor performance.

Feedback from the majority of sites indicated that the

internet was slow and that the users were having

problems to download documents and webpages.

Intermittent services were also experienced in some

office sites (Mchinji, Mzuzu and Ginnery Corner

offices). The IT section of MBS prepared a report of

the assessment of the internet services which was

submitted for considerations by MBS management on

the way forward on the matter. However, the status has

now improved.

MBS was visited for a spot-check by UNDP in

September 2015.

Procurement of digital camera, video camera, laptop

-Improve Internet Connectivity at MBS

- Field Visits and Spot Checks

2015 INTERIM REPORT




Operational Management Team

ACTIVITY STATUS

8.2 Communications and Visibility and other audiovisual equipment was concluded.

Equipment was delivered in August 2015. All other

equipment that were procured (Truck, forklift, HPLC,

Mater flow meter, prover tank)) were branded with the

visibility stickers. Plans are underway to display the

equipment during the laying of the foundation stone of

the new MBS building scheduled for early 2016.

Monthly Project Management Meetings took place

according to schedule.

The 8th Steering Committee Meeting was held on 16th

July, 2015. The 9th Steering Committee meeting was

held on 14th October, 2015 while the 10th and last

Steering Committee for 2015 was held on 11th

December.

2016 Annual Work Planning workshop was held on 7th

- 8th December, 2015.

- Communication and Visibility(Plan), revision as

needed

- Communication and Visibility (Launch Event)

8.3 Programme Assurance, Coordination and

Management

- Quarterly Steering Committee Meetings and Monthly

Project Management Meetings

- In accordance with project schedule

- 2016 AWP Retreat

2015 INTERIM REPORT




C. Financial Status and Utilization The SQAM Project financial expenditure herewith into refers to overall cumulative

expenditure as of 31 December, 2015 [with breakdown by first semester (January-

June 2015) and second semester (July-December 2015)] as per total resources

allocated to the Project (EU Resources and UNDP Resources). Total expenditure for

2015, as per 31 December 2015 and against the 2015 AWP, stands at 1,221,211

EUR or 69 % delivery and as per detailed breakdown below.

Data contained in this report is a consolidation of UNDP expenditure reports and

Financial Reports submitted to UNDP from UNIDO and MBS on a Quarterly basis.

2015 INTERIM REPORT




Expenditure by RESULT AREA – For the period 01 January 2015 – 30 June 2015

Result Area EUR (€)3

2015 ANNUAL

WORK PLAN

BUDGET

EXPENDITURE

AS PER

JULY-

DECEMBER

2015

EXPENDITURE

AS PER

PREVIOUS

SEMESTER

JAN-JUNE 2015

TOTAL

CUMULATIVE

EXPENDITURE

JANUARY-

DECEMBER

2015

DELIVERY

RATE

R1: Increased efficiency and sustainability

of the Malawi Bureau of Standards

223,852 EUR

52,015 EUR

139,353 EUR 191,368 EUR 85 %

R2: Better technical regulations - Support

to the reviews and development of

technical regulations

84,344 EUR

0 EUR

36,613 EUR 36,613 EUR

43%

R3: Enhancement of the Malawi Bureau of

Standards capacity

376,904 EUR

508,785 EUR 74,389 EUR

583,174 EUR

155%

R4: Enhanced Capacity of National

Enquiry Points (NEP). Proactive and

responsive NEP to info and notification

requirements of WTO/TBT/SPS

agreements

14,748 EUR

0 EUR 12,919 EUR

12,919 EUR

88%

R5: Strengthened Sanitary and

Phytosanitary infrastructure

409,99 EUR

0 EUR 0 EUR 0 EUR 0%

R6: Small and Medium Enterprise (SME)

meet quality requirements

437,482 EUR

0 EUR 1,737 EUR

1,737 EUR 0.40%

The UN Official exchange rate of 30 June 2015 was applied for the conversion from USD to EUR. (http://treasury.un.org/operationalrates/Default.aspx)

2015 INTERIM REPORT




R7: Preparation of the organisational and

operational internal by-laws and business

plan for a national Malawian Accreditation

body

0 EUR 0 EUR 0 EUR 0 EUR 0%

Operational Management Team (operation

costs and visibility)

601,955 EUR

138,723 EUR

223,338 EUR

362,061 EUR

60%

SUB-Total Project Direct Eligible Costs

(INCLUDING contingency)

1,676,606 EUR

655,774 EUR

488,352 EUR

1,144,126 EUR

68%

Indirect Costs (General Management

Service Fee 7%)

103,679 EUR

42,901 EUR

34,184 EUR

77,085 EUR

74%

GRAND TOTAL 1,780,285 EUR

698,675 EUR

522,536 EUR

1,221,211 EUR

69%

2015 INTERIM REPORT

(JULY-DECEMBER)



D. Lessons Learned

The semester highlighted a number of key lessons, these were largely related to the importance of

good planning and the importance for parties involved in implementation to adhere to deadlines. It

remains necessary for the project Governance Structures (the Steering Committee and the Monthly

Project Management meeting) to engage in follow up activities to monitor adherence to deadlines.

Specific lessons learned that posed some challenges included:

A number of activities from the 2015 work plan were shifted between quarters and delayed.

This emphasizes the need for better prioritization and realistic planning. In addition,

quarterly activity planning and budget preparation should be done in good time so that

implementation is not delayed.

