Document of

The World Bank FJL COPyFOR OFFICIAL USE ONLY

Report No. 2295-BD

BANGLADESH

OXBOW LAKES FISHERY PROJECT

STAFF APPRAISAL REPORT

March 12, 1979

Agriculture D Division

South Asia Projects Department

1his document has a restricted distribution and may be used b) recipients only in the perforimiance oftheir official duties. Its contents may not otherwise be disclosed without World Bank authorization.

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CURRENCY EQUIVALENTS

The Bangladesh Taka is officially valued at 30.52 to thePound Sterling. The Pound now floats relative to the US Dollar and,consequently, the Taka-US Dollar rate is subject to change. Therate below has been used throughout this report except where other-wise stated.

US$ = Tk 15.0Tk 1 = US$0.067Tk 1 million = US$66,667

WEIGHTS AND MEASURES

1 acre (ac) - 0.405 hectare (ha)1 mile (mi) = 1.509 kilometers (km)I square mile (sq mi) 640 ac (259 ha)1 foot (ft) = 30.5 centimeters (cm)1 maund (md) = 82.27 lbs (37.3 kg)I metric ton (ton) = 26.8 mdM = million

ABBREVIATIONS AND ACRONYMS

ADB = Asian Development BankBFDC = Bangladesh Fisheries Development CorporationBJMSS = Fishermen's Cooperative SocietiesBJSB = Bangladesh Jatiya Samabaya BankBKB Bangladesh Krishi BankBSB = Bangladesh Shilpa BankBTT Bangladesh Telegraph and Telephone DepartmentDANIDA = Danish International Development AgencyDFO = District Fishery OfficerDOF = Department of FisheriesFAO = Food and Agriculture Organization of the United NationsFSMF Fish Seed Multiplication FarmGOB Government of BangladeshIRDP = Integrated Rural Development ProgramPDB Power Development BoardPIU = Project Implementation UnitTCCA Thana Central Cooperative AssociationTFO = Thana Fishery OfficerUNDP = United Nations Development ProgramUNICEF = United Nations Children's Emergency Fund

FOR OFFICIAL USE ONLY

GLOSSARY

Composite Fish Culture - Growing two or more species of fish in apond to optimize productivity; oftensynonymous with polyculture or mixedfish culture.

Fingerling - Young fish of about 2.5 cm or larger.

Fish seed - Fish from the stages of egg to largefingerling.

Fry - Fish from hatchling stage to about2.5 cm size.

Hatchling - Fish from emergence from egg to about0.8 cm size.

Spawn - Fertilized eggs and hatchlings.

Tank - A pond or a small reservoir of variable size,mostly for irrigation use.

FISCAL YEAR

July 1 to June 30

This document has a restricted distribution and may be used by recipients only in the performanceof their official duties. Its contents may not otherwise be disclosed without World Bank authorization.

BANGLADESH

OXBOW LAKES FISHERY PROJECT

Table of Contents

Page No.

I. INTRODUCTION ........................................ 1

II. * THE FISHERIES SECTOR .................. ..............

Overview ............ *. ...................... 1Administration ................. 3Inland Fisheries .............................................. 0..... 6Inland Fisheries Development Activities .... * ........ 8

III. AQUACULTURAL POTENTIALS AND MANAGEMENT PRACTICES .... 11

Potentials .......................................... 11Present Oxbow Lake Management Practices ......... o ... 12

IV. THE PROJECT .......................................... .. 14

Location and Climate .................. .... .......... 14Objectives .............................................. ....... 14Main Investment Features .................. . ......... 15Aquaculture Program . ....... . . . . . . . ...................... ..o .... . 18Cost Estimates . ............................. ......... 21Financing ........... ............................... 23Procurement ......... *........................................... 23Disbursements ....... ................................ 24Accounts and Audits .. . . ............... ............... 24Environmental Impact ......... .. ... ...................... . 24

V. ORGANIZATION AND MANAGEMENT .......... .. ............. 25

Department of Fisheries ............ .. ............... 25Project Implementation Unit .......... .. ............. 25Lake Tenure ....................................... .. 26Cooperation with Lake Fishermen . .........I ........... 26Annual Work Programs .............. .. ................ 27Maintenance .. 27Technical Assistance .. 27Training . .28Progress Reports .. 28Monitoring and Evaluation . .28

This report is based on the findings of an IDA mission, composed ofMessrs. D. Lee, D. Hodgkinson, B. Kanchanalak (IDA) and Mr. V. R. P. Sinha(Consultant), which visited Bangladesh in March/April 1978.

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Table of Contents (Cont'd)

Page No.

Vi. PRODUCTION, MARKETING AND PRICES .................... 29

Production .......................................... 29Marketing ............................ ............... 29Prices .............................................. 30

VII. FINANCIAL AND ECONOMIC ANALYSIS ..... ................ 30

Financial Analysis ...... ............................ 30Cost Recovery ....................................... 31Economic Analysis ................................... 31Sensitivity Tests ..... .............................. 32Project Beneficiaries ................... ............ 33Employment Impact ................................... 33Project Risks ........ . ................ .*. ........ 34

VIII. RECOMMENDATIONS ...................................... 34

ANNEXES

I - Production and Trade of Fish and Fish Products2 - Fishing Craft and Fishermen3 - Organization Structure of DOF4 - Estimated Lake Storage Capacity and Sedimentation5 - Works and Equipment Requirements6 - Cost Estimates7 - Credit Allocation and Schedule of Disbursements8 - Technical Assistance9 - Cash Flow and Financial Rate of Return10 - Economic Rate of Return11 - Project Implementation Schedule12 - Related Documents in Project File

LIST OF TABLES IN MAIN TEXT

2.1 Total Inland Water Area4.1 Proposed Oxbow Lakes4.2 Cost Estimates7.1 Sensitivity Analysis

LIST OF MAPS

IBRD 13615 Project LocationIBRD 13616 Lake No. 1 (Baluhar) and No. 2(Jaydia)IBRD 13617 Lake No. 3 (Fetehpur)IBRD 13618 Lake No. 4 (Kathgara)IBRD 13619 Lake No. 5 (Gobindapur)IBRD 13620 Lake No. 6 (Marjat)IBRD 13683 General Layout of the Central Hatchery Complex at Baluhar Lake

BANGLADESH

OXBOW LAKES FISHERY PROJECT

I. INTRODUCTION

1.01 With the emergence of Bangladesh as an independent nation, the

World Bank undertook a series of major studies to define economic policyoptions and development plans which could be pursued in future years. TheLand and Water Resources Study (IBRD Report PS-13) completed in December 1972

provided, inter alia, tentative proposals for accelerating development of theinland fisheries subsector, including a suggestion for a pioneer project todevelop the country's oxbow lakes.

1.02 By June 1973, a project identification mission had identified 15

oxbow lakes in the Southwest (Jessore District) as having fisheries develop-

ment potential. Detailed physical surveys of the identified lakes commencedin 1975 when IDA provided US$70,000 (under Technical Assistance Credit 409-BD)

for consulting engineers. The lake surveys were completed in mid-1976, form-ing the basis for a project preparation report submitted in mid-1977. Thepreparation report (BANGLADESH - Rural Fisheries Development Project) was

prepared by Dacca Office staff with assistance from the FAO Fishery Advisorin Bangladesh and Department of Fisheries staff.

1.03 Project preparation was followed by a preappraisal mission which

visited Bangladesh in March/April 1978. The mission recommended severalimportant changes in project design with a view to (a) increasing lake pro-duction benefits to the point where required investments are more justifiable,

and (b) simplifying institutional arrangements to facilitate project imple-mentation. The mission also suggested holding the number of project lakesto six to avoid dilution of management capability among too many sites.

1.04 GOB informed the Bank in late July 1978 of its acceptance of the

preappraisal mission's findings and requested that steps be taken to expediteproject processing. Given the general convergence of views of the Bank andGOB on the revised project concept, its was decided in August 1978 that aStaff Appraisal Report be prepared on the basis of the preappraisal mission's

recommendations. Accordingly, this report reflects the findings of theMarch/April 1978 preappraisal mission which consisted of Messrs. D. Lee,T.D. Hodgkinson, and B. Kanchanalak (IDA) and V.R.P. Sinha (Consultant).

II. THE FISHERIES SECTOR

Overview

2.01 The fisheries sector is assuming an increasingly important rolein the economy of Bangladesh, with fisheries now contributing approximately

5 percent to GDP and providing a livelihood to some 880,000 fishermen.

2.02 The physical base for the country's aquatic resources includes over

2 million ha of open and impounded inland waters and a 480 km coastline on

the Bay of Bengal. In addition, some 3 million ha of paddy fields are flooded

from 4 to 6 months each year, providing several hundred thousand tons of fis

for the local population.

2.03 Despite an extensive resource base, fish production in Bangladesh

has grown only slightly in the last decade, from 800,000 tons in 1965 to

824,000 tons in 1975 (Annex 1). 1/ Historically, some 90% of the total catch

has come from inland areas. In the period 1970-75, the production of fish

from inland waters rose from 727,000 tons to 735,000 tons, representing an

average annual growth rate well under 1 percent.

2.04 Fishery products rank fourth in importance among exports, 2/ pro-

viding nearly US$17 million in foreign exchange in 1976/77 (about 4 percent

of total export earnings). 3/ Since independence, the value of fishery ex-

ports has grown by an average of 26 percent per annum in real terms, led by

rapid increases in sales of frozen prawns, shrimp and froglegs. The tradi-

tional export of fresh and dried fish, mainly to India, continues to decline

in favor of relatively high-valued, processed seafood exports. The principal

markets are now Japan and the United States.

2.05 In the domestic economy, fish are a principal food source, supplying

some 80 percent of the total animal protein intake. On a per capita basis,

however, fish consumption is extremely low, having declined from over 13 kg

in the mid-1960s to 10-12 kg at present. This decline is in large part attri-

butable to the country's high population growth rate (2.8 percent), which

greatly exceeds the rate of expansion of fishery production. Other related

factors include a low per capita income (US$110 per annum) and generally poor

efficiency in both inland and marine fisheries.

2.06 Traditional methods of fishing predominate in both inland and coastal

areas. Of the roughly 80,000 fishing craft in Bangladesh in 1975/76, only

4,000 were motorized. 4/ In percentage terms, approximately 4 percent of all

inland fishing craft had motors; for marine fishing craft, some 13 percent had

motors. Traditional methods and practices have been perpetuated by the pre-

carious circumstances under which most fishermen live. Particularly in the

rural areas, fishermen are often indebted either to fish merchants or to local

money lenders to whom they must sell their catch at below market prices. Many

1/ Figures derived by DOF on the basis of extrapolated per capita con-

sumption data. Bangladesh does not have an operational catch reporting

system which could serve as the basis for more reliable estimates of

fisheries production and trade.

2/ Behind jute, leather and tea.

3/ Based on Export Promotion Bureau statistics.

4/ Annex 2.

fishermen are known to borrow money against future catches in order to pur-chase boats or equipment. Compounding the difficulties experienced by fisher-men is that only '0-15 percent are estimated to be literate, with not morethan 1 percent having had secondary schooling or higher education.

2.07 Since independence, the Government of Bangladesh has emphasizedaccelerated development of the fishery sector. In its First Five Year Plan(1972/73 to 1977/78), Government set forth an ambitiouis program to increaseproduction and exports and to improve the socio-economic conditions of fisher-men. More recently, the Two Year Interim Plan (1978/79-1979/80) restates theimportance of fisheries and proposes the intensification of fish culture inponds and tanks. The Plan further states that work is needed to increasethe productivity of lakes and impounded waters by habitat improvements andappropriate biological management techniques. The proposed project, byfocusing on the development of presently underutilized oxbow lakes, is con-sistent with the priorities set forth in the Interim Plan. Overall, thePlan target is to increase inland fisheries production by at least five per-cent above the benchmark production achieved in 1976/77.

Administration

2.08 Fisheries administration and management in Bangladesh is character-ized by multiple control, with responsibilities divided among the followingorganizations: Department of Fisheries (DOF) under the Ministry of Fisheriesand Livestock; Bangladesh Fisheries Development Corporation (BFDC); Fisher-men's Cooperative Societies (BJMSS); and Integrated Rural Development Program(IRDP). Institutional credit for fisheries development is provided by theBangladesh Krishi Bank (BKB), the Bangladesh Shilpa Bank (BSB), the BangladeshJatiya Samabaya Bank (BISB), the nationalized commercial banks and, to a lesserextent, through the IRDP-organized thana cooperatives (TCCA). In addition,credit for fishpond development and/or rehabilitation is available throughBKB and commercial banks under the Special (100 Crore) Agricultural CreditProgram.

2.09 The Department of Fisheries was established in 1943 to perform thefollowing functions: research, extension, training, administration of fishe-ries ordinances, promotion of fisheries development, legislation, licensingand certification. DOF was recently brought under the control of the newlyformed (December 1977) Ministry of Fisheries and Livestock and given a mandateto focus on the development of fisheries and aquaculture. In the First FiveYear Plan (1972/73 to 1977/78), Tk 212.95 million was earmarked for develop-ment projects administered by DOF. Of the total program budget for 1976/77,Tk 42.3 million was allocated for capital expenditures and Tk 26.2 millionwas to be used for current expenses.

2.10 DOF currently employs some 1,400 officers and support staff. Inaddition to Headquarters personnel in Dacca, there are four divisional and18 district offices (Annex 3). Out of 415 Thana Fishery Officer (TFO) posi-tions in mid-1977, only 279 positions were filled. There were also numerousvacancies among field assistants, who work under TFOs. A principal weaknessof DOF is inadequate finance, which has resulted in low staff motivation and

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effectiveness. In addition, DOF has been hampered by a lack of autonomy andan outdated management system. GOB is aware of these deficiencies and isseeking to correct them by strengthening DOF's management, staff and operatingbudget. 1/

2.11 The Bangladesh Fisheries Development Corporation is an autonomousagency under the Ministry of Fisheries and Livestock with responsibility forthe commercial exploitation of marine fisheries, primarily in the Bay ofBengal. BFDC is governed by a five-member Board of Directors and has separatedivisions responsible for finance, planning and marketing. The 1976/77 bud-get was some Tk 91 million, of which Tk 73 million was allocated for capitalexpenditures and the remainder for current expenses. Until recently, BFDC'smajor activity was the operation of 14 large trawlers in the Bay of Bengal.However, this operation has not been very successful and BFDC is in theprocess of scrapping a number of the boats. BFDC also operates a fishingharbor at Chittagong, three wholesale fish markets, a small fish processingcomplex at Cox's Bazaar and a net factory at Comilla.

2.12 Fishermen's Cooperative Societies are organized in a three tierpyramidal structure. The base of the pyramid is formed by some 370 primarysocieties with a total membership of 375,000. There are 88 secondary socie-ties and, at the apex, a national society known as the BJMSS. 2/ The objectiveof BJMSS is to organize fishermen and to undertake fisheries exploitation ona commercial basis. At present, the national society owns and operates 11 iceplants/cold storage units, a ferro-cement boatyard, a net-making factory,freezing plants and workshops. BJMSS employs a staff of 200 persons with anannual salary expenditure of about Tk 1.1 M. A major function of BJMSS is thesupply and service program which enables it to import fishing materials forcooperative members, exempt from all taxes and duties. Since 1972, BJMSS hasimported over Tk 55 M of nylon rope, diesel engines, floats and other equip-ment. BJMSS also controls a number of lakes, which it rents for fishing.

2.13 It is generally recognized that BJMSS is dominated by non-fishermenand traders. As a result, few of its activities are specifically orientedtowards improving conditions among the neediest segments of the fishingcommunity. BJMSS credit operations, in particular, have been mainly forthe development of ice plants and cold storage facilities. A limited amountof credit (Tk 2 M) was provided for cyclone-affected fishermen, but this wasa special undertaking rather than a long-term program.

2.14 The Integrated Rural Development Program (IRDP) 3/ was created in1970 to supervise the implementation of various rural development activities.

1/ In late 1978, DOF underwent a series of personnel changes, includingthe appointment of a new Director. In addition, financial outlaysfor DOF have increased (in real terms) by at least 5% above averageannual First Plan expenditures.

2/ Bangladesh Jatiyo Matshajibi Samabay Samiti.

3/ Under the Ministry of Local Government, Rural Development andCooperatives.

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Since its creation, IRDP has been deeply involved in the revitalization ofthana and village level cooperatives. In thanas with fish ponds, IRDP thanaofficers work with DOF personnel to organize the landless people in surround-ing villages into fishery cooperatives. 1/ These cooperatives are given theexclusive right to manage and harvest village ponds. In cases where suchponds are in derelict condition, the cooperative provides medium-term creditfor rehabilitation. IRDP presently operates in some 250 thanas and is seek-ing to expand its activities to cover 300 thanas by 1979/80. 2/

2.15 The Bangladesh Krishi Bank (BKB) is the principal source of agricul-tural credit in the country, with authorized share capital of Tk 200 M. 3/Established by Presidential Order in 1973, BKB is authorized to provide creditfacilities for crop production, horticulture, forestry and fisheries. Atpresent, the BKB staff numbers some 3,200 of which 350 are employed in thehead office and the remainder of BKB's network of ten regional offices and171 branches. BKB management is anxious to increase lending for fisherydevelopment and is contemplating the establishment of a separate FishingCredit Department.

2.16 The Bangladesh Shilpa Bank (BSB) was established in 1972 to providecredit facilities and equity support to industrial concerns. Current activityin the fishery sector consists of provision of credit for shrimp industrydevelopment, utilizing in part the proceeds of an IDA Credit for US$25 Mreceived in 1976 (Credit No. 632-BD).

2.17 The Bangladesh Jatiya Samabaya Bank (BJSB) was established to serveas the apex financial institution for cooperatives in the country. Itsaffiliated cooperatives include 62 Fishermen's Central Societies and 4,172Fishermen's Primary Societies. However, the viability of BJSB has beenseriously eroded by its increasing burden of overdues.

2.18 Of the six nationalized commercial banks, two show recent lendingactivities in the fishery sector. The Pubali Bank lent some Tk 11.6 M forfish culture in 1976/77, while the Agrani Bank granted loans of Tk 15.7M for fish processing and marketing in the same period. The fishery creditoperations of both institutions have expanded considerably since 1975/76.The recipients of commercial bank credit are primarily large-scaleentrepreneurs.

2.19 Despite the existence of an extensive banking network, the creditneeds of small-scale fishermen have been largely unmet by institutionalsources. As a result, village money lenders charging excessive rates of

1/ This approach has been followed in the Bank-financed Rural Development IProject (Credit No. 631-BD).

2/ Bangladesh has a total of 413 thanas.

3/ 50% was initially subscribed by the Government, which is the onlyshareholder.

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interest remain active in rural Bangladesh, providing an estimated 70 percentof the credit received by small farmers and fishermen. 1/

Inland Fisheries

2.20 Bangladesh has an extensive inland water area covering an aggregateof 1,473,000 ha (Table 2.1). An additional 2.9 million ha of paddy is inun-dated for 4-6 months a year, providing a rich feeding and breeding ground forvarious species of freshwater fish and prawns. Total production from inlandwaters amounted to 735,000 MT in 1975/76. With an estimated 660,000 inlandfishermen, average catch was on the order of 1.1 MT per fishermen per annum.

Table 2.1: TOTAL INLAND WATER AREA(ha)

Rivers, Streams and Canals 830,000National Depressions and Oxbow Lakes 293,000Estuaries and Other Brackish Waters 183,000Kaptai Lake 91,000Ponds and Tanks 76,000

Total 1,473,000

Source: Department of Fisheries.

For analytical purposes, it is convenient to classify inland waters aseither open or impounded.

2.21 Open Waters. The Padma, Meghna and Brahmaputra rivers and theirtributaries are most important for carp, catfish, featherbacks, and giantfreshwater prawns, and during the monsoon season (May to October) are alsothe source of the valuable migratory Indian shad (Hilsa ilisha).

2.22 The deltaic "Sunderbans" area, a large swampy forest, is inter-spersed with many estuarine tributaries and streams, interconnected withnumerous channels. These areas are very productive and support large stocksof Indian shad, threadfins, pomfret and marine prawns.

2.23 Fishing in the rivers and estuaries is carried on throughout theyear and peaks during the winter months and the middle of the summer seasonwhen migratory Indian shad are abundant. In addition to these capture fish-eries, the rivers and estuaries provide an important source of fish eggs andfry which are collected for further cultivation in managed ponds.

2.24 Impounded Waters. Freshwater impoundments include oxbow lakes,defunct streams, and lowlying agricultural lands seasonally or perennially

1/ Agricultural Credit Study Project, Phase I Report. Robert R. NathanAssociates, December 6, 1977.

filled from adjacent rivers or monsoon rains. Except for the oxbow lakes,these bodies of water are generally shallow and enriched by fresh suppliesof silt introduced by annual floods. Juveniles of various species, mainlycarp, catfish and featherbacks, enter the impoundments with the annual floods.When the floods ,ubside these areas are isolated, either naturally or by theconstruction of embankments, thus permitting the growth of juvenile fish tomarketable size.

2.25 Brackish water impoundments consist of lowlying estuarine areas,defunct river beds, tidal inlets, and swamps which are inundated at hightide. The tidal waters introduce juvenile brackish water prawns and sea-fish.Some of the impoundments are protected by embankments and sluices. The mainspecies produced in these impoundments are mullets, threadfin and prawns.In some of the impoundments, fish rearing is alternated with rice cultivationduring the monsoon rains. In addition to the impoundments mentioned above,which depend on seasonal inundation, there are many manmade ponds and tankson agricultural holdings used for the rearing of fish fry, water supplies,irrigation water and food fish production, mainly Indian carp taken seasonallyfrom the rivers.

2.26 Except for some privately-owned ponds and tanks, all the inlandwaters are, by constitutional provision, within the public domain and theiruse for fisheries is subject to the approval of the Ministry of Fisheriesand Livestock.

2.27 Before Independence, inland waters were divided and the exclusiveright to fish was auctioned by Government to the highest bidder. The dura-tion of the lease varied from one to six years. The lessee, usually a fish-merchant or money lender, negotiated with fishermen for the right to fish onpayment of a cash rent and/or share of the catch.

2.28 This system still prevails in most of the waters in the publicdomain. Since 1973, however, modifications have been introduced to givepriority to leases from the Ministry of Land Administration to the Departmentof Fisheries, on the basis of a negotiated rent; and to fishermen's coopera-tives, on the basis of the average rental over the preceding three years.

2.29 The prevalence of the short-term lease-auction system, which wasestablished in the past mainly for the purpose of raising revenue, greatlyreduces the incentive to invest in resource management, since lessees areprimarily concerned only with maximizing the catch from a particular waterarea during the period of their leases. Without the security provided bythe assurance of long-term tenure, this low level of resource management islikely to continue and to adversely affect inland fish production.

2.30 Aside from the inherent weakness of the lease-auction system, inlandfisheries are faced with problems of overfishing due to population pressures 1/

1/ Population density in Blngladesh is one of the highest in the worldwith 558 persons per km .

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and unregulated access to many inland waters. In this regard, local expertsclaim that the capture of of wild stocks from both open and impounded watersi-s reached a degree of intensity such that the stocks and hence catch rateshave fallen significantly. There is also evidence that the indiscriminateapplication of pesticides has caused large scale mortality of wild stocks,especially those grazing flooded paddy fields. Taken together, these factorssuggest that the scope for taking increased catches from wild stocks is quitelimited.

2.31 A number of actions have been taken to increase the efficiency ofthe inland fisheries subsector. Though the basic lease-auction system remainsprevalent, GOB has shown a willingness to consider longer-term leases toencourage investment and promote improved resource management practices. Tocontrol pollution, GOB has established a Water Pollution Control Board and aTechnical Committee on the Use of Pesticides.

2.32 To an increasing extent, training is being recognized as an import-ant element in inland fisheries development. The Fisheries Training Instituteat Chandpur (established in the early sixties) continues to function, withpresent emphasis on in-service training. The training of new fishery person-nel is now being undertaken by the Faculty of Fisheries of the BangladeshAgricultural University at Mymensingh. Assistance for development of anaquaculture complex at Mymensingh is being provided by UNDP and DANIDA. Voca-tional training for fishermen is carried out at four centers: Chandpur,Mymensingh, Barisal and Serajgang. During 1976/77, the centers trained atotal of 85 fishermen in modern fishing methods and aquaculture. An expandedprogram of vocational training is under consideration, but has not yet beenundertaken due to budgetary constraints.

Inland Fisheries Development Activities

2.33 In order to increase the efficiency of the inland fisheries sub-sector, GOB is undertaking a wide-ranging aquaculture development program.Of the twenty-six projects currently in effect, four are being undertakendirectly by GOB (total amount US$3.9 million). The remaining twenty-twoprojects (total amount US$9.6 million) are being funded by both multilateraland bilateral donors, as well as through voluntary agencies such as CARE andCaritas.

2.34 The main thrust of GOB efforts is on the management and rehabilita-tion of derelict ponds, for which approximately US$2.1 million has been allo-cated since 1973. Some 35% of the allocated funds are earmarked for pondrehabilitation loans, to be channelled through BKB and other banks to poten-tial fish farmers. To complement its operational programs, GOB is providingUS$1.6 million during the period 1975-79 for continued development of theFreshwater Fisheries Research Center at Chandpur.

2.35 Among the multilateral lending agencies, the World Bank has thelargest ongoing inland fisheries program, with fisheries components in theKarnafuli Irrigation Project (Cr. 605-BD) as well as Rural Development I(Cr. 631-BD).

2.36 The Karnafuli Irrigation Project provides US$3.3 million (about11% of the total project cost) for studies of fishery development in both theMuhuri 1/ and Karnafuli Irrigation Project areas and construction of a moderncarp hatchery in the area covered by the Chandpur II Irrigation Project(Credit No. 340-BD). At full development, the carp hatchery 2/ will produce20-25 million fingerlings per annum for periodic stocking in water bodiesadversely affected by irrigation works in the Chandpur area. Constructionof these works has, as anticipated, made it difficult or impossible for finger-lings to naturally enter areas traditionally utilized by local fishermen. Asa result, fishery production in the Chandpur Unit has declined by an estimated30 percent.

2.37 In addition to providing fry for the stocking of water bodies cutoff from natural sources of juvenile fish, implementation of the fisheriessub-project is expected to significantly enhance Bangladeshi technical capa-bilities for the induced breeding of carp species. Consultants have beenengaged to supervise engineering and construction and to provide technicalassistance to DOF personnel responsible for operating the proposed hatchery.Thus far, on the job training has been provided for some 30 DOF FisheryOfficers and an additional 10 officers have received overseas training.Despite some initial delays, implementation of the fisheries sub-project isproceeding according to plan, thanks in large degree to the sustained effortsof DOF. The Karnafuli Irrigation Project became effective in February 1976and is scheduled for completion by June 30, 1980.

2.38 In the Rural Development I Project, approximately US$1.3 million(5% of the total project cost) has been allocated for the rehabilitation ofderelict ponds and for the organization of Thana Fishery Cooperatives toserve the needs of landless villagers in the project area. In addition, theproject provides for the training of district and village-level fishery offi-cers, including the hiring of an additional fishery officer and two fieldmenin each of the seven project thanas. Technical support for certain projectactivities is being provided by FAO and UNICEF. The project became effectivein August 1976, and is scheduled for completion by June 30, 1981.

2.39 Ongoing inland fisheries project support provided by the AsianDevelopment Bank (ADB) is currently restricted to the supply of materials fora fish marketing project (US$0.163 million) and technical assistance for pondculture operations in the northern part of the country.

2.40 ADB involvement will increase sharply if GOB approves a recentlyappraised US$38.1 million Aquaculture Development Project. As presently

1/ Credit No. 725-BD. In the Muhuri Unit, fish production in a polderedarea of 1,900 ha is expected to increase as proper management techniquesare implemented.

2/ Construction of the hatchery and rearing facilities is expected tocommence in early 1979 at a site 25 km southwest of Chandpur. By 1980it is expected that the hatchery will be supplying high quality fryto local fish farmers.

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envisioned, the project would include an ADB loan of US$18.0 million tocover 100% of foreign exchange requirements and some 14% of local currencycosts. The proposed project would include the following activities:

(i) establishment of five fish hatcheries and improvementof 50 fish seed multiplication farms (FSMF);

(ii) fresh-water shrimp hatchery and rearing;

(iii) fish pens in inland waters;

(iv) fish cages in Kaptai Lake;

(v) smallholder fishponds and shrimp estate;

(vi) a fish net plant;

(vii) fish processing facilities; and

(viii) ice plants and storage facilities.

2.41 Though the above-listed activities would take place at specifiedsites throughout the country, clarifications have been obtained from ADB thatnone of the activities would take place in or near the proposed Oxbow LakesFishery Project area. Implementation of the ADB project is estimated totake from three to five years from the date of effectiveness of the loan.

2.42 Aside from the World Bank and ADB, multilateral project supportand technical assistance is provided by UNDP, FAO and UNICEF. A new andimportant area of UNDP/FAO involvement concerns operational assistance forGOB's recently-constructed Aquaculture Experiment Station at Mymensingh.UNICEF activities include support for a scheme to strengthen the fisheriesextension service as well as technical assistance for the establishment ofa nationwide network of fish seed multiplication farms.

2.43 Bilateral assistance for inland fisheries development has been pro-vided by Denmark, Norway, China, Thailand, the United Kingdom and the UnitedStates. Assistance from Denmark (through DANIDA) includes approximatelyUS$0.5 million for construction of the Aquaculture Experiment Station atMymensingh. UK support is for technical assistance for fish farming in con-nection with a production and marketing project at Nimgachi (total amountUS$2.0 million). In order to develop and improve the skills of Bangladeshifish culturists, the People's Republic of China is providing training coursesand study tours in China for some 75 individuals.

2.44 Development assistance provided by voluntary agencies amounts toapproximately US$0.3 million. Four of the six ongoing projects involvetechnical assistance for pond culture fisheries. The remaining projectsprovide materials, small boats and gear to improve the efficiency of tradi-tional fishermen. Both CARE and the World Food Program have ongoing food-

for-work projects aimed at the rehabilitation of derelict ponds throughout

the country.

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2.45 Of all the projects now in effect, none is oriented towards increas-ing production in oxbow lakes. GOB is aware of this imbalance in the fisheriesdevelopment program and is attaching high priority to future projects aimed atexploiting oxbow lake potentials.

III. AQUACULTURAL POTENTIALS AND MANAGEMENT PRACTICES

Potentials

3.01 As a deltaic country laced with rivers, estuaries, ponds and lakes,Bangladesh is ideally suited for inland fish farm development, providing greatpotential for rapid increases in fish production. The high natural product-ivity of inland waters in Bangladesh is attributable to a combination of in-tensive solar energy and soil and water which are rich in nutrients. A majorsource of nutrients is through the deposition of alluvial silts by the Ganges-Brahmaputra river system. Rain and monsoon floods accelerate the accumulationof nutrients in low-lying water bodies distributed throughout the countryside.