The project has sustained regular steering committee meetings where strategic programmatic

issues are discussed and agreements made on advancing project achievements as per

intended results. However, follow up on such agreements in between Project Steering

Committee Meetings, is critical and clear responsibilities for actions are to be assigned for

accountability purposes. It is also important to strengthen coordination amongst all partners

as success for the project hinges more on sound working relationship and good guidance

provided by the organizations.

It is also important to note and learn that the technical assistance provided to the SQAM

project by the both the Chief Technical Advisor and the International Experts, mostly

recruited by UNIDO, does not suffice to ensure steps are taken towards accreditation. It is

therefore essential for the National Implementation Partner (MBS) to take full leadership in

all activities of the project and to ensure implementation of recommendations put forward by

International Experts.

2015 INTERIM REPORT

(JULY-DECEMBER)



E. Conclusion

This report has highlighted activities undertaken and achievements thereof in the last semester of

2015. Looking at the progress made so far, it is fair to say that some project objectives are on track

while for others, an extra effort is needed especially with regards to Result Area 6 “Small and

Medium Enterprise (SME) meet quality requirements” that is greatly lagging behind.

The implementation of a successful project, as outlined in the project support document, rests

primarily on the no-cost extension of twenty four (24) months which has been granted. To that

effect, all parties need to continue exploring ways to accelerate implementation and improve on

coordination so that the SQAM project achieves all its intended objectives within the new specified

timeframe.

2015 INTERIM REPORT

(JULY-DECEMBER)



F. Future Work Plan

The 2016 AWP session took place in December 2015 and the 2016 AWP was approved by the

SQAM project Steering Committee (SC) held in December 2015. The 2016 AWP will be appended

in the 2015 Annual Progress Report whilst for this second interim report reference is made to the

current 2015 AWP

Annexes:

1. Annex 1: 2015 AWP

2015 INTERIM REPORT

(JULY-DECEMBER)



Annual Work Plan 2015

Development of a robust Standardization, Quality Assurance, Accreditation and Metrology

(SQAM) Infrastructure in Malawi

Country: MALAWI

Theme 1: Sustainable and Equitable Economic Growth and

Food Security

UNDAF Outcome 1.3: Productive poor benefit from decent work, income generation and

pro-poor private sector growth by 2016;

UNDAF Output 1.3.3 National Export Strategy clusters are supported through enterprise

and skills development, financial services, cooperatives

development, promotion of structured markets and national quality

infrastructure;

Expected CPD Output(s): New business-to-business opportunities for Malawi products;

Expected Project Output(s)4 1. Strengthened capacity of the Malawi Bureau of Standards to

deliver business services and to achieve financial sustainability;

2. Technical Regulations reviewed to promote efficient, effective

and accountable delivery of information in accordance with SQAM

legislation and regulations;

4 The main project results mentioned on page 4 and 5 of the EU-UNDP Contribution Agreement on SQAM project dated

31.08.2012 and the project outputs of UNDP-Govt. of Malawi (Malawi Bureau of Standards) Project Support Document

dated 3/10/2012 are exactly the same; however, the wording in the project documents is different. For reporting and

monitoring of project results, the UNDP-Govt. of Malawi document and its related logical framework applies.

2015 INTERIM REPORT

(JULY-DECEMBER)



3. Structurally enhanced capacity of the Malawi Bureau of Standards

for conformity assessment services;

4. Strengthened, proactive and responsive National Enquiry Points

(NEP) to the information and notification requirements of

WTO/TBT/SPS agreements;

5. Sanitary and Phytosanitary (SPS) infrastructure improved and

mainstreamed into National polices;

6. Capacity of Small and Medium sized Enterprises (SME), and

particularly women and youth led enterprises, strengthened to

comply with quality requirements; and

7. MBS compliant with International Regulations established.

Implementing Partner: Malawi Bureau of Standards (MBS)

Responsible Parties: UNIDO, UNDP, MBS

2015 INTERIM REPORT

(JULY-DECEMBER)



Narrative

There is a clear need for rapid and sustainable economic growth if Malawi is to achieve the Millennium

Development Goals (MDGs) and the overall objective of poverty reduction on a meaningful scale. Trade

has the potential to be an engine for growth that may lift many Malawians out of poverty. However, the

country faces barriers that prevent it from benefiting fully from the world trading system. Internal

barriers, e.g. inadequate knowledge and limited accessibility to information on export opportunities,

excessive red tape, inadequate financing, poor quality infrastructure, pose major obstacles to Malawi’s

trade expansion and diversification efforts. Such quantifiable supply-side constraints substantively add to

operational costs and undermine trade development and export competitiveness in Malawi.

The Malawi Bureau of Standards (MBS) is the national enquiry point required by the World Trade

Organization (WTO) under the Agreement on Technical Barriers to Trade. MBS sets and implements

standards and conducts conformity tests on selected imports and exports. There is a strong perception that

market demand for conformity services, particularly with regards to testing and calibration services for

the private sector, is higher than currently available. However, exporters from Malawi are at present

disadvantaged by the lack of internationally accredited testing facilities for certification of products for

export. Certificates from MBS are only accepted in the region and exporters incur in high costs to obtain

certification overseas. More generally, MBS has limited infrastructure to meet demands for the provision

of SQAM services within Malawi.

Against this background, the “Development of the SQAM Infrastructure in Malawi” project is meant to

enhance the ability to export goods from Malawi by reducing the need for re-testing, re-inspection, re-

certification abroad through acceptance of measurements, tests, conformity assessment results issued in

Malawi. The purpose of the project is to contribute to a more adequate, effective and sustainable National

Quality Infrastructure (NQI) in Malawi in accordance with international and regional principles and

practices (e.g. Common Market for Eastern and Southern Africa (COMESA), Southern African

Development Community (SADC)), by supporting the improvement of the performance of the Malawi

Bureau of Standards (MBS). This will have direct implications in terms of benefits for Malawi

enterprises through improved business services provided by the National Quality Infrastructure and

indirectly, and in the long term, in terms of improved protection of consumer rights of Malawian citizens.

The main activities that will be carried out during 2015 include:

Development of a National Quality Strategy to follow the National Quality Policy

Functional review of MBS to inform business improvement and further development of business

and information management systems (including website);

Conclusion of market survey on the demand for calibration and testing services and survey of

opportunities for training services to be offered;

Preparation of a marketing and training units in MBS;

Review SPS infrastructure status and prepare roadmap for its strengthening;

Progress by GoM in development of the new MBS facilities including construction to

commence;

Strengthening MBS technical and human capacity (equipment, systems, training) for conformity

assessment services towards eventual accreditation of services in the following areas:

- Product Certification

- Management Systems Certification

- Testing Services

- Calibration Services

Strengthening quality requirements in SMEs, in particular woman and youth led enterprises

Programme management, quality assurance, monitoring and coordination

2015 INTERIM REPORT

(JULY-DECEMBER)



Notes:

1. The conversion rate EUR/USD applied for the 2015 AWP 2015 is the official UN exchange rate of November 2014.

2. According to the data extracted from MBS Financing Plan for the construction of the MBS Complex, as submitted to

the EU Delegation in Malawi on 22 October 2014, the total contribution from GoM for 2015 amounts to 1,489,220,849

MKW. This amount is not confirmed by GoM hence no figure is being featured in this AWP. However, a preliminary

allocation amounts to $ 560,000 (MK 250,000,000) as per 2014/2015 National Budget.

AWP Period: 01 January 2015

31 December 2015

Programme Component: Poverty Reduction

and MDGs

Intervention Title: SQAM

Infrastructure

Project

Project ID: 00069207

Output ID: 00083913

Duration: 1 year

Estimated annualized budget: $1,939,308

Allocated resources:

Government $ Amount to be

confirmed by

Government

UNDP Regular $ 100,000

EU $ 1,839,308

Unfunded budget: $ Amount to be

confirmed by

Government

2015 INTERIM REPORT

(JULY-DECEMBER)



Bernardo Calzadilla-Sermiento, Director TCB Branch

2015 INTERIM REPORT

(JANUARY-JUNE)

Development of a Robust SQAM Infrastructure in Malawi Project

G. Annual Work Plan

01 January – 31 December 2015

EXPECTED CP OUTPUTS

and indicators including

annual targets

PLANNED ACTIVITIES

List all activities including

M&E to be undertaken

during the year towards

stated CP outputs

TIMEFRAME RESPONSIBLE

PARTY

PLANNED BUDGET

Q1 Q2 Q3 Q4 Source of

Funds

Budget

Description

Amount

US$

OUTPUT 1:

Strengthened capacity of the Malawi Bureau of Standards to deliver business services and to achieve financial sustainability

1.1 Number of National

Quality Policies (NQP),

fast-tracked and

approved by Cabinet.

Baseline: 1 draft

Target: 1 approved National

Quality Policy.

1.2 Level of increased

organizational

effectiveness of MBS

Baseline: to be determined at

project inception

Target: MBS revised structure

and procedures created and

operationalized.

1.0 National Quality Policy5

MoIT

MBS

UNDP

UNIDO

UNDP 71300 - Local

Consultant

15,000

75700-

Training,

Workshops

and Confer

5,000

71600 -

Travel

6,000

- Development of a

National Quality Strategy

(NQS)

Tasks:

1. Contract service provider

(national consultant)

(UNDP)

2. Development of NQS

(MoIT)

3. Consider additional

support from IEs foreseen

for Q1 (UNIDO)

1.1 Project Visibility event6

5 Target achieved: National Quality Policy approved 6 All Visibility Actions, including events, are provided for in activity 8.2

2015 INTERIM REPORT

(JANUARY-JUNE)


EXPECTED CP OUTPUTS


annual targets

PLANNED ACTIVITIES




stated CP outputs


PARTY

PLANNED BUDGET


Funds

Budget

Description

Amount

US$

1.3 Percentage increment of

business services per

year provided to

Malawian organisations,

both public and private,

Baseline: 100 Standards

developed, 142 Certified

products and Services, 3046

Samples Tested, 800

Verification Audits -

Metrology Services)

Target: 30 % increase in

services/per year

Note: MBS position is that this

is achievable. MBS Strategic

Plan provides for similar

indicators.

1.4 Percentage increase in

revenue growth per year

Baseline: 20%/year

Target: 30%/year

Note: Current growth is 30%

(DFA), MBS position is that

this is achievable. MBS

1.2 Review and set-up of

organisational structures,

service delivery procedures

and knowledge

management within MBS

MBS

MoIT

UNDP

UNDP

0

Task:

1. Set the baseline for this

indicator (MBS/UNDP)

- Functional review of the

MBS

Tasks:

1. Conclusion(MBS)

2.Workshop/Considerations

and implementation of

review recommendations

(MBS)

1.3 Market survey on the

demand for testing and

calibration in Malawi7

MBS

UNDP

EU 71300 - Local

Consultant

5,000

Tasks:

Mapping of Malawi

Laboratory landscape as

this was not adequately

covered in the ToRs of the

initial survey

1.4 Preparation of a

business plan and

monitoring system for

MBS.