3.02 The Department of Fisheries estimates that the country has approxi-mately 155,000 ha of impounded inland waters which are readily available forfish culture. Additional extensive inland water areas need to be reclaimedbefore they can be brought into regular production. Present yields fromunfertilized ponds generally do not exceed 600 kg/ha/yr. In fertilized ponds,there are instances where yields of approximately 1,625 kg/ha/yr have beenobtained. The scope for significantly higher yields has been demonstratedin India and elsewhere in Asia, where multi-species carp culture, termedcomposite culture or polyculture, is becoming increasingly popular. A majoradvantage of the polyculture approach is that the feeding habits of differentspecies are harmonized to optimally utilize available food resources.

3.03 Composite culture techniques are well-suited for oxbow lakes, whereit is estimated that yields in the range of 600 to 1,400 kg/ha/yr can beachieved. To realize this potential, an assured supply of high quality seedis an essential prerequisite. The provision of such seed is now possiblethrough improvements in induced breeding techniques (hypophysation). 1/ Underthis procedure, injections of pituitary gland extract from mature carps areused to trigger the spawning of fish in captivity. Hypophysation is employedas a regular part of fish culture operations in many parts of India and wasfirst introduced in Bangladesh by DOF personnel in 1966. Subsequently,support was provided through the UNICEF and FAO-sponsored fishery developmentactivities cited earlier (para 2.42).

3.04 In addition to polyculture and induced breeding techniques, aqua-cultural productivity is closely linked to the concept of water body control.

Given the recurrent monsoon floods characteristic of Bangladesh, embankments

1/ Fish farmers in areas where induced breeding is not practiced mustrely on the collection of wild seed, the supply and quality of whichis subject to considerable variation.

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and other water control works are used to prevent predatory fish from enter-ing, and stocked fish from escaping impounded areas. Another aspect of con-trol relates to the management of aquatic weeds, which heavily infest manyoxbow lakes. In general, surface weeds such as water hyacinth must be manuallycleared on a periodic basis, while the spread of submerged weeds can bechecked with the introduction of grass carp. An added advantage of watercontrol is that it facilitates the maintenance of appropriate water qualitystandards, a key element of high yielding aquacultural practice.

3.05 In some lakes and ponds, productivity may be limited as a resultof nutrient deficiencies. In these cases, high yields may, nevertheless, beachievable by means of fertilization and supplementary feeding. Commonlyused fertilizers include organic manures (like cow dung, poultry droppingsand compost) and inorganic chemicals (nitrogenous, phosphatic and potassicfertilizers). To condition the pond soil and water for a better response fromadded fertilizers, it is also common to add lime. Supplementary carp feedsinclude oil cakes (from mustard seed or ground nut), rice or wheat bran, andcertain aquatic weeds for grass carp.

3.06 Utilization of the above-mentioned techniques requires a nucleusof trained personnel in fields such as hatchery management, induced breedingand aquatic weed management. In India, short-term training programs havebeen successfully developed to impart these skills within 3 to 6 months,using a combination of classroom and on-the-job training. The initialformulation of operational procedures for specific water bodies may requirea specialized technical assistance input, as is being provided in connectionwith the Karnafuli Irrigation Fisheries Sub-project (para 2.36). The estab-lishment of these procedures, together with the training efforts mentionedabove, can significantly enhance potentials for the rapid development ofself-sustaining aquacultural enterprises.

Present Oxbow Lake Management Practices

3.07 The present status of government-managed oxbow lakes leaves consider-able scope for improvement. A pervasive constraint concerns the relativescarcity of fish seed, which is currently collected from rivers during themonsoon season. Under this arrangement, both the quantity and quality of thespawn are difficult to control, and the available evidence suggests that thesituation is worsening. In the case of seed quality, a major problem is iden-tifying and separating carp spawn from the spawn of predatory species whichresemble carp spawn. Since none of the lakes in Bangladesh are serviced bymodern hatchery facilities, it has not been possible to utilize induced breed-ing techniques for quality control.

3.08 Because carp is a preferred table fish and is well-suited for lakeculture, the Department of Fisheries periodically stocks lakes under its con-trol with Indian major carps such as catla (Catla catla), rohu (Labeo rohita)and mrigal (Cirrhinus mrigala). An analysis of recruitment and retrieval datafor the proposed project lakes shows that the average carp stocking ratio over

the past five years ranged from 1,500 to 2,600 fry/fingerlings/ha/yr. 1/ How-ever, the average retrieval rates of the stocked fish has never exceeded 6percent per annum. In yield terms, carp production among the selected lakesaveraged only 115 kg/ha. The rate of production of miscellaneous fish duringthe same period is not known since no records were kept.

3.09 The historically low catch rates from the proposed project lakesare in part a function of depredation by predatory species which enter thelakes during the flood season or are inadvertently stocked with the carp fry. 2/

3.10 The widespread infestation of aquatic weeds in the selected lakescontributes to low retrieval rates. The growth of weeds has been stimulatedby the runoff of nitrogenous fertilizers used for terrestrial agriculturein the periphery of the lake areas. Surface weeds such as water hyacinth(Eichornia spp.) as well as submerged weeds (particularly Hydrilla) havebeen encountered, with extensive infestation occurring in Baluhar, Gobin-dapur and Fetehpur lakes (Maps 13616, 13619 and 13617).

3.11 The harvesting of carp is presently on a catch sharing basis, with60 percent of the catch sales proceeds going to the Department of Land Revenueand 40 percent paid to lake fishermen. Harvesting is done throughout the year,though the peak season is between November and March. For miscellaneous fish,there are no catch sharing arrangements in effect. Fishermen must be licensedby DOF, however, which charges a license fee of Tk 10-15 per annum.

3.12 Commonly-used fishing gear includes gill and seine nets as wellas cast nets operated from the shore or from dugout boats. Twin boat ring-net traps are also used. Size/weight restrictions are presently enforcedwith respect to catla and mrigal, which must weigh at least 1 kg before theycan be harvested.

3.13 Fish marketing is primarily in the hands of private traders whofrequent lakeside landing sites. Fishermen are often in debt to thetraders and are known to sell their catch at depressed prices when otheralternatives do not present themselves. The ability of the fishermen tohold out for higher prices is limited because of the highly perishablenature of fish and the absence of ice and insulated boxes. Thus, in 1978,oxbow lake fishermen in Jessore District were reported to receive Tk 8.2/kgfor fresh carp at the lakeside, while the wholesale price in Jessore townwas Tk 12-15/kg. The lack of all-weather access roads and vehicles hascompounded marketing difficulties.

3.14 Ownership of the selected lakes is vested with the Ministry of LandRevenue, which leases them to DOF on an annual basis. The short-term natureof this system has not been conducive to investments in either rehabilitationor improvement. Administration and development of the lakes is nominally theresponsibility of the Jessore District Fishery Officer, who is assisted byseveral Thana Fishery Officers. However, due to the lack of finance, trans-portation and various administrative constraints, the TFO's have been unable

1/ This is far below the number required for commercial cultivation.

2/ It appears also that there is a large resident population of predatoryfish which inhabit the proposed project lakes,

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to undertake any systematic or scientifically-based program of lake development.

As a result, harvesting is typically haphazard, raising the possibility that

many fish are caught prematurely.

IV. THE PROJECT

Location and Climate

4.01 The project is located in Jessore District in the southwest quadrant

of Bangladesh. Jessore lies some 30 km from the Indian border in the delta

between the Hooghly and Padma Rivers. There are 37 large-sized oxbox lakes

(covering about 4,000 ha) and 50 smaller lakes scattered throughout the dis-

trict. Ten of the 87 lakes are administered and stocked by the Department of

Fisheries, with the remainder available for lease by private cooperatives

from the Department of Land Revenue.

4.02 A network of paved roads links Jessore with Dacca (150 km northeast)

and Khulna, the Division Headquarters, some 60 km south. Access to project

lakes is by dry season feeder roads and tracks, all of which become impass-

able during rainy periods.

4.03 The climate is humid tropical during the southwest monsoon (June-

October) and relatively mild during winter (December-February). The mean

monthly temperature range is 18 0-30 0 C, with peak temperatures in the forties

in April. Warm weather and abundant sunlight provide a potential for crop

production as well as tropical fish culture. Rainfall is also plentiful,

about 1,500 mm yearly, most of which occurs between April and November. The

high annual rainfall assures that lakes have water even in the dry months

(December-March). During the annual flood season (July-September), overflow

from local rivers inundates surrounding areas with 2 to 3 m of water by

September, subsiding gradually in October and November.

Objectives

4.04 The proposed project represents the first systematic attempt to

develop underexploited oxbow lakes in Bangladesh. As a pioneer undertaking,

the project would provide for the introduction of new seed production and

lake management technologies which would have implications for inland fish-

eries production throughout the country. The project would include training

and technical assistance components to facilitate the transfer of these tech-

nologies to indigenous personnel.

4.05 Within the project area, specific objectives would be the following:

(i) substantially increase inland fisheries production by

developing six oxbow lakes and supporting hatcheryfacilities;

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(ii) improve the well-being of fishermen through increased incomeand investments in access roads, water supply, telephone andelectricity;

(iii) upgraie the professional competence of Bangladesh fisherypersonnel by providing in-service training at the centralhatchery and at project lakes; and

(iv) provide a dependable source of good quality fry and fin-gerlings for use by fish farmers in and around the projectarea.

4.06 At full development, total annual carp production from the proposedproject lakes would be about 950 MT, representing a sevenfold increase abovecurrent levels. On a per hectare basis, implementation of the project wouldincrease the present average yield of 130 kg/ha/year to about 900 kg/ha/yearwithin five years.

Main Investment Features

4.07 Oxbow Lake Development. A cluster of six oxbow lakes would bedeveloped under the project (Table 4.1). The number of project lakes waspurposely kept small to avoid dilution of technical and management capabilityamong too many sites.

Table 4.1: PROPOSED OXBOW LAKES /a

Name Dry Season Areaha

1. Baluhar 282.02. Jaydia 189.03. Fetehpur 47.04. Kathgara 71.05. Gobindapur 217.06. Marjat 253.0

Total 1,059.0

/a The relative location of the proposed lakes isshown in Map 13615.

4.08 A preliminary review indicates that, except for Kathgara, 1/ sedi-mentation would not occupy more than 10% (on average) of present storagecapacity over the next 30 years. Assurances were obtained that DOF wouldcarry out detailed investigations of lake sedimentation and storage capacity 2/

1/ After 15 years, Kathgara would likely require further rehabilitation(e.g., raising embankments and building control gates) to keep sedi-ment below 20% of storage capacity.

2/ The investigations would be undertaken to refine the mission's estimates

of lake sedimentation and storage capacity, as shown in Annex 4.

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and that the results of these investigations would be forwarded to IDA forreview and comment.

4.09 The civil works to be constructed at each lake include: (i) em-bankments; (ii) inlet/outlet works; (iii) lake fishery stations; and (iv) lake-side hatchery facilities.

4.10 Earth embankments (totalling 55 km) would be constructed primarilyin lowlying lake peripheries to prevent fish from escaping during the floodseason. All embankments would have 0.6 M freeboard above the maximum 10-yearflood level, thus affording a secure impoundment for planned fish cultureoperations. Assurances were obtained that GOB would adequately investigatethe 10-year flood levels at each lake for detailed design of embankments.

4.11 Inlet/outlet culverts would ensure a continued supply of water forcultivated areas adjacent to the lakes. Culverts would be fitted with wirescreen to keep lake fish from escaping and to preclude the entry of predatoryfish.

4.12 The construction of lakeside fishery stations would provide neededoffice space, laboratory space and living quarters for lake management per-sonnel. Each station would be responsible for sampling water quality, super-vising the periodic clearance of water hyacinth, providing technical assist-ance to lake fishermen and monitoring landing and distribution activities.

4.13 In order to provide lakes with a capability to supply their ownfingerlings, the project would finance the construction of lakeside hatcheryfacilities and dugout ponds.2 A typical lake hatchery would include a single-room enclosure of about 60 M to house hatching tanks, hatchling collectionboxes and other equipment necessary for induced breeding. In the hatcheryenclosure, a proper cement cistern would be constructed to hold hatchlingsfor about three days prior to stocking in prepared nursery ponds.

4.14 Three types of dugout ponds would be constructed on the lakeshorenear the hatchery enclosure: Brood stock, nursery and rearing ponds. Thetotal pond area per lake would vary from 4 to 22 ha, depending on lake sizeand seasonal stocking requirements.

4.15 Central Hatchery Complex. In the initial phase of project imple-mentation, fry for all six lakes would be produced at a Central Hatchery tobe located at Baluhar Lake. The Baluhar site was selected because of itscentral location, available land and proximity to a main highway.

4.16 At full development, the Central Hatchery would be capable of pro-ducing, mostly by induced breeding techniques, some 20 million carp fry perannum. As lake management personnel gain experience and lake hatchery pro-duction increases, fry from the central hatchery would be sold to fish

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farmers outside the project area, where the demand for good quality fryis increasing. 1/

4.17 Induced breeding efforts at all project hatcheries would focusmainly on carp in view of their acceptance among Bangladeshis and the factthat they are biologically well-suited for oxbow lake culture. Species tobe bred, reared and stocked would include the Indian major carps (catla,rohu, mrigal), grass carp, silver carp and common carp.

4.18 The entire Central Hatchery complex would occupy approximately44 ha (8 ha for structures and 36 ha for dugout ponds). Induced breedingfacilities would be analogous to those provided at the other project lakes,though of larger scale. Dugout ponds would include 150 nursery ponds, 90rearing ponds and 6 broodstock ponds (Map 13683).

4.19 Other facilities to be located at the central hatchery complexwould include: (i) an administration building; (ii) a trainee hostel;(iii) staff and guest quarters; and (iv) a garage and workshop.

4.20 Infrastructure. The project would provide financing for thefollowing infrastructure investments: (i) access roads; (ii) electricalpower for hatcheries and fishery stations; and (iii) telephone service.

4.21 The proposed project lakes are presently linked to all-weather mainhighways by poor quality earthern access roads. The access roads are badlyrutted and become impassable even after brief showers. To provide fishermenand surrounding farmers with assured access throughout the year, project roadswould be upgraded and realigned as necessary. 2/ The main access road to theCentral Hatchery at Baluhar (1 km) would have a 6 M carriageway, while se-condary access roads (25 km) would have a 4 M carriageway. All roads wouldbe asphalt surfaced with a minimum embankment clearance (free-board) of 1 Mabove the 10-year flood level. The main access road would cost aboutTk 870,000 per km. The estimated expenditure for secondary roads would beon the order of Tk 630,000 per km, excluding land acquisition costs.

I/ About 60 km east of the project, an upcoming IDA drainage and floodcontrol project will, as a secondary effect, restrict the naturalentry of fry in two poldered sub-project areas totalling some 35,000 ha.As a result, farmers will require a new source of fry/fingerlings, ademand which the proposed Central Hatchery is well-suited to meet. Asimilar scheme to provide hatchery-produced fingerlings for polderedirrigation areas is underway in connection with the IDA-financedKarnafuli Irrigation Project (Credit No. 605-BD).

2/ District Council authorities, in consultation with the Roads andHighways Department, would undertake upgrading of lake and hatcheryaccess roads.

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4.22 Since electricity is essential for the operation of project hatch-eries, an 11 Kv line system would be installed to transmit power from Kotch-andpur Station (33/11 Kv) to the Central Hatchery Complex, about 2.5 km. Adistribution system would extend electricity to other lake hatcheries (Map13615). 1/

4.23 A telephone system would be provided to link the various lakefishery stations. 2/ Two direct lines (Jessore to Baluhar and Jessore toMarjat) would be installed on existing poles. New lines would be installedconnecting Baluhar with Jaydia and Fetehpur, and Marjat with Kathgara andGobindapur lakes.