MBS

UNIDO

0

7 The Market Survey was concluded in 2014 with a report that was presented and accepted during a validation workshop on 7 November 2014. However, additional

work will be required in 2015 to map the Laboratory landscape in Malawi as this was not adequately covered in the TOR.

2015 INTERIM REPORT

(JANUARY-JUNE)


EXPECTED CP OUTPUTS


annual targets

PLANNED ACTIVITIES




stated CP outputs


PARTY

PLANNED BUDGET


Funds

Budget

Description

Amount

US$

Strategic Plan provides for

similar indicators.

- Collaboration between

MBS Management and CTA

Tasks:

1. Analysis of current

projections and growth in

consideration of indicators

(MBS/CTA)

2. Regular MBS Business

Plan processes

1.5 Development of a

"marketing unit" within

MBS.

MBS

UNIDO

UNDP

EU 71200 -

International

Consultants

75700 -

Training,

Workshops

and Confer

19,848

3,000

- This activity need to

follow from the functional

review and will consider

MBS marketing policy and

the development of a

marketing strategy

Tasks:

1. Next mission of IE

(UNIDO) report validation

workshop

2. MBS to adopt marketing

strategy and policy, by Q2

3. Marketing unit

established and marketing

materials regularly

produced, by Q4 (MBS)

2015 INTERIM REPORT

(JANUARY-JUNE)


EXPECTED CP OUTPUTS


annual targets

PLANNED ACTIVITIES




stated CP outputs


PARTY

PLANNED BUDGET


Funds

Budget

Description

Amount

US$

1.7 Preparation and

implementation of a

"training plan" for MBS.

MBS

UNIDO

EU 75700 -

Training,

Workshops

and Confer

190,000

- International training in

testing/calibration and key

MBS functions. This

primarily through study

tours, attendance of

conferences, workshops.

Notes:

1. Including also all in-

country management

systems training (ref Output

3).

2. UNIDO to allocate

portion of funds to provide

for service provider (BL21)

payments as/if needed

Sub-Total 243,848

OUTPUT 2:

Technical Regulations reviewed to promote efficient, effective and accountable delivery of information in accordance with SQAM legislation and regulations

2.1 Number of Technical

Regulations reviewed and

aligned to International

regulations and legislation

Baseline: 8;

2.1 Documentary and field

survey of the Malawian

situation with regards to

technical regulations and

enforcement.

MBS

UNIDO

UNDP

EU 71200 -

International

Consultants

15,678

75700 -

Training,

Workshops

and Confer

3,000

2015 INTERIM REPORT

(JANUARY-JUNE)


EXPECTED CP OUTPUTS


annual targets

PLANNED ACTIVITIES




stated CP outputs


PARTY

PLANNED BUDGET


Funds

Budget

Description

Amount

US$

Target: 12

2.2 Number of organizations

promoting clear technical

regulations

Baseline: 8;

Target: 12

Notes:

1. Mission by International

Consultant (UNIDO)

2. Provision for local

consultant to support

(UNDP)

2.2 Awareness campaigns

and training on "Better

regulation".

MBS

UNIDO

UNDP

EU 71200 -

International

Consultants

9,000

75700 -

Training,

Workshops

and Confer

3,600

Notes:


Consultant (UNIDO)

2. Provision for training

venue (UNDP)

2.3 Data gathering on TR,

analysis and consolidation.

Preparation of a strategy

and a plan for the

institutionalisation of

"Better Regulation" in

Malawi.

MBS

UNIDO

UNDP

EU 71200 -

International

Consultants

15,000

75700 -

Training,

Workshops

and Confer

36,000

75700 -

Training,

Workshops

and Confer

2,400

2015 INTERIM REPORT

(JANUARY-JUNE)


EXPECTED CP OUTPUTS


annual targets

PLANNED ACTIVITIES




stated CP outputs


PARTY

PLANNED BUDGET


Funds

Budget

Description

Amount

US$

Notes:


Consultant (UNIDO)


consultants to support

specifically the aspect of the

data base development

(UNDP)

3. Provision for IT

equipment (UNDP)

2.4 Preparation of a strategy

and a plan for the

institutionalisation of

"Better Regulation" in

Malawi

MBS

UNDP

UNIDO

EU 71200 -

International

Consultants

6,000

75700 -

Training,

Workshops

and Confer

1,200

Notes:


Consultant (UNIDO)


consultant to support

(UNDP)

Sub-Total 91,878

OUTPUT 3:

Structurally enhanced capacity of the Malawi Bureau of Standards for conformity assessment services

2015 INTERIM REPORT

(JANUARY-JUNE)


EXPECTED CP OUTPUTS


annual targets

PLANNED ACTIVITIES




stated CP outputs


PARTY

PLANNED BUDGET


Funds

Budget

Description

Amount

US$

3.1 Number of Metrology

Institutes constructed

Baseline: 0;

Target:1

3.2 Percentage increase in

demand and supply of

MBS business services

(standards, training

services, testing and

calibration.