Aquaculture Program

4.24 Complementary to the physical investments described in the previoussection, the project would include a comprehensive aquaculture program designedto increase production efficiency at the selected lakes and hatchery sites.

4.25 At the lakes, the management program would be basically an exten-sion of the polyculture system, using a combination of Indian major carps(i.e., catla, rohu, mrigal); Chinese carps, i.e., silver carp (Hypophthal-michthys molitrix), and grass carp (Ctenopharyngodon idella); and common carp.The introduction of Chinese carps is imperative because the Indian major carpspresently stocked in the lakes do not utilize the full range of fish food andweeds such as Hydrilla and duckweed (Lemna spp.). The existence of significantquantities of unutilized fish food, primarily phytoplankton, gives the lakewaters a greenish appearance. Phytoplankton feeding silver carp would grazedown the unutilized phytoplankton, while weed eating grass carp would effec-tively control the submerged Hydrilla, which is present in enormous quantitiesin the project lakes.

4.26 Among the Indian major carp, catla and rohu would be stocked tofeed on surface and column food, while mrigal, which is a bottom dweller,would graze on detritus. Stocking of European common carp is likewise recom-mended since it is an omnivore which rakes up bottom mud, thus promoting thecirculation of nutrients from the soil to the water. In total, a six-speciescombination of high yielding carp is recommended to achieve optimal productionfrom the project lakes.

4.27 Since several highly predatory species are presently establishedin the lakes, 3/ appropriate biological control measures must be included

1/ Installation of the electrical system would be handled by the PowerDevelopment Board (PDB).

2/ Telephone equipment would be installed by Bangladesh Telephone andTelegraph (BTT).

3/ Such as Wallego attu, Chana murulius and Notopterus Chitala.

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in the aquaculture program. In this regard, live bait angling and seinenetting (4-5" mesh) would be encouraged in the pre-monsoon season to reducethe predatory fish population as much as possible before monsoon breedingtakes place. As an incentive, free licenses or rewards for certain specieswould be offered.

4.28 The control of snails and other molluscs which also infest theproject lakes would be achieved by stocking black carp (Mylopharyngodonpicens) or catfish such as Pangasius spp. The rate of stocking of thesefish would depend on the actual assessment of the snail population.

4.29 The stocking density and ratio of the co-stocked species wouldvary from year-to-year, depending on physio-chemical conditions, planktondensity and extent of aquatic weed infestation. An initial stocking rateof 8,000 carp fingerlings/ha would be employed.

4.30 In the first and second years of the project, Indian major carpfry/fingerlings would be purchased locally, with hatchery-bred suppliesbecoming available by Year 3. It is expected that Chinese and common carpfingerlings would likewise be available for stocking by Year 3 of the project.Since Chinese carp are presently not available in Bangladesh, assurances wereobtained that GOB would by July 31, 1981, have imported approximately 10,000grass carp fry and 10,000 silver carp fry. These fry would be temporarilystocked at the Jessore District seed farm pending the availability of lakesiderearing ponds.

4.31 Fertilization of project lakes would be deferred until after grasscarp fingerlings are stocked to control submerged weed. 1/ Once weed grazinghas taken place, monthly applications of phosphate fertilizers would be in-cluded in the aquaculture program. Fertilizer dosage would be a function ofphysio-chemical conditions, nutrient levels and the growth rate of the co-stocked carp species.

4.32 Supplementary feeding is not contemplated at present, though thisoption could be utilized in subsequent years, again depending on the degreeof submerged weed infestation and carp growth rates.

4.33 Harvesting would be carried out using conventional techniques,such as gill nets. Seine nets may also be used. Harvesting operations wouldbe spread over about 240 days a year, with a slack period during the monsoonmonths.

4.34 Aside from the various lake fish farming activities described above,an integral part of the aquaculture program concerns the induced breeding andrearing of carp fry and fingerlings. Initially, all breeding activities wouldtake place at the Central Hatchery at Baluhar Lake, which would have a produc-tion capacity of 20 million fry per year. Subsequently, hatchery, nursery and

1/ Until the grass carp are available, locally-procured Puntius gonionotuscould be stocked at the rate of 100/ha/yr for interim control of sub-merged weeds.

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rearing facilities would be constructed at each lake so that each of the pro-

ject lakes would eventually become a self-sufficient induced breeding unit and

the Central Hatchery would supply its seed for stocking water bodies outside

Xic project area.

4.35 Key phases of the induced breeding/rearing cycle may be summarized

as follows:

- production and selection of broodstock;

- induced breeding (hypophysation);

- collection and care of eggs;

- hatching techniques;

- care and collection of hatchlings;

- nursery pond management;

- rearing pond management; and

- lake stocking procedures.

4.36 Broodstock production would be undertaken in newly constructed

broodstock ponds of 0.4 ha each. These ponds would be fertilized with

manure and chemical fertilizers and provided with supplementary food such

as rice bran or oil cake. Selection of broodstock would be done after

approximately two years, at which time the fish would have reached an

average weight of 2-3 kg.

4.37 Induced breeding operations would be undertaken at the advent

of the monsoon season when natural breeding normally takes place. Since

common carp breed naturally in confined waters, 1/ induced breeding would

be required only for Chinese and Indian major carps. For these species,

breeding activity is induced by the administration of pituitary gland

extract taken from mature carps. The procedure for obtaining and storing

pituitary hormones is relatively simple and refrigerated pituitary "banks"

would be established to guarantee an ample supply for breeding purposes.

4.38 Egg collection takes place from four to seven hours after the ad-

ministration of the pituitary extract. Normally, the developing eggs hatch

some twelve to fifteen hours after fertilization. Hatchlings are kept in a

special cement cistern for about three days until they a e ready for stocking

in prepared nursery ponds. One cistern of less than 2 m will accommodate

nearly one million hatchlings for the three day holding period.

1/ Common carp will naturally breed in a pond habitat several times a

year. Best results are obtained towards the end of winter (February-

March) and during monsoon seasons.

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4.39 Important nursery pond management procedures would include pond pre-paration, weed clearance, eradification of unwanted fish and aquatic insectsand, fertilization and supplementary feeding. The latter procedure would beextremely important, since the spawn are voracious feeders capable of exhaust-ing the natural pond food supply (i.e., plankton) in only 4-5 days. Underthe project, harvesting of fry would normally take place after several weekswhen average size reaches 25-30 mm. A nursery pond survival rate of 75% isenvisioned. During each breeding season, two to three crops of hatchlingswould be raised in nursery ponds.

4.40 The basic procedures for rearing pond management are analogous tothose described above. As before, consideration must be given to weed control,fertilization, supplementary feeding and so on. The stocking rate of 25-30 mmfry would be about 0.3 million/ha. With the provision of supplementary feed(oil cake plus rice bran) on a daily basis, the fry will attain fingerlingsize (120-150 mm) at the end of three or four months. An average survivalrate of 75% is assumed for fry to fingerling rearing.

4.41 Initially, all nursery and rearing pond operations would be under-taken at the Central Hatchery. These operations would be gradually shiftedto the project lakes as lakeside hatchery facilities and pond complexes areconstructed.

4.42 Once rearing is complete, lake stocking takes place. Using a stock-ing rate of 8,000 fingerlings/ha, the fingerling requirement for the combinedproject lake area of 1,059 ha would be approximately 8.5 million per annum.Excess fry/fingerling production would be sold to local fish farmers (para4.16) who face a shortage of high quality carp seed. It is expected thatmost of these transactions would be for the sale of fry, with the purchasersundertaking fry to fingerling rearing in their own impoundments.

Cost Estimates

4.43 The total project cost including taxes and duties (US$0.6 millionequivalent) is estimated at US$7.5 M (Tk 111.9 M equivalent), of which US$3.0million or about 37% would be foreign exchange (Table 4.2). Estimates arebased on May 1978 prices. Physical contingencies have been estimated at20% since detailed design work is yet to be completed. Annual expected priceincrease rates used in estimating the total costs of imported items were 7.5%in 1979 and 8% in 1980-85. For domestically produced items, a 10.0% priceincrease rate was used. Costs of civil works, including embankments, build-ings, dugout ponds and infrastructure are based on recent costs in Bangladeshfor similar works. The cost estimates for equipment and vehicles are based onunit prices in recent contract awards and on international prices. Detailedequipment requirements and cost estimates are presented in Annexes 5 and 6,respectively.

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Table 4.2: COST ESTIMATES

Tk '000 US$ '000 % of

Local Foreign Total Local Foreign Total Total

Land Acquisition 3,308.2 - 3,308.2 220.5 - 220.5 3

Lake Improvement 2,263.8 352.3 2,616.1 150.9 23.5 174.4 2

Hatchery Facilities 4,847.5 3,134.5 7,982.0 323.2 209.0 532.2 7

Dugout Ponds 3,064.7 - 3,064.7 204.3 - 204.3 3

Equipment &Vehicles 1,987.0 7,019.0 9,006.0 132.5 467.9 600.4 8

Infrastructure 18,823.7 9,107.3 27,931.0 1,254.9 607.2 1,862.1 25

Subtotal 34,294.9 19,613.1 53,908.0 2,286.3 1,307.5 3,593.8 48

Engineering &Admin. (15%) 3,795.0 3,795.0 7,590.0 253.0 253.0 506.0 7

TechnicalAssistance - 10,818.0 10,818.0 - 721.2 721.2 10

Training 786.0 225.0 1,011.0 52.4 15.0 67.4 1

IncrementalOperating Costs 5,949.5 - 5,949.5 396.6 - 396.6 5

Base Cost Estimate 44,825.4 34,451.1 79,276.5 2,988.3 2,296.7 5,285.0 71

Physical Contin-gencies (20%)/a 7,618.0 4,681.6 12,299.6 507.9 312.1 820.0 11

Price Contingencies 13,726.3 6,571.5 2,0297.8 915.1 438.1 1,353.2 18

Total Estimate /

Project Cost 66,169.7 45,704.2 11 1,8 7 3 .91b 4,411.3 3,046.9 7,458.2 100

/a Excluding technical assistance, training and incremental operating costs.

/b Includes US$0.6 M equivalent in taxes and duties.

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Financing

4.44 The proposed IDA credit of US$6.0 M (covering about 90% of the

total project costs, excluding duties and taxes) would finance 100% of for-

eign exchange costs and about 67% of local costs. IDA financing of 90% of

the project cost is recommended in view of DOF's limited financial resources

and heavy commitments elsewhere in the fisheries sector. In addition, pro-

vision of 90% IDA financing would enable DOF staff to concentrate fully on

project execution and would constitute an assured financial base for the

speedy introduction of new carp production and breeding technologies. GOB

would finance the balance of the project cost, US$1.5 M (TK 22.5 M equivalent,

including duties and taxes). To ensure the timely provision of project funds

and hiring of needed extra project staff, a condition of credit effectiveness

would be approval of the Project Proforma 1/ by the Executive Committee of

the National Economic Council.

Procurement

4.45 Overall responsibility for procurement would be vested in DOF.

Project civil works include embankments, hatchery facilities, dugout ponds,offices, living quarters, and supporting infrastructure such as access roads,

water supply, electrification and telephone connections. Civil works con-tracts (US$2.7 M) would be located at the six selected lake sites with con-

struction spread out over three years. Such contracts would not be suitablefor international competitive bidding and would be let through local competi-

tive bidding, using established GOB procedures satisfactory to IDA. Imported

construction materials (US$0.8 M), such as cement and steel bars, would beprovided by the selected contractors, as individual requirements would be toosmall to justify separate tenders under the project.

4.46 Equipment, vehicles and spare parts (US$0.7 M) would be procuredthrough ICB in accordance with Bank guidelines. A preference limited to 15%

of cif price or the prevailing customs duty, whichever is lower, would be

extended to local manufacturers in the evaluation of bids. Small off-the-shelf items costing less than US$20,000 for each contract, which are either

urgently needed or are not suitable for ICB, would be purchased through normal

Government procedures, on the basis of quotations received from three or more

suppliers.

4.47 Documents for all contracts, whether for civil works, materials,equipment or vehicles estimated to cost US$50,000 or more would be sent

to IDA for review before bids were invited and later before award. Contractsestimated to cost less than US$50,000 would be awarded in accordance withnormal Government procedures, which are satisfactory. A summary of the bid

evaluation would be sent to IDA with all contracts for which disbursement is

sought. The format would be agreed at negotiations.

1/ An internal GOB document which must be approved prior to the release of

funds and authorization to hire new staff.

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Disbursements

4.48 Disbursements from the proposed IDA Credit would cover:

(a) 80% of civil works expenditures;

(b) 80% of expenditures for locally procured constructionmaterials, equipment, vehicles and spare parts;

(c) 100% of cif expenditures for directly imported con-struction materials, equipment, vehicles and spareparts;

(d) 100% of total expenditures for consultants' services andoverseas training; and

(e) 80% of administrative expenditures of the ProjectImplementation Unit.

4.49 Disbursements for expenditures (a) through (d) above would be onthe basis of full documentation. In the case of expenditures incurred by thePIU, item (e) above, disbursements would be against certificates of expendi-ture submitted by DOF, the documentation for which will not be submitted forreviewing but will be retained by the Borrower and will be available forinspection by IDA during the course of Project supervision missions. Theproposed credit allocation and the estimated schedule of disbursements areshown in Annex 7. It is estimated that the credit would be fully disbursedby June 30, 1984.

Accounts and Audits

4.50 Assurances were obtained that:

(a) separate accounts would be kept for the project by DOF;

(b) these accounts would be audited annually in accordancewith procedures satisfactory to IDA;

(c) a separate annual audit would be undertaken with respectto Project Implementation Unit expenditures; and

(d) GOB would send IDA copies of the audit reports annuallywithin six months of the end of the fiscal year.

Environmental Impact

4.51 Implementation of the project would have a positive effect on theenvironment. Among the selected lake sites, systematic management effortswould reduce the breeding of mosquitoes and snails, which are known hosts fortransmitting tropical diseases such as malaria, schistosomiasis and filaria-sis. All of these diseases are prevalent in the project area. Proposed water

- 25 -

control works such as embankments and screened inlet/outlet gates would pro-vide fishermen as well as neighboring rice farmers with the means to bettermanage seasonal flood waters. It is also expected that proposed infrastructureinvestments, particularly all-weather access roads and electrification, wouldhave a noteworthy impact on the quality of life in the rural villages surround-ing the project area.

V. ORGANIZATION AND MANAGEMENT

Department of Fisheries

5.01 Overall responsibility for execution of the project would rest withDOF. 1/ Specific responsibilities of DOF would include surveys, planning,designs, procurement and implementation of all project works. To the extentnecessary, DOF headquarters personnel would be made available to provideadministrative and technical support for project activities. At the fieldlevel, Divisional, District and Thana Fisheries Officers would liaise withproject staff and provide assistance with respect to carp marketing and fry/fingerling sales to neighboring fish farmers. Headquarters training staffwould cooperate with project staff in the design and implementation of in-service training activities to be conducted at the Central Hatchery and lakesites (para 5.09).

Project Implementation Unit

5.02 Day-to-day management of the project complex and selected lakeswould be undertaken by an administratively self-contained Project Implemen-tation Unit (PIU). Based at Baluhar lake (i.e., at the Central Hatchery),the unit would be headed by a specially appointed Project Director to carryout the following functions:

(a) Management of project funds and facilities;

(b) Preparation and implementation of annual workprograms (para 5.07), including fish farmingand breeding activities;

(c) Administration and supervision of all project-financed procurement and construction; 2/

1/ DOF is presently managing the lakes in the project area and, in themission's view, would be well-suited to continue in this role. The Plan-ning Commission also favors retaining DOF for project execution, there-by strengthening the agency's capability to effectively manage inlandfishery development activities.