Baseline: 21%/year;

Target: 30% /year

3.3 Number of

accreditations granted by

an accreditation body full

member of IAF.

Baseline: 0;

Target: 1

3.1a Construction of the

Metrology building

Notes:

1. Scope of work: new MBS

complex at Chichiri

2. Activities will continue at

MSD Ginnery Corner,

despite of new

infrastructure at Chichiri,

same also at current MBS

HQ (MBS Management to

develop a position on this)

2. Maone a secondary focus

(resources dependent)

MBS

MoIT

GoM Amount to be

confirmed by

GoM 8

- First payment to

Contractor

- Construction commences

3.1b Develop within MBS

an accredited product

certification body

Note:

Implemented i.t.o. MBS

approved roadmap

MBS

UNIDO

UNDP

EU 71200 -

International

Consultants

10,000

72100 -

Contractual

Services

Companies

27,174

8 According to the data extracted from MBS Financing Plan for the construction of the MBS Complex, as submitted to the EU Delegation in Malawi on 22 October

2014, the total contribution from GoM for 2015 amounts to 1,489,220,849 MKW. This amount is not confirmed by GoM hence no figure is being featured in this

AWP. However, a preliminary allocation amounts to $ 560,000 (MK 250,000,000) as per 2014/2015 National Budget.

2015 INTERIM REPORT

(JANUARY-JUNE)


EXPECTED CP OUTPUTS


annual targets

PLANNED ACTIVITIES




stated CP outputs


PARTY

PLANNED BUDGET


Funds

Budget

Description

Amount

US$

3.4 Number of MBS

management systems

certification body

accreditations granted by


member of IAF for the

international standards;

ISO 9001 ISO 22000 and

HACCP.

Note: HACCP certification is

not a recognized accreditation

Baseline: 0;

Target: 1

3.5 Number of MBS testing

laboratories accreditation

granted by an

accreditation body full

member of ILAC for the

international standards.

Baseline: 0;

Target: 2

3.6 Number of MBS

calibration laboratories

accreditation granted by


member of ILAC for the

international standards.

75700 -

Training,

Workshops

and Confer

5,000

- Management system for

the application the ISO/IEC

17065. Design and

development;

implementation; evaluation.

1. Mission by IE (UNIDO),

mission scope: Document

and audit

- Training on the

application of ISO/IEC

17065 for all personnel

working for the certification

body for product

certification. (approx. 20

participants) (service

provider to be contracted

i.t.o. 1.7 (UNIDO)

- Internal independent

auditing for accreditation

under the supervision of a

certified auditor to be

contracted by UNIDO

(funding challenge)

- Accreditation services

provided by an


member of IAF. (secure the

service provider in Q4 in

view of accreditation

during Q1, 2015).

2015 INTERIM REPORT

(JANUARY-JUNE)


EXPECTED CP OUTPUTS


annual targets

PLANNED ACTIVITIES




stated CP outputs


PARTY

PLANNED BUDGET


Funds

Budget

Description

Amount

US$

Baseline: 0;

Target: 2

3.7 Number of MBS training

units established

Baseline: 0 ;

Target: 1

3.2 Develop within MBS a

management systems

certification body for:

- ISO 9001 (quality

management systems);

- ISO14001

(environmental

management systems);

- ISO 22000 (food safety

management systems)

Note:


approved roadmap, initial

scope limited to ISO9001

MBS

UNIDO

UNDP

EU 71200 -

International

Consultants

10,000

72100 -

Contractual

Services

Companies

27,174

75700 -

Training,

Workshops

and Confer

5,000

- Review of the MBS

Management system for the

application the ISO/IEC

17021, expand to include

ISO14001 and ISO22000

1. Mission by IE (UNIDO),

mission scope: Document

and audit

- Training on the


17021 for all personnel

working for the certification

body for the three

management systems.

(approx. 30 participants).

(service provider to be

contracted i.t.o. 1.7

(UNIDO)

2015 INTERIM REPORT

(JANUARY-JUNE)


EXPECTED CP OUTPUTS


annual targets

PLANNED ACTIVITIES




stated CP outputs


PARTY

PLANNED BUDGET


Funds

Budget

Description

Amount

US$

- Certifications in

preparation for

accreditation application:

2 sets of companies, 1-2

companies certified ; 2-

whitness certification

activities on 2 new

companies

Internal independent

auditing for accreditation

under the supervision of a

certified auditor; initial

focus on ISO9001 to be

contracted by UNIDO

(funding challenge)

Accreditation services

provided by an


member of IAF. (secure the

service provider in Q4 in

view of accreditation

during Q1, 2015, initial

scope limited to ISO9001)

- Extension of the Scope:

* challenge is to train

auditors/lead auditors

* extend documentation

3.3 Upgraded and

accredited testing

laboratories in MBS.

Note:


approved roadmap for pilot

phase with initial scope

MBS

UNIDO

UNDP

EU 72200 –

Equipment

(and reference

materials)

150,000

20,000

71200 -

International

Consultants

20,000

2015 INTERIM REPORT

(JANUARY-JUNE)


EXPECTED CP OUTPUTS


annual targets

PLANNED ACTIVITIES




stated CP outputs


PARTY

PLANNED BUDGET


Funds

Budget

Description

Amount

US$

limited to microbiology,

pesticides, food

chemistry/elements)

72100 -

Contractual

Services

Companies

27,174

75700 -

Training,

Workshops

and Confer

5,000

- Procurement of selected

equipment (HPLC and

aflatoxin detector)

- Training on the


17025 for calibration and

testing.