2/ In consultation, where necessary, with officials from appropriate GOBagencies (e.g., Power Development Board, Roads and Highways Department,Bangladesh Telegraph and Telephone Department, etc).

- 26 -

(d) Monitoring of the distribution of benefits among

project participants;

(e) Recruitment of consultants and administration of

training activities;

(f) Preparation of quarterly progress reports and reports

from the project consultants for submission to IDA.

5.03 With respect to function (d) above, the PIU would include personnel

to continually monitor catch sharing and marketing arrangements with a view

to ensuring that lake fishermen receive an equitable share of project revenues.

5.04 Detailed staffing arrangements for the PIU were agreed at nego-

tiations. Establishment of the PIU including, inter alia, the selection

of a Project Advisor/Aquaculture Specialist and an Engineer, would be a

condition of effectiveness.

Lake Tenure

5.05 An essential element of project organization and management efforts

would be the securing by DOF of long-term leases for all project lakes and

lake depot sites. Title to all of the proposed lakes is presently held by

the Department of Land Revenue, which rents the lakes to DOF on an annual

basis. As discussed earlier (para 3.14), the short-term nature of annual

lease-auction arrangements has not been conducive to investments in either

rehabilitation or improvement. To eliminate the uncertainties associated

with the annual lease-auction system, assurances have been obtained that the

assignment of project lakes to DOF would endure throughout the economic life

of investments to be made under the project. 1/

Cooperation with Lake Fishermen

5.06 A key feature of project organization would be the clear delinea-

tion of carp production and marketing responsibilities between the PIU and

project fishermen. 2/ PIU staff would have overall responsibility for (a) in-

vestment in physical facilities, (b) seed production, (c) lake management 3/,

and (d) stocking operations. In addition, the PIU would market project fish

production jointly with the fishermen and provide vehicles and staff to assist

in marketing of the carp catch. The financial cost of these activities would

be met through the 60/40 catch sharing formula discussed in para 7.03. The

main responsibility of participating fishermen would be the daily harvesting

1/ Estimated to be 30 years.

2/ Presently, there are some 600 families licensed to fish in the project

area. As discussed in para 7.07, the number of participating families

will be enlarged as lake production increases. For all lakes, a

licensing system will remain in effect as a management tool for the

proper regulation of fishing effort.

3/ Including O&M of all lake facilities.

- 27 -

and landing of carp at the depots which would be constructed at each of theproposed lakes. Fishermen would also participate in marketing, together withPIU representatives. 1/

Annual Work Prog ams

5.07 Before each construction season, DOF would prepare annual programsdetailing activities and works to be undertaken during the forthcoming year.Such programs would include appropriate maps, charts and drawings, staffingand material requirements as well as cost estimates. The Project Directorwould be responsible for collating and consolidating these programs for sub-mission to IDA. Assurances were obtained that by September 30 of each year,IDA would receive, for review and comments, work programs and procurementschedules for the forthcoming construction year (November 1 to October 31).

Maintenance

5.08 The economic and financial viability of the proposed project isdirectly linked to the implementation of a satisfactory maintenance program.DOF would be responsible for the O&M of all project works except access roadsand telephone and power facilities. Maintenance of the lake and hatcheryaccess roads would be undertaken by the District Council, with assistance, ifnecessary, from the Roads and Highways Department. The maintenance of tele-phone lines and equipment would be the responsibility of Bangladesh Telegraphand Telephone (BTT). For power lines, installation and maintenance would behandled by the Power Development Board (PDB). Assurances were obtained thatproject facilities would be maintained in accordance with sound engineeringand management practices.

Technical Assistance

5.09 Technical assistance would include consultancy services for fishfarming and marketing and engineering and hatchery management. Within thelatter category, a specialist advisor would be provided for induced breedingoperations. A total of 130 months of technical assistance 2/ is included(Annex 8), at an average cost, including overhead, of Tk 83,000 (US$5,500) permonth. 3/ Fishery advisors would be based at the Central Hatchery complexwhere they would work closely with members of the PIU.

5.10 Short-term consultants would be employed, as necessary, for assist-ance in engineering design work and in establishing appropriate proceduresand organizational arrangements for proper operation and maintenance of theproject facilities. Assurances were obtained that DOF would employ

1/ Marketing arrangements are discussed in paras 6.03-6.04.

2/ Including 18 months for short-term consultants.

3/ Fishery consultants could likely be drawn from neighboring countrieswhere considerable fish farming expertise exists.

- 28 -

consultants whose qualifications, experience and terms and conditions ofemployment would be satisfactory to the Borrower and IDA. The consultantswould include, inter alia, a Project Advisor/Aquaculture Specialist and anEngineer to be in post not later than December 31, 1979.

TrJining

5.11 The project would provide facilities for in-service training at theCentral Hatchery in lake management, induced breeding techniques, compositefish culture, aquatic weed control, nursery rearing and brood stock management.Fishery advisors would assist the PIU in training efforts. Trainees wouldinclude DOF personnel as well as small-scale fish-farmers who could benefitfrom practical instruction in improved agricultural techniques. Once theproject is fully operational, the scope of training activities could be ex-panded to include the participation of fish farmers from outlying districts,thus promoting the diffusion of efficient fish farming methods throughoutthe country. To familiarize core staff with modern fish farming and hatcherymanagement techniques, short-term study tours would be organized for aboutsix staff members to neighboring countries such as India or Thailand. Assur-ances were obtained that the program for study tours and the qualificationsof the proposed candidates would be satifactory to IDA. In this regard, theBorrower agreed to furnish to IDA for approval (i) details of proposed over-seas training programs by December 31, 1979 and (ii) details of proposed in-country training programs by December 31, 1981.

Progress Reports

5.12 Project progress would be recorded by means of quarterly and annualprogress reports prepared by DOF staff. The reports would include all relevantdata on physical and financial progress of the project together with reasonsfor deviations, if any, from the targets set under annual work programs (para5.07). Following review and consolidation by the Project Director, quarterlyand annual reports would be promptly sent to IDA.

Monitoring and Evaluation

5.13 The main objectives of the monitoring and evaluation studies wouldbe to estimate the direct and indirect benefits resulting from the project aswell as the socio-economic characteristics of the project beneficiaries. Inaddition, the studies would explore the feasibility of alternative organiza-tional arrangements, including fishery cooperatives, which could prove usefulin the long run management of the project lakes (i.e., following the successfulintroduction of the aquacultural technologies discussed in paras 4.24-4.42).The data for evaluation would be obtained through selected in-depth interviewsas well as through canvassing representative samples of project beneficiaries.During negotiations, assurances were obtained that DOF would complete (i) abenchmark monitoring survey about two years prior to project completion and(ii) two follow-up surveys about one year and four years, respectively, afterproject completion. The surveys would include information on hatchery andrearing operations, stocking rates and yields, catch sharing and marketingarrangements, and employment and income distribution for the various classesof project beneficiaries. The monitoring studies and surveys would be under-

- 29 -

taken by well qualified local consulting firms or research institutionsselected in consultation with IDA. Assurances were obtained that beforeJanuary 1, 1980, DOF would prepare and submit to IDA for review, a detailedproposal for implementation of the project monitoring and evaluation program.In addition, DOF would furnish to IDA for comments by December 31 of eachsubsequent year the results of the monitoring program for the precedingfiscal year. Project progress reports (para 5.12) and data from the moni-toring and evaluation reports would form, in part, the basis for preparationof the Project Completion Report by DOF.

VI. PRODUCTION, MARKETING AND PRICES

Production

6.01 At full development in about 1984, annual production from the sixproject lakes would amount to 953 MT of carp, 1/ valued at US$0.76 million.Additional revenue amounting to US$0.05 million per annum would be realizedby the sale of fry from the Central Hatchery to fish farmers in surroundingareas. The sale of Central Hatchery fry outside the project area would com-mence in Year 5, following the achievement of self-sufficient fry productionat the project lakes.

Marketing

6.02 The market prospects for carp, the project's major product, areexcellent. Jessore District is currently a fish deficit area, as are partsof Kushtia and Rajshahi to the north and Khulna to the south. Carp is a pre-ferred table fish which is actively traded in rural and urban markets through-out the country. At full development in 1984, annual incremental fish produc-tion from the project would represent less than one percent of projected totalBangladesh fish production and would pose no serious marketing problem.

6.03 A major thrust of the project would be to rationalize carp market-ing practices. Toward this end, the project would include a lake accessroad component as well as the provision of trucks with ice boxes. 2/ Bothfeatures would facilitate the timely transfer of freshly caught carp to thesurrounding markets. Given the preference for fresh fish, coupled with therelatively small average daily catch of 4.0 MT (based on 240 fishing daysper year), the project provides for insulated boxes rather than costly coldstorage facilities. To improve market information, telephone lines would beinstalled linking the Central Hatchery with outside market centers such asJessore and Khulna (para 4.23).

1/ Of which 815 MT would be incremental production.

2/ The vehicles would be operated and maintained by DOF personnel.

- 30 -

6.04 Implementation of the project would effectively end the dependence

of lake fishermen on traders and middlemen offering depressed ex-lake carp

prices (para 6.05). Instead, fishermen would land their catch at DOF-operated

lake depots for weighing and transport to wholesale market sites. ThroughoLt

the marketing process, representatives of the fishermen would be present to

verify catch sharing arrangements and sales revenue. 1/ The effectiveness

of marketing operations would be further ensured by the assignment of a

marketing specialist to the Central Hatchery staff. In addition, the project

would include technical assistance services to develop, implement and monitor

marketing arrangements (para 5.07).

Prices

6.05 Prices used for project financial analyses are based on average

wholesale market prices for Jessore and Khulna Districts in May 1978. 2/

Given the continued unmet demand for carp and carp seed in and around the

project area, and expected improvements in the quality of both products, the

use of these prices on a constant basis for project analysis is reasonable.

Prices used average Tk 12,000 (US$800) per MT for carp and Tk 31,200 (US$1,113)

per million fry. Improved access and the provision of vehicles are expected

to end the dependence of lake fishermen on traders and middlemen who have pur-

chased carp at depressed ex-lake prices ranging from Tk 4,500 to 8,500 (US$300

to 565) per MT.

VII. FINANCIAL AND ECONOMIC ANALYSIS

Financial Analysis

7.01 The project's financial benefits would consist of (i) the incre-

mental carp catch resulting from project investments, (ii) the value of Central

Hatchery fry sales to neighboring fish farmers, and (iii) the increase in carp

prices received by project fishermen as a result of lower transport costs and

improved market access. At full development, proposed project investments are

expected to yield annual incremental landings of 815 MT of carp valued at Tk

10.5 million (US$0.7 million). As discussed in para 7.03, 60% of the proceeds

of carp sales would be retained by GOB.

7.02 The investment costs, operating results and cash flow relating to

development of the Central Hatchery Complex and the six selected lakes are

summarized in Annex 9. The estimated financial rate of return (ROR) on

hatchery development and lake improvement is 14%, based on the assumption

that present 60/40 catch sharing arrangement (para 7.03) would remain in

effect.

1/ The fishermen's 40% share of carp sales proceeds would be distributed

as soon as possible after the sale of the fish at the wholesale market.

2/ The financial cost associated with transporting the catch to wholesale

market centers is reflected in the cash flow estimates for O&M of

vehicles (Annex 9, Table 1).

- 31 -

Cost Recovery

7.03 A comparison of discounted incremental benefits with discountedproject cost estimates (Annex 9) supports the existing catch sharing arrange-ment whereby 60% of carp sales revenue are allocated to DOF and the remain-ing (40%) share is retained by the fishermen. If a greater share of carpsales revenues are channeled to participating lake fishermen, the estimatedcost recovery index becomes less than one, indicating that the project costis not fully recovered. As a result, assurances were obtained that, exceptas IDA shall otherwise agree, DOF would provide participating fishermen with40% of carp sales revenue promptly after the sale of such fish.

7.04 The estimation of cost recovery indices was based on a full devel-opment yield of 900 kg/ha and a 10% discount rate. Assurances were obtainedfrom GOB that if project revenues are higher than envisioned (or, projectcosts are lower) the catch sharing formula would be amended so as to recoveras much of the project's investment costs as possible while maintaining suf-ficient incentives for project fishermen. In this connection, the ProjectImplementation Unit would be required to monitor catch sharing and marketingarrangements at frequent intervals (para 5.03) to ensure an equitable alloca-tion of project revenues. The appropriateness of pricing policies and costrecovery norms would also be investigated on a periodic basis as part ofproject evaluation and monitoring activities (paras 5.12-5.13).

Economic Analysis

7.05 The project's economic rate of return is estimated to be about24% (Annex 10). Computation of the economic analysis is based on the follow-ing assumptions:

(a) Benefits. The projected revenue included in the analysisis based on the achievement of full development carp yieldsof 900 kg/ha after five years. Revenues from outside salesof Central Hatchery carp fry were assumed to commence inYear 5, reaching Tk 0.6 million per annum by Year 7. Addi-tional benefits which were not quantified include (i) theincremental production of miscellaneous fish; (ii) trans-port cost savings as a result of access road improvements;(iii) social benefits related to the provision of electricalpower and telephone services; and (iv) the value of incrementalcarp production realized by fish farmers outside the projectarea utilizing high quality seed produced by the CentralHatchery. 1/

1/ The annual sales of 20 million 4-5 cm carp fry (at full development)would be sufficient to service 800 to 1,000 ha of pond area. At anaverage yield of 1,000 kg/ha, total annual carp production would rangefrom 800-1,000 MT. At an average ex-pond price of Tk 8/kg, grossproduction benefits would be on the order of Tk 6.4 to 8.0 million(US$0.4 to 0.5 million) per annum.

- 32 -

(b) Prices. For project carp production, which is exclusivelyfor domestic consumption, the estimation of annual revenueis based on the prevailing wholesale market price of Tk 12/kg.Non-tradeable services, including transportation and handling,were adjusted by a factor of 0.75 to reflect the currentregime of import taxes and quotas. 1/

(c) Costs. The low opportunity cost of unskilled constructionlabor is reflected by application of a 0.75 conversion factorto the local cost element in the civil works. 2/ A proportionalshare (60%) of training and technical assistance costs wereexcluded from the economic analysis since they are orientedtoward general inland fisheries development and are notdirectly required for implementation of the project. Simi-larly,-only 50% of infrastructure costs, mostly for accessroads, were allocated to the project since a major share ofroad usage will be by non project participants, particu-larly small farmers, living in the vicinity of the proposedlakes. All other investment costs (net of contingencies,cost of land acquisition and taxes and duties) are includedin the economic analysis.

(d) Phasing of Costs and Benefits. Construction of lake facilities,including hatcheries and supporting infrastructure, would bephased over three years. The increased stocking and scientificmanagement of project lakes would, however, begin in thesecond year and accordingly some benefits are expected beforeconstruction is completed. Project facilities are assumed tohave a useful life of 25 years.

Project economic costs and benefits are summarized in Annex 10.

Sensitivity Tests

7.06 Sensitivity tests indicate that the project remains viable under avariety of adverse assumptions about economic costs and benefits (Table 7.1).

1/ This is a standard conversion factor which translates domesticprices to border prices for non-tradeables.

2/ To approximate the shadow wage rate.