(UNIDO)

- Management system for

the application the ISO/IEC

17025. UNIDO to field IE

to do pre-assessment

2015 INTERIM REPORT

(JANUARY-JUNE)


EXPECTED CP OUTPUTS


annual targets

PLANNED ACTIVITIES




stated CP outputs


PARTY

PLANNED BUDGET


Funds

Budget

Description

Amount

US$

Initiate quality control/

compliance activities to

address gaps:

- Training in uncertainties

- Calibration of equipment

- Reference materials

- Environmental conditions

- Proficiency testing (MBS

at this time participating

in PT schemes in support

of pilot phase scope)

Accreditation body to be

contracted

Extension of scope of

accreditation – a value

chain approach

3.4 Upgraded and

accredited calibration

laboratories in MBS.

Note:

1. Implemented i.t.o. MBS

approved roadmap for pilot

phase with initial scope

limited to mass, volume,

length.

2. Implementation for 2015

primarily i.t.o. MATCB

Project

MBS

UNIDO

UNDP

EU 72200 -

Equipment

50,000

72100 -

Contractual

Services

Companies

27,174

2015 INTERIM REPORT

(JANUARY-JUNE)


EXPECTED CP OUTPUTS


annual targets

PLANNED ACTIVITIES




stated CP outputs


PARTY

PLANNED BUDGET


Funds

Budget

Description

Amount

US$

75700 -

Training,

Workshops

and Confer

5,000

- Mobile Equipment:

Conclude procurement of

forklift (truck to be

procured i.t.o. MATCB

project)

- Training on the


17025 for calibration and

testing.



(UNIDO)

3.5 Enhance the MBS

training business unit

mainly for management

systems standards,

complying with ISO 29990.

[This activity to follow the

functional review]

Note:

MBS position will inform

whether this rather be

supported by study tour as

opposed to international

consultant. UNIDO to re-

allocate budget as/if needed

MBS

UNIDO

EU 71200 -

International

Consultants

13,125

2015 INTERIM REPORT

(JANUARY-JUNE)


EXPECTED CP OUTPUTS


annual targets

PLANNED ACTIVITIES




stated CP outputs


PARTY

PLANNED BUDGET


Funds

Budget

Description

Amount

US$

- Survey on Malawian

market for training on

standards during the

realization of the training

activities of Output R6.

- Contact and registry of

available trainers

- Establishment of

procedures for compliance

with ISO 29990, including

training

Tasks:

1. MBS internal review of

requirements for ISO29990

(DDG)

2. Field international expert

(UNIDO)

3.6 Establish a pool of

Malawian Auditors.

Note:

MBS position will inform

whether this rather be

supported by study tour as

opposed to international

consultant. UNIDO to re-

allocate budget as/if needed

MBS

UNIDO

EU 71200 -

International

Consultants

8,750

- Establishment of a

methodology to select,

approve, register and

monitor the performance of

auditors.

2015 INTERIM REPORT

(JANUARY-JUNE)


EXPECTED CP OUTPUTS


annual targets

PLANNED ACTIVITIES




stated CP outputs


PARTY

PLANNED BUDGET


Funds

Budget

Description

Amount

US$

- Invitations to Malawi

auditors and recent trainees

to join the MBS pool of

auditors.

- Establishment of a set of

services for the pool of

auditors, like: information,

availability of updated

curricula with a list of

audits performed;

participation on a

community of practice.

3.7 Collaboration with the

Laboratory Association of

Malawi (LAM) to

strengthen the association

as an integral part of the

national quality

infrastructure, notably in

view of testing and

calibration services.

0

Tasks:

Consultative workshop with

the LAM (to be

accommodated as a

visibility event under 8.2)

Sub-Total 410,571

OUTPUT 4:

Strengthened, proactive and responsive National Enquiry Points (NEP) to the information and notification requirements of WTO/TBT/SPS agreements

2015 INTERIM REPORT

(JANUARY-JUNE)


EXPECTED CP OUTPUTS


annual targets

PLANNED ACTIVITIES




stated CP outputs


PARTY

PLANNED BUDGET


Funds

Budget

Description

Amount

US$

4.1 Number of databases

established and made

available to the general

public that provide all

Malawi technical

regulations (TR), drafted

and approved national

standards.

4.1 Identify, store,

update, create and use the

information on foreign TR,

standards and conformity

assessment dispositions of

countries that import from

Malawi

MBS

UNIDO

EU 71200 -

International

Consultants

16,065

2015 INTERIM REPORT

(JANUARY-JUNE)


EXPECTED CP OUTPUTS


annual targets

PLANNED ACTIVITIES




stated CP outputs


PARTY

PLANNED BUDGET


Funds

Budget

Description

Amount

US$

Baseline: 0;

Target: 1

4.2 Number of TR not

notified during the

drafting stage.

Baseline: n/a (to be

determined during the

inception phase of the project).

Target: Zero TR that are not

notified

4.3 Number of publicly

accessible services for

exporting companies on

foreign TR, standards and

conformity assessment

dispositions of countries

that import from Malawi.

Baseline: 0;

Target: 1

Tasks:

1. International expert to be

fielded (UNIDO)

Sub-Total 16,065

OUTPUT 5:

Sanitary and Phytosanitary (SPS) infrastructure improved and mainstreamed into National polices

2015 INTERIM REPORT

(JANUARY-JUNE)


EXPECTED CP OUTPUTS


annual targets

PLANNED ACTIVITIES




stated CP outputs


PARTY

PLANNED BUDGET


Funds

Budget

Description

Amount

US$

5.1 Number of SPS

infrastructure action plans

approved and implemented

Baseline: 0;

Target: 1

5.2 Number of Reports on the

review and upgrade of SPS

legislation in Malawi

discussed and approved by

stakeholders.

Baseline: 0; Target: 1

5.1 Review the national

SPS infrastructure

(focus on food safety, MBS

as EP)

MBS

UNIDO

EU 71200 –

International

Consultants

27,679

Tasks:

1. Fielding of initial

mission of the IE (UNIDO)

5.2 Develop a road map to

improve the Malawian

SPS infrastructure.

MBS

UNIDO

EU 71200 –

International

Consultants

4,755

Tasks:

1. Mission of the IE

(UNIDO)

5.3 Review and

recommendations for

the upgrade of

legislation for the SPS

infrastructure

MBS

UNIDO

EU 71200 –

International

Consultants

12,228

Tasks:

1. Mission of the IE

(UNIDO)

Sub-Total 44,662

OUTPUT 6:

Capacity of Small and Medium sized Enterprises (SME), and particularly women and youth led enterprises, strengthened to comply with quality requirements

6.1 Number of HACCP / ISO

22000 Food safety

management systems in place

in a selected number of SMEs.

Baseline: 0;

6.1 Preparation of an

overall training and

technical assistance

programme for SMEs, in

particular female and youth

headed SMEs

MBS

UNDP

MoIT

0

2015 INTERIM REPORT

(JANUARY-JUNE)


EXPECTED CP OUTPUTS


annual targets

PLANNED ACTIVITIES




stated CP outputs


PARTY

PLANNED BUDGET


Funds

Budget

Description

Amount

US$

Target: 15

6.2 Number of ISO 9001

Quality management

systems in place in a

selected number of SMEs.

Baseline: 0;

Target: 10

6.3 Number of SME able to

comply with specific

quality requirements in

export markets.

Baseline: 0;

Target: 10

6.4 Number of Trainers-cum-

counsellors and auditors:

training in HACCP / ISO

22000 Food safety

management systems and

approved as trainers and

auditors.

Baseline: 0;

Target: 18

Notes:

1. 2 groups (cohort 1,

cohort 2(SMEs)

2. Limited response

following consultations and

campaigns (3)

3. Requirement for fresh

approach; recommend

value chain approach, link

to NES, sound basis as

outlined in MCDA report

for MoIT (2012)

Tasks:

1. Requirement to outline

methodology/approach

2. Definition of SME

(criteria of employment)

6.2 Technical assistance to

15 SMEs, in particular

female and youth headed

SMEs, to comply with

HACCP / ISO 22000 Food

safety management systems

MBS

UNIDO

UNDP

EU

71200 –

International

Consultants

150,000

71300 - Local

Consultant

36,280

74500 –

Miscellaneous

and/or

75700 -

Training,

Workshops

and Confer

18,720

Cohort 1 (objective: in

support of MBS ISO17021

accreditation)

(minimum of 4 companies)

Cohort 2 (objective: Other)

2015 INTERIM REPORT

(JANUARY-JUNE)


EXPECTED CP OUTPUTS


annual targets

PLANNED ACTIVITIES




stated CP outputs


PARTY

PLANNED BUDGET


Funds

Budget

Description

Amount

US$

6.3 Technical assistance to

10 SMEs, in particular

female and youth headed

SMEs, to comply with

ISO 9001 Quality

management systems.

MBS

UNIDO

UNDP

EU 71200 –

International

Consultants

65,000

71300 - Local

Consultant

36,280

74500 –

Miscellaneous

and/or

75700 -

Training,

Workshops

and Confer

12,480

Cohort 1 (objective: in

support of MBS ISO17021

accreditation)

(minimum 4 companies)

Cohort 2 (objective: Other)

6.4 Other type of quality

requirements in export

markets. Technical

assistance to 10 SMEs.

MBS

UNIDO

EU

71200 –

International

Consultants

70,000

74500 -

Miscellaneous

12,800

6.5 Trainers-cum-


Training in HACCP /

ISO 22000 Food safety

management systems.

MBS

UNIDO

EU

71200 –

International

Consultants

10,000

75700 -

Training,

Workshops

and Confer

3,000

2015 INTERIM REPORT

(JANUARY-JUNE)


EXPECTED CP OUTPUTS


annual targets

PLANNED ACTIVITIES




stated CP outputs


PARTY

PLANNED BUDGET


Funds

Budget

Description

Amount

US$

1. Identification of

candidates (to join Malawi

Pool of Auditors (3.7))

2. Fielding of experts to

offer the training

6.6 Training in ISO 9001

Quality management

systems for trainers-cum-

counsellors and auditors.