- 33-

Table 7.1: Sensitivity Analysis

Assumption Rate of Return (%)

(a) Basic Case 23.9(b) All Costs Up 10% 20.8(c) All Costs Up 20% 18.3(d) All Benefits Down 10% 20.5(e) All Benefits Down 20% 17.2(f) Costs Up 20% and Benefits Down 20% 12.7(g) Construction Conversion Factor = 1.0 22.8(h) Construction Conversion Factor = 0.5 25.0(i) Three Year Lag in Benefits 12.9(j) Useful Project Life Reduced to 10 years 15.0

Project Beneficiaries

7.07 The direct project beneficiaries would be the 600 fishing familiespresently living in the vicinity of the proposed lakes. 1/ At full develop-ment, average family income from carp farming is expected to increase from thepresent Tk 750 per annum to Tk 7,625 (US$508) per annum (Annex 9, Table 3).Additional income would be realized through the sale of miscellaneous fish,the proceeds from which would go entirely to fishermen (i.e., catch sharingarrangements would apply only to carp production). Indirect beneficiaries ofthe proposed project would include non-fishermen inhabitants of the projectarea who would gain appreciably from access road improvements as well as ruralelectrification (para 4.20). Outside the project area, the principal benefi-ciaries would be fish farmers who would be offered an assured supply of highquality carp fry produced by the Central Hatchery.

Employment Impact

7.08 Direct employment benefits attributable to the project would belimited to families engaged in lake fishing activities. 2/ As project imple-mentation proceeds and yields increase, it is envisioned that the number oflicensed fishing families can be considerably increased. Additional increaseswould depend on catch/effort studies and financial considerations. Indirectemployment benefits are expected to extend to several thousand fish farmerswho would purchase carp seed from the Central Hatchery. With an assuredsupply of seed, these farmers would be freed from the risks costs associatedwith the collection of wild seed.

1/ These are landless families who earn their livelihood by fishing onthe project oxbow lakes. All of the families are licensed by DOF toengage in lake fishing operations. As discussed in para 7.08, it isenvisioned that the number of licensed fishing families can be consid-erably increased as project implementation proceeds. Assuming, forexample, that the number goes to 900, average family income would beon the order of Tk 5,083 (US$339) per annum.

2/ At present, there are some 600 families licensed by DOF to fish in theproject lakes.

- 34 -

Project Risks

7.09 The major project risk concerns organizational weaknesses in theDepartment of Fisheries and the capacity of DOF to implement the p <Ja long-term basis. To facilitate DOF's task, the project has been keptsimple organizationally and incorporates a fully staffed Project Implementa-tion Unit to provide necessary support for DOF lake and hatchery managementpersonnel. Although the project provides for the introduction of new fishproduction techniques, the principles of composite carp culture and breedingare well established and appropriate training and technical assistance com-ponents have been included to keep risks within acceptable limits. It isexpected that the provision of a Central Hatchery plus satellite (lake)hatcheries will further reduce the risks associated with high quality carpseed production. Once project facilities are completed, the adequacy of O&Mworks will be critical to the continued successful functioning of the project.With this in mind, DOF is preparing a detailed program for O&M of the projectfacilities. Compliance with the program should minimize the problems relatedto inadequate maintenance. As indicated in para 7.06, the project shouldremain economically viable even if there were to be substantial delays inimplementation or reduction in project longevity due to inadequate maintenance.

VIII. RECOMMENDATIONS

8.01 Assurances were obtained from GOB that:

(a) detailed investigations of lake sedimentation and storagecapacity would be completed by September 30, 1980 and theresults would be forwarded to IDA for review and comments(para 4.08);

(b) investigations would be undertaken to determine the 10-yearflood levels at each lake in connection with the detaileddesign of embankments (para 4.10);

(c) GOB would, by July 31, 1981, have imported approximately10,000 grass carp fry and 10,000 silver carp fry forinitial stocking of project lakes (para 4.30);

(d) (i) separate accounts would be kept for the project by DOF;(ii) these accounts would be audited annually in accordancewith procedures satisfactory to IDA; (iii) a separateannual audit would be undertaken with respect to ProjectImplementation Unit expenditues; and (iv) GOB wouldsend IDA copies of the audit reports annually within sixmonths of the end of the fiscal year (para 4.50);

(e) the assignment of project lakes to DOF would endure through-out the economic life of investments to be made under theproject (para 5.05);

- 35 --

(f) by September 30 of each year, IDA would receive, for reviewand comments, work programs and procurement schedules forthe forthcoming construction year (para 5.07);

(g) proj, t facilities would be maintained in accordance withsound engineering and management practices (para 5.08);

(h) DOF would employ consultants whose qualifications, experienceand terms and conditions of employment would be satisfactoryto the Borrower and IDA; the consultants would include, interalia, a Project Advisor/Aquaculture Specialist and an Engineerto be in post not later than December 31, 1979 (para 5.10);

(i) the program for study tours and the qualifications of theproposed candidates would be satisfactory to IDA and theBorrower would furnish to IDA for approval (i) details ofproposed overseas training programs by December 31, 1979and (ii) details of proposed in-country training programsby December 31, 1981 (para 5.11);

(j) DOF would undertake a monitoring program to assess the im-pact of the project on the development of the project areasand would complete (i) a benchmark survey about two yearsprior to project completion and (ii) two follow-up surveysabout one year and four years, respectively, after projectcompletion (para 5.13);

(k) before January 1, 1980, DOF would prepare and submit to IDAfor review a detailed proposal for implementation of theproject monitoring program and would furnish to IDA forcomments by December 31 of each subsequent year the resultsof the monitoring program for the preceding fiscal year(para 5.13);

(1) except as IDA shall otherwise agree, DOF would provide par-ticipating fishermen 40% of carp sales revenue promptlyafter the sale of such fish (para 7.03); and

(m) DOF would, in consultation with IDA, review the existingcatch sharing arrangements by December 31, 1982 and againby December 31, 1984 with the objective of recovering asmuch of the project's investment costs as possible whilemaintaining sufficient incentives for project fishermen(para 7.04).

8.02 Conditions of credit effectiveness would be that:

(a) the Project Proforma had been approved by the Execu-tive Committee of the National Economic Council(para 4.44); and

- 36 -

(b) DOF had established a Project Implementation Unitincluding,inter alia, the selection of a ProjectAdvisor/Aquaculture Specialist and an Engineer(para 5.04).

8.05 With the above assurances and conditions, the project would besuitable for an IDA credit of US$6.0 million on standard IDA terms. Theborrower would be the Government of Bangladesh.

- 37 -

ANNEX 1Table 1

BANGLADESH

OXBOW LAKES FISHERY PROJECT

Fish Production in Bangladesh('000 mt)

1971/72 1972/73 1973/74 1974/75 1975/76

Inland 731 730 732 733 735Marine 86 88 88 89 89

Total 817 818 820 822 824

Production of Inland and Marine Fresh Fishby Main Varieties

('000 mt)

1972/73 1973/74 1974/75 1975/76

Type of fish

Inland: (Total)of which 730 732 733 735

1. Hilsa 382 383 384 3832. Rohu & Other carp

family 86 86 87 863. Boal, Pangas &

Ahir 71 71 71 714. Prawn (Chingri) 24 24 24 245. Koi, Magur, Singhi 31 31 31 316. Others 136 137 136 140

Marine 88 88 89 89

Total 818 820 822 824

Source: DOF.

BANGLADESH

OXBOW LAKES FISHERY PROJECT

Carp Production by Divisions('000 MT)

1965 1970 1975 1976 1977Capture Culture Capture Culture Capture Culture Capture Culture Capture Culture

1. Rajshahi 5.44 1.36 6.30 4.20 6.40 6.40 5.28 7.92 5.64 8.46

2. Khulna 9.12 2.28 10.50 3.50 11.90 5.10 11.44 6.16 11.28 7.52

3. Dacca 17.36 4.34 18.38 6.12 20.79 8.91 20.02 10.78 19.74 13.16

4. Chittagong 13.68 3.42 15.75 5.25 17.85 7.65 17.16 9.24 16.92 11.28 X

Col. Total 45.60 11.40 50.93 19.07 56.94 28.06 53.90 34.10 53.58 40.42

Annual Total 57.00 70.00 85.00 88.00 94.00

Source: DOF.

BANGLADESH

OXBOW LAKES FISHERY PROJECT

Export of Fish and Fish Products(MT - '000 Taka)

1971/72 1972/73 1973/74 1974/75 1975/76Quantity Value Quantity Value Quantity Value Quantity Value Quantity Value

Fresh Fish - - 1,920 11,177 4,677 23,356 1,406 10,711 1,250 17,852

Frozen Fish 795 11,482 902 19,412 1,523 40,596 1,682 46,848 2,510 70,293

Frozen Shrimp 65 1,180 317 7,677 253 11,123 1,217 34,089 1,786 109,331

Dried, Salted or Smoked Fish - - 3 18 - - 2 49 4 186

Shark - - - - - - 2 54 24 1,249

Frozen Froglegs 37 231 138 1,755 191 2,437 627 7,986 930 11,822

Fish Maws, etc. - - - - 10 91 6 235 21 1,091

897 12,893 3,280 40,039 6,654 77,603 4,942 99,972 6,525 211,824

Source: Export Promotion Bureau and DOF.

- 40 -ANNEX 2

BANGLADESHOXBOW LAKES FISHERY PROJECT

Fishing Craft and Fishermen (Inland and Marine)Number of Fishing Craft

Fishing CraftUsed for 1973/74 1974/75 1975/76

Inland 70,000 71,000 71,500(motorized) (2,800) (2,900) (3,000)

Marine 7,000 7,500 7,600

(motorized) ( 900) ( 950) (1,000)

Total 77,000 78,500 79,100

Number of Fishermen

1961 1974/75 1975/76Fishermen (National Census) (Estimate by DOF) (Estimate by DOF)

Inland 560,000 600,000 660,000

Marine 175,000 200,000 220,000

Total 735,000 800,000 880,000

Source: DOF and National Census data.

-41 - ANNEX 3

ORGANIZATION CHART OF THE DEPARTMENT OF FISHERIES(AS OF 1 APRIL 1978)

IOIRECTOR OF FjS-1E -IE

Principal ProjectEconomist Scientific Director

w | Bic Sit Officer (Acquaculture)

E S ~~~~~~~~~~~~~~~~~ ~~~Asst Diector, _, Dy. D-re0 > (Tech IF,sh Culturist, Deputy Director Senior Senior Dy. DirectorDepuit IDiector Project Manager Seniosor, Research Scientific Sctific (Quality Control)IDix.Ig~ Oftfier Officer Officer Senior_ ~~~~~~~~~~~~~~~~~ ~ ~~Ch'ef Extension _Tcnlgs

*I , I I I I I I Deputy Asst. Deputy As.Director IDii 1, D T, sheries TechnologistDeputy Fish

TecholoistDeputy Fcsheries FIc Iuri

Cilturist (D-), Bologist, Researchlgt, Ac ltut,tu"t R-.,ch ~~~~~~~~ ~ ~~~~~~~~~~~~~Sci-tific Scientific Fsh-erie DoerA-st Training Project Offc |t Steti-ticol Officer Technical Officer Officer, Officer, Officer Technolofiut, Techno-lgist,Officer (Div ), Curator. giometric-an Store Officer, Librarini (OualitvFarmi Ma Officer Et-ension Officer Llbrarian Control). Limnologist.

Lect ExtensionEvaWt,.n c g ExIe--OfficerOffice,

InsOfice

C As. Fish Administrati-e AdministratiooProject Officer. Asst Project Research Officer Officer, Accounts O.ficcr, Adtrinistratiu DemonstratorOtt. Fisheries i Arist OfficerDec Officer

Asst. Research I IOfficer, Sub Assistant Sub Assistant 7Technologst,Captain, Engineer. Engineer, Tec Al t |Engineer, Foreman Foreman IMicrbiologist),

i { l l { Master Fisherman { | l l l l (Tech.l

r Tnac FisnhryCffitri, FihAildu-LbAst

| Curture Assr. per Culturet ll i l Ecaluafion l Rsersesarcnh

Unit Officer

Office Officoe Offcen Office Offeic

Others [ Othe[s Others Others Others Others Oter -

| (Cerk Tvist Etc) || (ler, Tpist Et l | Clek. Tpis, Ec )| |IClek, VP tS lc.i| |IClrk.Tvpst, tc. | (Cerk Tvpst,Etc) Word(le SackVisf5Et )

BANGLADESH

OXBOW LAKES FISHERY PROJECT

Estimated Lake Storage Capacities and Sedimentation

Sedimentat ion Baluhar Jaydia Fetehpur Kathgara Gobindapur Marjat

Effective Catchment - ha3 3,138 2,289 984 2,417 2,110 4,443Annual Sediment Load - m 15,690 11,445 4,920 12,085 10,550 22,215AccumulatiNe Sediment in 30 years -

Mm 0.47 0.34 0.15 0.36 0.32 0.67

Lake Storage Capacities (Present)

Lake Surface Area - ha 282 189 47 71 217 253Average Depth - m 2.75 3.05 1.50 1.20 2.10 2.10 ZILake Storage Capacity Mm3 7.75 6.20 0.71 0.85 4.56 5.31

Sediment in 30 years % 6 5 21 42 7 13(in term of Lake Capacity)

Source: Mission estimates.M:1fr

BANGLADESH

OXBOW LAKgS FISHERY PROJECT

Summary of Project Main Features

GENERAL DATA BALUHAR JAYDIA FETEHPUR KATHGARA GOBINDAPUR MARJAT TOTAL

Annual Rainfall mm 1,500 1,500 1,500 1,500 1,500 1,500 -Annual Evaporation mm2 1,100 1,100 1,100 1,100 1,l10 1,100 -Effective Catchment Area km 31 23 10 24 21 44 -Lake Area (Dry Season) ha 282 189 47 71 217 1,060

CIVIL WORK

Lake Improvement

Embankment km 6.7 4.4 4.3 5.5 22.0 11.5 54.4(wilth culverts & screens) 2Wire Screening Structures m2 330 360 390 780 138 1,278 3,276Weed Clearing ha 27 14 14 19 47 27 148Infrastructure

Access Roads km 1.0 5.3 1,0 6.6 4,6 7,7 26,2Electrification km 1.6 6.5 9.7 13.0 9,7 13,0 53,5Telephone Connection Lump SumTube Well & Water

Supply System Unit 1 - _ - _Hatchery Complexes

Main Facility ha 8 - _ _ _ _ 8Minor Facility ha - 1 1 1 1 1 513

Dug-Out Ponds

Nursery Unit 150 15 4 15 15 25 224Rearing Unit 90 66 16 58 58 100 388Blood Stock Unit 6 1 1 1 1 2 12

LAND ACQUISITION

Embankment ha 9.2 6.3 5.9 7.5 30.1 15.8 74.8Hatchery ha 8.0 1.0 1.0 1.0 1.0 1.0 13.0Road ha 2.0 10.0 2.0 12.0 8.5 14.0 48,5Dug-Out Pond ha 36.0 14.6 4.2 13.0 13.0 22.6 103.4

2F39.7EQUIPMENT & VEHICLES (See Details in Table 2)

Main set 1 - - - - -

Minor set - 1 1 1 1 1 -

ax ~- M~

- 44

ANNEX 5BANGIADESH abNe 2

OXBOW LAKES FISHERY PROJECT

Works & Unit Pricea in TK

BALUHA* LAKE (with Cantrial HatdlAf'__ IAYDTA TAlAKUnit Quantity Unit Price Quantity Unit Price 4/

W/TAD 2/ W/TADItem

Effective Catchment Area km2

31.4 22.9Lake Area (Dry Season) ha 282.0 189.0

LAKE IMPROVEMENT

Embankments km 6.7 4.4Land Acquisition, 1.37 ha/km ha 9.2 13,500 6.3 13,500Earth Work km 6.7 20,500 4.4 20,500Culverts with screen, 5 culv./km km 6.7 5,255 4.4 5,255Netting, 6-m depth m 55.0 1,214 60.0 1,214Weed Clearing ha 27.0 3,730 14.0 3,730

HATCHERY COMPLEX

Site Acquisition ha 8.0 15,000 1.0 13,500Land Filling & Leveling ha2 4.0 90,000 0.5 10,000Cement Cistern ms 200.0 1,000 65.0 1,000Lab Facilities & Installation Lump Sum L/S L/S 633,600 L/S 187,200Buildings: 2

Office mi2 300.0 1,200 120.0 1,200Guest Quarter mi2 250.0 1,200 - -

Trainees Hostel mi2 200.0 1,000 -

Garage & Workshop mi2 300.0 900 60.0 900Stores Room ms2 50.0 900 25.0 900Staff Quarter is

2

5-Room tm 2 150.0 1,200 - -5-Room m 2 50.0 1,000 50.0 1,0003-Room m 45.0 1,000 45.0 1,0002-Room is4. ,0Gate Keeper L/S 55,000 L/S 30,000

Roads m 1,000.0 500 100.0 300Fence, Barbed Wires km 26.0 1,970 9.0 1,970Fence Posts km 1.2 16,280 0.4 16,280Installation & Mobilization 30%Miscellaneous 107.

DUG-OUT PONDS

Nursery 150-Units 200 m3 6.0 15-200 m 3 6.0i3

is3

6-50 .Rearing 90-Units 1,500m 4.2 66-1500 34.2Broodstock 6-Units 8,400 m 3.5 1-8000 m 3.5Land Acquisition ha 36.0 15,000 14.6 13,500

INFRASTRUCTURE

Access Road Excluding Row km 1.0 872,500 5.3 633,000Electrification 3/ L/S 668,389 L/S 1,269,637Telephone Connection L/S 35,680 L/S 35,680TAbe Well Unit (60-m 1.0 247,000 (20-m depth) 1.0 82,000

depth)

Water Supply System with Elevated Tank LIS 1.0 100,000 - -

Road Row 5/ ha 2.0 15,000 10.0 13,500

EQUIPMENT & VEHICLES

Loading Truck, 6-Ton Unit 3 136,000 1/ - -

Pickup Truck 4 112,500 1/ 1 112,500 1/Jeep, 4-wheel Dr. 2 112,500 1/ 1 112,500 T/Motor Cycle, 100 cc " 2 11,200 1/ - -

Micro Bus 2 120,000 1/ -Speed Boat " 2 15,000 1/ 2 15,000 1/Outboard Motor, 40 HP 3 23,000 T/ 3 23,000 T/Bicycle 2 1,300 1/ 1 1,300Pump, 2 cusec 2 37,500 1/ 1 37,500 1/Refrigerator 2 12,000 T/ 1 12,000 T/Workshop Tools L/S 15,000 L/S 5,000Spare Parts L/S 270,000 L/S 90,000Office Equipment " L/S 150,000 L/S 15,000Furniture L/S 425,000 L/S 70,000Medical Supplies L/S 75,000 -Hand Pumps L/S 3 1,500

1/ Withau t TAD2/ W/TAD = With taxes and Duties3/ For other lakes:

Fetehpur - TIK 1,789,446Kathgara - TK 2,309,254

Gobindapur - TK 1,789,446Marjat - TK 2,309,254

4/ Same for other 4 lakes, except otherwise shown5/ For other lakes:

Fetehpur - 2.0 haiathgara - 12.0 ha

Gobindapur - 8.5 haMarjat - 14.0 ha

-45 - ANNEX 5Table 3

BANGLADESHOXBOW LAKES FISHERY PROJECT

Hatchery, Nursery, Rearing and Brood Stock Facilities forthe Central Hatchery

Scope: To produce 20 million fry of carps yearly.

Features: No. Size

i. Hatchery Building 1 12.5 x 13 m

ii. Cement CisternLarval holding tank 6 1.5 x 1.2x 1 mHolding and recovering tanks 3 2 x 2 x 1 mInjected fish tanks 6 3 x 1 x 0.7 m

iii. Laboratory cum store 1 3 x 5 m

iv. Incubating Plastic JarBig jars 4 65 lit. eachSmall jars 40 6.35 lit. each

V. Galvanized Steel Semi CircularOpen Conduit serving all jars

vi. Proper Platform with circularholes to fit the jars

vii. Deep Tubewell for water supply which would include, besidesthe complex requirements, about 72,000 lit of water for 15hours per day for hatchery operation.

viii. Dug-out Ponds No. SizeNursery 150 20 x 10 x 1.5 mRearing 90 50 x 20 2 mBrood Stock 6 100 x 40 2.5 m

ix. Buildings No. Size2

Main Office 1 300Guest Quarter 1 250Training Hostel 1 200Garage & Workshop 1 300Store Room 1 50Staff Quarter5-room 1 1503-room 8 502-room 7 45

- 46 - ANNEX 5

Table 4Page 1

BANGLADESHOXBOW LAKES FISHERY PROJECT

List of Laboratory Apparatus and Prices forthe Central Hatchery

Prices /aItem (Tk)

I. Incubating jarsa. Big (4), @ Tk 1,600 each 6,400b. Small (40), @ Tk 600 each 24,000

II. G-I semicircular open conduit servingall the jars and also water pipes, etc. 2,800

III. Wooden platform for the jarsa. Big jar 2,000b. Small jars 1,000

IV. Shower with fittings (21) @ Tk 600 each 12,600

V. Aerators (10) @ Tk 1,500 each 15,600

VI. Live fish transport tanks on trailer@ Tk 4,500 each 13,500

VII. Air compressor for above with accessories (3)@ Tk 7,500 each 22,500

VIII. Balances (3) 24,000Hanging pan balance (1)Platform balance (1)Chemical balance (1)

IX. Water analysis kit with spare chemicals (2)@ 7,500 each 15,000

X. Electric fishing equipment with spares andaccessories (1) 32,100

XI. Oxygen cylinders (4) @ 7,500 each 30,000

XII. Thermographs (2) @ 7,500 each 15,000

XIII. Portable turbidimeters (2) @ 7,500 each 15,000

XIV. Portable conductivitimeter (2) @ 7,500 each 15,000

a/ Excluding taxes and duties.

-47 - ANNEX 5Table 4Page 2

Prices /aItem (Tk)

XV. Portable electric PH meter (2) @ 7,500 each 15,000

XIV. Portable dissolved oxygen meter (2)@ 22,500 each 45,000

XV. Water sampler (2) @ 7,500 each 15,000

XVI. Benthos dredge (2) @ 3,750 each 7,500

XVII. Drying oven (1) 9,750

XVIII. Stereoscopic microscope with accessories 15,000

XIX. Homogenizers (2) @ 7,500 each 15,000

XX. Mosquito nets hapas, ice boxesnets and other small items 105,000

XXI. Refrigerator (1) 15,000

XXII. Cine Camera with accessories (1) 6,000

XXIII. Cine Projector with accessories (1) 7,500

XXIV. Tape recorder and tapes with accessories (1) 7,500

XXV. Slide projector (1) 2,250

XXVI. Cameras (2) @ 4,500 each 9,000

XXVII. Projection screens (2) @ 3,750 each 7,500

TOTAL 527,900

a/ Excluding taxes and duties.

- 48 - ANNEX 5Table 5

BANGLADESHOXBOW LAKES FISHERY PROJECT

Hatchery, Nursery, Rearing and Brood Stock Facilitiesat Each of the Five Remaining Lakes

Scope: To produce an adequate number of 5-6 inch carp fingerlingsfor stocking in each of the five remaining lakes.

Features: No. Size

i. Hatchery Building 1 5 x 13 m

ii. Cement CisternLarval holding tank 2 1.5 x 1.2x 1 mHolding and recovering tanks 1 2 x 2 x 1 mInjected fish tanks 2 3 x 1 x 0.7 m

iii. Laboratory cum store 1 3 x 2 m

iv. Incubating Plastic JarSmall jars 10 6.35 lit. each

v. Galvanized Steel Semi CircularOpen Conduit serving all jars

vi. Proper Platform with circular holes to fit the jars

vii. Shallow Tubewell for water supply which would include, 30,000lit of water for 15 hours per day for hatchery operation

viii. Dug-out Ponds

Size Nursery Rearing Brood StockNo. Required 20 x 10 x 1.5 m 50 x 20 x 2 m 100 x 40 x 2.5 m

Jaydia 15 66 1Fetehpur 4 16 1Kathgara 15 58 1Gobindapur 15 58 1Marjat 25 100 2

ix. Buildings No. Size iOffice T12Garage & Workshop 60Store Room 1 25Staff Quarter

3-room 1 502-room 1 45

- 49 - ANNEX 5Table 6

BANGLADESHOXBOW LAKES FISHERY PROJECT

List of Laboratory Apparatus and Prices for

Each of thee Remaining Lake HatchePies

Prices /aItem (Tk)

I. Incubating jarsSmall (40), @ Tk 600 each 6,000

II. G-I semicircular open conduit servingall the jars and also water pipes 800

III. Wooden platform for the jars 350

IV. Shower with fittings (7) @ Tk 600 each 4,200

V. Aerators (2) @ Tk 1,500 each 3,000

VI. Balances (3) 24,000Hanging pan balance (1)Platform balance (1)Chemical balance (1)

VII. Water analysis kit with spare chemicals@ 7,500 each 7,500

VIII. Oxygen cylinders (1) @ 7,500 each 7,500

IX. Homogenizers (1) @ 7,500 each 7,500

X. Refrigerator (1) 15,500

XI. Mosquito net hapas, ice boxNets and other small items 80,000

TOTAL 155,850

TOTAL for five lake hatcheries 779,250

/a Excluding taxes and duties.

BANGLADFESH

OXBOW LAKES FISHERY PROJECT

Physical Investment Costs Net of Duties and Taxes(Taka '000)

Sub- CentralBaluhar Jaydia Fetehpur Kathgara Gobindapur Marjad Total Hatchery Total

Land 480.0 328.4 166.8 322.5 661.5 591.0 2550.2 758.0 3308.2

Lake Improvement 322.0 221.6 223.5 336.5 748.5 598.0 2450.1 - 2450.1

Hatchery 621.0 621.0 621.0 621.0 621.0 621.0 3726.0 3152.0 6878.0

Dug-out Ponds 731.0 462.0 134.7 413.0 413.0 719.0 2872.7 192.0 3064.7

Equipment 497.0 497.0 497.0 497.0 497.0 497.0 2982.0 1709.0 4691.0

Sub-total 2651.0 2130.0 1643.0 2190.0 2941.0 3026.0 14581.0 5811.0 20392.0

Infrastructure 1168.0 4231.0 2095.0 5851.0 4238.0 6505.0 24088.0 439.0 24527.0

Total 3819.0 6361.0 3738.0 8041.0 7179.0 9531.0 38669.0 6250.0 44919.0

Engineering (15%) 573.0 954.0 561.0 1206.0 1076.0 1430.0 5800.4 937.0 6737.9

Total Base Costs 4392.0 7315.0 4299.0 9247.0 8255.0 10961.0 44469,4 7187.0 51656.9

H M(D>4

I- 0

BANGLADESH

OXBOW LAKES FISHERY PROJECT

Physical Investment Costs Including Duties and Taxes(Taka '000)

Sub- CentralBaluhar Jaydia Fetehpur Kathgara Gobltdapur Marjad Total Hatchery Total

Land 480.0 328.4 166.8 322.5 661.5 591.0 2550.2 758.0 3308.2

Lake Improvement 340.0 238.6 241.5 370.5 769.5 656.0 2616.1 - 2616.1

Hatchery Facilities 732.0 732.0 732.0 732.0 732.0 732.0 4392.0 3590.0 7982.0

Dug-Out Ponds 731.0 462.0 134.7 413.0 413.0 719.0 2872.7 192.0 3064.7

Equipment and Vehicles 959.0 959.0 959.0 959.0 959.0 959.0 5754.0 3252.0 9006.0

Sub-total 3242.0 2720.0 2234.0 2797.0 3535.0 3657.0 18185.0 7792.0 25977.0

Infrastructure 1418.0 4742.0 2540.0 6605.0 4819.0 7301.0 27425.0 506.0 27931.0

Total 4660.0 7462.0 4774.0 9402.0 8354.0 10958.0 45610.0 8298.0 53908.0

Engineering (15%) 627.0 1070.0 691.1 1361.9 1153.9 1555.1 6459.0 1131.0 7590.0

TOTAL BASE COSTS 5287.0 8532.0 5465.1 10763.9 9507.9 12513.1 52069.0 9429.0 61498.0

Physical Contingencies (20%) 1057.4 1706.4 1093.0 2152.8 1901.6 2502.6 10413.8 1885.8 12299.6

Price Contingencies 1745.0 2816.0 1803.8 3552.7 3137.8 4130.0 17185.3 3112.5 20297.8

Total Including Contingencies 8089.4 13054.4 8361.9 16469.4 14547.3 19145.7 79668.1 14427.3 94095.4

BANGLADESH

OXBOW LAKES FISHERY PROJECT

Annual Establishment Budget

(Taka)

GRAND TOTAL

Monthly Total Total Annual Salary

Salary Per Month Per Annum Allowances & Allowances

Central Hatchery

1 Project Director 1350 1350

2 Fishery Specialist 1100 2200

1 Aquatic Weed Specialist 805 805

1 Fishery Statistician 805 805

1 Marketing/Coop Expert 805 805

2 Accountants 700 1400

1 Dispensary Officer 700 700

2 Mechanic/Electricians 550 1100

2 Guards 400 800

6 Drivers 550 3300

2 Secretaries 490 980

2 Clerk Typists 500 l00O0

1 Storekeeper 325 325

2 Cooks 475 950

1 Messenger 275 275

2 Gardeners 275 550

2 Sweepers 200 400

3il7 17745 x 12 mos = 212940 + 23460 = 236,400

Lake Personnel(Six Lakes)

6 Station Chief 1000 6000

6 Fishery Specialist 900 5400

24 Field Assistants 650 15600 m M

6 Drivers 550 3300

6 Messengers 275 1650

24 Watchmen 275 6600

72 38550 x 12 mos = 462600 + 51000 = 513,600

750,13 T

103 TOTAL

- 53 - ANNEX 7Table 1

BANGLADESHOXBOW LAKES FISHERY PROJECT

Proposed Credit Allocation

Amount Allocated ExpendituresCategory Dollar Equivalent to be Financed

1. Civil works, includingconstruction materials 3.9 M

(a) civil works 80%

(b) construction materialsprocured through localshopping 80%

(c) construction materialsdirectly imported 100% of foreign

expenditures

(d) construction materialslocally manufactured andprocured through inter- 100% of localnational competitive expendituresbidding (ex-factory)

2. Equipment, vehicles and spareparts 0.9

(a) directly imported 100% of foreignexpenditures

(b) locally manufacturedand procured through 100% of localinternational compet- expendituresitive bidding (ex-factory)

(c) other local procurement 80%

3. Technical assistance andtraining 0.5 100%

4. Administrative expendituresof the Project ImplementationUnit 0.4 80%

5. Unallocated 0.3

Total 6.0 M

- 54 - ANNEX 7Table 2

BANGLADESH

OXBOW LAKES FISHERY PROJECT

Estimated Quarterly Schedule of Disbursements

Cumulative Disbursementat End of Quarter

IDA Fiscal Year and Quarter (US$ Million)

FY 19801st a/2nd -3rd 0.14th 0.4

FY 1981Ist 0.72nd 1.03rd 1.44th 1.8

FY 1982lst 2.22nd 2.73rd 3.34th 3.8

FY 19831st 4.32nd 4.73rd 5.04th 5.3

FY 19841st 5.52nd 5.73rd 5.94th b/ 6.0

a/ Estimated Date of Effectiveness; September 1, 1979b/ Estimated Closing Date: June 30Q 1984

_55 - ANNEX 8Table 1Page 1

BANGLADESH

OXBOW LAKES FISHERY PROJECT

Technical Assistance

Consultant Monthly TotalNo. Requirement Salary Expenditure

(Months) (TK'OO0) (TKR000)

1 Project Advisor 48 45.0 2,160

1 Engineer 24 40.0 960

1 Hatchery Management/InducedBreeding Expert 24 35.0 840

1 Marketing/Cooperatives Expert 12 35.0 420

1 Fisheries Statistician 4 30.0 120

Sub-total 112 4,500

Unallocated b/ 18 75.0 1,350

Total 130 5,850

a/ Excluding overheadb/ Short-term consultants

Position Description

Project Advisor - The consultant will have substantial experiencein the field of fisheries management and willbe particularly conversant in inland fisheries,carp culture, seed production and teaching andextension.