MBS

UNIDO

EU

71200 –

International

Consultants

10,000

75700 -

Training,

Workshops

and Confer

3,000

1. Identification of

candidates (to join Malawi

Pool of Auditors (3.7))

2. Fielding of experts to

offer the training

6.7 Trainers-cum-

counsellors: Training in

"Initiating quality

improvement in selected

sectors"

MBS

UNIDO

EU

71200 –

International

Consultants

20,000

75700 -

Training,

Workshops

and Confer

3,000

6.8 Awareness seminars:

ISO 14000 Environment

management systems;

GLOBALG.A.P. (Good

Agricultural Practice)

MBS

UNIDO

EU

71200 –

International

Consultants

10,000

75700 -

Training,

Workshops

and Confer

3,000

2015 INTERIM REPORT

(JANUARY-JUNE)


EXPECTED CP OUTPUTS


annual targets

PLANNED ACTIVITIES




stated CP outputs


PARTY

PLANNED BUDGET


Funds

Budget

Description

Amount

US$

6.9 Trainers-cum-


Training in ISO/IEC 17025

MBS

UNIDO

EU

71200 –

International

Consultants

10,000

75700 -

Training,

Workshops

and Confer

3,000

Sub-Total 476,560

OUTPUT 7:

MBS compliant with International Regulations established

7.1 Number of internationally

recognized certificates

issued

Baseline: 0;

Target: 5

7.2 Number of business plans

produced

Baseline: 0;

Target: 1

(Concluded by end 2014) 0

Sub-Total 0

OUTPUT 8:

Programme Management

Operational Management

Team

8.1 Operational

Management Team

2015 INTERIM REPORT

(JANUARY-JUNE)


EXPECTED CP OUTPUTS


annual targets

PLANNED ACTIVITIES




stated CP outputs


PARTY

PLANNED BUDGET


Funds

Budget

Description

Amount

US$

-International Technical

Assistance and related costs

UNIDO EU 77100- Salary

and related

costs–TA/IP

160,000

- Travel / Mission costs UNIDO EU 71600 –

Travel

40,000

- National Project Assistant

UNDP

MBS

EU

77100

Salary and

related costs–

TA/NP

11,500

- Insurance for equipment

1. Equipment procured

under national

implementation to be

insured i.t.o. regular MBS

policies – supported

financially from project

2. International assets

procured during life cycle

remains UNIDO assets

until transfer, including

insurance. Transferred at

end of project.

3. Consideration for

inclusion of storage fees

MBS

UNDP EU 74500 -

Miscellaneous

81,522

- Consumables- Office

Supplies

MBS

UNDP EU 72500 -

Supplies

10,870

- Vehicle costs (normal use

and maintenance)

MBS

UNDP EU 73400 -

Rental and

Maintenance

6,522

2015 INTERIM REPORT

(JANUARY-JUNE)


EXPECTED CP OUTPUTS


annual targets

PLANNED ACTIVITIES




stated CP outputs


PARTY

PLANNED BUDGET


Funds

Budget

Description

Amount

US$

- Vehicle costs (leasing)

MBS

UNDP EU 73400 -

Rental and

Maintenance

10,870

- Audit

UNDP EU 74100

Professional

Services

2,500

Communications and

Visibility

8.2 Communications and

Visibility

NOTE: Implemented i.t.o.

C&V plan

- Launch event (linked to

the announcement about the

new building).

MBS

UNDP

EU 75700 -

Training,

Workshops

and Confer

50,000

- Audiovisual equipment,

Brochures, Press Releases,

Media and Communication,

Stickers

(e.g. leaflet on the NQP,

also provided into

Chichewa)

MBS

UNDP

EU 74200 -

Communicati

ons and

Audiovisual

30,000

Other events

Industry events (linked

to world

quality/standards day)

MBS

UNDP

EU 75700 -

Training,

Workshops

and Confer

15,000

Programme Assurance,

Coordination and

Management

8.3 Programme Assurance,

Coordination and

Management

- Programme Assurance

UNDP UNDP TRAC 77100- Salary

and related

costs–TA/IP

37,000

2015 INTERIM REPORT

(JANUARY-JUNE)


EXPECTED CP OUTPUTS


annual targets

PLANNED ACTIVITIES




stated CP outputs


PARTY

PLANNED BUDGET


Funds

Budget

Description

Amount

US$

- Field Visits and Spot

Checks

UNDP UNDP TRAC 71600

Travel

10,000

- Bank Charges UNDP UNDP TRAC 74500-

Miscellaneous

2,500

- Telephone/Mobiles

UNDP UNDP TRAC 72400 –

Communicati

on and Audio

Visual

6,000

- Quarterly Steering

Committee Meetings and

Monthly Project

Management Meetings

UNDP UNDP TRAC 72300 -

Materials &

Goods

71600 –

Travel

2,000

4,000

- Mid-Year Review Retreat? UNDP UNDP TRAC 75700 -

Training,

Workshops

and Confer

6,250

- AWP 2016 Retreat UNDP UNDP TRAC 75700 -

Training,

Workshops

and Confer

6,250

Contingency Clearance of Equipment UNDP EU 71600 –

Travel

71400-

Contractual

Services

20,000

30,000

Administrative Cost UNDP Administrative Cost

(GMS 7%)

UNDP EU 75100 –

Facilities and

Admin

31,045

UNIDO Administrative

Cost (GMS 7%) UNIDO EU 75100 –

Facilities and

Admin

81,895

2015 INTERIM REPORT

(JANUARY-JUNE)


EXPECTED CP OUTPUTS


annual targets

PLANNED ACTIVITIES




stated CP outputs


PARTY

PLANNED BUDGET


Funds

Budget

Description

Amount

US$

Sub-Total 655,724

GRAND TOTAL 1,939,3089

9 The Grand-Total does not include GoM Contribution as the Funding is not confirmed.

monitoring for results and results reporting

Documents