Engineer - With managerial experience in the problems ofrural engineering, including building construction,the design of embankments and water control worksand facilities maintenance.

- 56 - ANNEX 8Table 1Page 2

Hatchery Management/Induced Breeding Expert - Experienced in hatchery operations and management,

with expertise in the breeding of Indian andChinese carps and the maintenance of pituitarygland banks. The consultant should have experiencein training and extension work.

Marketing /tooperativesExpert - An economist/management expert with substantial

experience in all phases of fish distributionand marketing. The consultant will be well-versedin cooperative development and socio-economicaspects of catch sharing arrangements.

Fisheries Statistician - A biologist/statistician with wide experience infish population dynamics and collection, inter-pretation and dissemination of catch/effort dataand cost and revenue information.

57 ANNEX 9

Table 1BANGLADESH

OXBOW LAKES FISHERY PROJZ T

Cash Flaw Prolections(Taka 1000)

----------------------------- Years --------------------------------1 2 3 4 5 6 7-25

I. Cash Inflow

Gross Sales of Carp a/ (1) 1652.4 3812.4 6354.0 9531.6 11437.2 11437.2 11437.2Central Hatchery Fry Sales - - - - 156.0 312.0 624.0Subtotal 1652.4 3812.4 6354.0 9531.6 11593.2 11749.2 12061.2

less Fishermen's 40% Catch Share 661.0 1525.0 2541.6 3812.6 4637.3 4699.7 4824.5

Total Cash Inflow (2) 991.4 2287.4 3812.4 5719.0 6955.9 7049.5 7236.7

II. Cash Outflow

Operating Costs

Wages and Allowances b/(i) Central Hatchery 65.0 111.6 159.4 159.4(ii) Project Lakes 152.7 229.1 305.4 305.4Subtotal 217.7 340.7 464.8 464.8 464.8 464.8 4Rent c| 87.7 87.7 87.7 87.7Fertilizer d/ - 116.7 134.4 134.4Feed e/ - 42.3 143.0 143.0Dewatering f/ - - 21.3 21.3Pesticide A/ - - 1.6 1.6O & M, Lakes h/ - 74.9 74.9 74.9O & M, Ponds - - 70.2 74.30 & M, Vehicles and Boats V/ - 328.6 938.8 938.8O & M, Equipment and Miscellaneous / - 48.7 139.0 139.0

Total Operating Costs (3) 305.4 1039.6 2075.7 2079.8 2079.8 2079.8 2079.8

Investment Cost k/ (4) 1414.3 13789.7 14143.4 6010.9 - - -

Total Cash Outflow (5) 1719.7 14829.3 16219.1 8090.7 2079.8 2079.8 2079.8

III. Net Cash Flow (2)-(5) (6) ( 728.3) (12001.9) (12406.7) (2371.7) 4876.1 4969.7 5156.9

IV. Financial Benefit - Cost

Benefit (2) (7) 991.4 2287.4 3812.4 5719.0 6955.9 7049.5 7236.7Cost (5) (8) 1719.7 14829.3 16219.1 8090.7 2079.8 2079.8 2079.8Net Benefit (7)-(8) (9) ( 728.3) (12001.9) (12406.7) (2371.7) 4876.1 4969.7 5156.9

V. Financial Rate of Return: 14.07

a/ Based on a full development yield of 900 kg/ha from Year 5 onwards.b/ Staffing requirements for project facilities are shown in Annex 6, Table 3.c/ Paid to the Department of Land Revenue. Average rent is TK 83/ha of water._/ Fertilizer application rates are as follows:

nursery ponds: Organic manure, 10 MT/ha for 2 crops a year @ TK 30/MT.rearing ponds: Organic manure, 7.5 MT/ha for 1 crop a year @ TK 30/MT; plus variable application of inorganic

fertilizers @ TK IOOOfMT, applied for 3 months a year. 'brood stock ponds: Organic manure, 10 MT/ha/year @ TR 30/MT; variable application of inorganic fertilizers

_ TK 1000/MT.lake: Single superphospate, .15 MT/ha/year @ TK 1000/MT.

e/ Feed requirements are as follows:nursery ponds: .175 MT/ha oil cake @ TK 2500/MT; and .175 MT/ha of rice bran @ TK 1600/MT per 2 crops.

rearing ponds: .250 MT/ha of oil cake and .250 MT/ha of rice bran for I crop per two years.Brood stock ponds: 3 MT/ha/year of oil cake and 3 MT/ha/year of rice bran for 1 crop per 2 years.

f/ Nursery ponds drained twice a year; rearing and brood stock ponds drained once a year. Unit dewatering cost is

TK 405/ha.Oil and soap emulsion applied to nursery ponds, 1 application per crop. Base cost is TK 200/ha.

h/ Includes maintenance of embankments, culverts, netting and periodic weed clearance.i/ Based on average operation of 10,000 miles per vehicle per year @ 12.5 miles per gallon fuel. Lubricants charged

at 57. of fuel cost; repair estimated at TK 7,500/vehicle/year.

/ Includes 06M of laboratory equipment, office equipment and furniture and tubewell maintenance.

k/ From Annex 6, Table 2. Investment cost items, including taxes and duties, consist of TK 26.0 M for lake development,plus a proportional share of infrastructure expenditures (TK 5.6 M) and engineering costs (TK 3.8 M).

BANGLADESH

OXBOW LAKES FISHERY PROJECT

Carp Production and Revenue ProjectionsBased on a Full Development Yield of 0.9 MT/HA

Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7-25

Yield (kg/ha) 130.0 300.0 500.0 750.0 900.0 900.0 900.0Production ('000 kg) 137.7 317.7 529.5 794.3 953.1 953.1 953.1

Gross Carp Sales Revenue (Tk '000) a/ 1652.4 3812.4 6354.0 9531.6 11437.2 11437.2 11437.2plus Fry Sales by C.H. (Tk 'O00) b/ - - - - 156.0 312.0 624.0

Total Gross Revenue (Tk '000) 1652.4 3812.4 6354.0 9531.6 11593.2 11749.2 12061.2less Gross Revenue without (Tk '000) c/ 1129.1 1129.1 1129.1 1129.1 1129.1 1129.1 1129.1

Value of Incremental Production (Tk 'O00) 523.3 2683.3 5224.9 8402.5 10464.1 10620.1 10932.1

_noo

a/ Based on average wholesale market price of Tk 12/Kg.b/ Ex-hatchery fry price of Tk 312/10,000. At full development, Central Hatchery fry sales would

be on the order of 20 million/yr.c/ Based on average yield of 130 kg/ha and ex-lake carp price of Tk 8.2/Kg.

oZ

(D >4

BANGLADESH

OXBOW LAKES FISHERY PROJECT

Average Family Income from Carp Production(Based on a 407 Catch Share for Project Fishermen)

WITHOUT PROJECT WITH PROJECTNo. of Change in PercentageFishermen Carp Carp Fishermens Average Carp Carp Fishermens Average Average Increase in Av.

Area Families Production Value 40% Share FamVlsIIncome Production Value 40% Share Fam!iK Income FamplKr Income Famiv Income(ha) (mt) (TK'ooo) (TKTo00) (T mt) (TK'000) (TK'000) (K (T T)

Baluhar 282 140 48.1 411.4 164.6 1,176 253.8 3,045.6 1,218.2 8,701 7,525 740

Jaydia 189 156 31.1 233.9 93.6 600 170.1 2,041.2 816.5 5,234 4,634 872

Fetehpur 47 49 3.8 31.0 12.4 253 42.3 507.6 203.0 4,143 3,890 1,638

Kathgara 71 60 7.8 64.0 25.6 427 63.9 766.8 306.7 5,112 4,685 1,197

Gobindapur 217 100 32.1 274.9 110.0 1,100 195.3 2,343.6 937.4 9,374 8,274 852

Marjat 253 95 14.4 109.7 43.9 462 227.7 2,732.4 1,093.0 11,505 11,043 2,490

Total 1,059 600 137.3 -/ 1,124.9 450.1 750* 953.1 11,437.2 4,574.8 7,625* 6,875* 1,017*

*average *average *average *averageall lakes all lakes all lakes all lakes

a/ Average carp yield without project = 130 kg/hab/ Average farmgate price of carp = TK 8.2/kgc/ Average carp yield with project = 900 kg/ha at full development - 2d/ Carp production constitutes the major source of inmome for the project fishermen. wo

BANGLADESH

OXBOW LAKES FI-SHERY PROJECT

Economic Analysis(Taka '000)

Incremental Total IncrementalProject Investment Operating Project Economic NetYear Cost 1/ Cost 2/ Cost - Benefits 3/ Benefits

1 1,944.2 - 1,944.2 523.3 ( 1,420.9)2 13,220.6 734.2 13,954.8 2,683.3 (11,271.5)3 14,776.0 1,770.3 16,546.3 5,224.9 (11,321.4)4 8,165.7 1,774.4 9,940.1 8,402.5 ( 1,537.6)5 777.7 1,774.4 2,552.1 10,464.1 7,912.06 - 1,774.4 1,774.4 10,620.1 8,845.77 1,774.4 1,774.4 10,932.1 9,157.78 1,774.4 1,774.4 10,932.1 9,157.79 3,500.0 4/ 1,774.4 5,274.4 10,932.1 5,657.7

10-25 1,774.4 1,774.4 10,932.1 9,157.70\

Base Economic Rate of Return = 23.9%

Sensitivity Analysis: ROR (%)

All Costs Up 10% 20.8All Costs Up 20% 18.3All Benefits Down 10% 20.5All Benefits Down 20% 17.2Costs Up 20% and Benefits Down 20% 12.7

1/ Economic investment costs equal the corresponding financial costs adjusted for duties and taxes.Costs include engineering and a proportional share of investment in access roads (50%) andtechnical assistance (40%).

2/ Operating costs adjusted for duties and taxes of project lakes and Central Hatchery. With the project,the daily labor requirement for fishermen is expected to remain the same. Accordingly, the incrementaloperating cost figures do not reflect an incremental labor cost for fishermen.

3/ Incremental benefits are derived from the sale of carp from project lakes and through the sale of carpfry produced by the Central Hatchery. Incremental benefits exclude the value of carp produced without Uthe project and revenues obtained through the sale of miscellaneous fish species. Data on pricesand yields is shown in Annex 9, Table 2.

4/ Vehicle replacement cost.

BANGLADESH - OXBOW LAKES FISHERY PROJECTSCHEDULE OF PROJECT IMPLEMENTATION

Calenda Years1979 1980 1981 1982 1983 1984lOr 20Qr 3Or 40Or l Qr 2Q 40 dOr IOr 20 3r Or Or 2 Qr Q 0 O 0 0 0

2OQr 3r,

4O(r

Note:CREDIT EFFECTIVENESS Follow-up monitoring

1 PROJECT ORGANIZATION saiveys no be completed

EstablIhshment of Plu 1st So,r,ey Completed 1 year and 4 years afterProlect completion

2 PREPARATION WVORK -

Consultan,t Serices lRecrwtme,tl ....

Site S5:rvey2I

LakEe Hydrology lnecestigations and Studies ... ..

Detailed Design & Contract Documents -

Land Acqois,i.io FibnN Hatchery &

Dug-out Foods - --

Access Roads ---

Equipment & Vehicles procurement .... .. I

Lab-Instruments & Facilities Procurement I*- -

3 FIELD CONSTRUCTIONIIInfrastructure: II

Access Roads .......

Electrificatior Telephone Corr-t,on

Tube-W'ellI

WVater Supply System

Lake Ir,proveme-t:

Ennhankments & Drainge StrLrtrIes

VVeed Cleaning-

Hatchery Compiexes:

Main Hatchsery (Central) Complex

Facilities & Installations i~ Lahe Hatchrweis Complex II - - -' Fac.ilities & Intallatio-

Cleaning WorEk

Excavatnon & Installations.....

4. ENGINEERING SUPERVISION-I

Counter--Part Lucau Engiqneering Si~pporri

5 TECHNICAL ASSISTANCE

Fishery and Mianagement lKF,scal Ye,ars -180-4181 921983 t 1984- --- 1985

1/ Continuing after Project Completion July 1 July 1 July I July 1 July 1 July 12/ Eupected Early Implementation

3/ ~~~~~~~ ~~~~- i- ~~~~~~Eupected Effectuniess Date Eupected Coe,pletio, Dote, j3/ Poss~~~~ble Extension (~~~I September 1, 19791

4J Works not affected by Flood -Upper Structure Construction andWrl ak-07

Install anion WVork, 13rd ak-07

I I I

- 62 - ANNEX 12

BANGLADESH

OXBOW LAKES FISHERY PROJECT

Related Documents in Project File

1. Land and Water Resources Study, IBRD Report PS-13, December 1972.

2. Bangladesh - Inland Fisheries Project: Identification Pre-preparationMission, Full Report, IBRD, September 28, 1973.

3. Preliminary Feasibility Report on Inland Fisheries Project in theDistrict of Jessore, Bureau of Consulting Engineers, Dacca,May 1976.

4. Bangladesh - Rural Fisheries Development Project, Dacca Office,May 12, 1977.

5. Appraisal of the Aquaculture Development Project in the People'sRepublic of Bangladesh, Asian Development Bank, November 1977.

6. Recent Advances and Prospects of Different Techniques of Major CarpSeed Production in India, V. G. Jhingran, Director, CentralInland Fisheries Research Institute, West Bengal, February 28,1976.

7. Aquaculture Planning in Asia, UNDP/FAO, 1976.

I

IBRD 13615

88045' 89° 00' 890'15' JUNE 1978\ b K,shf-

BANGLADESHChuadango

OXBOW LAKES FISHERY PROJECTProject Location

J 1tUz HProject Lakesaorsona t Lake Fishery Stations

Proposed Transmission Lines

j ~~~~~Roads2330* -=-_s Railways 23'30'-

I 23030 Internatinal Bundary

r ( IBRD >) ' ~~~~~~~~~~~~F A R I D P U RFetehpurr/ ,)) Aaio 1

oj' 1e~~'o,*vm ~ (BRD 1361

) '0 <)/\/a5t7~\ /N Sarosha^<- t<RC)1362

tN Da seoai Naar

/ -r \ hg Kathara() 230 00

ARE 23\151 ._am Jhoprcha(J E S E 23°15-

o . , /GabKi n dap ur h/

? >, I~~IBRD 13619 ) |

,,.5 ~~~~,,,. r ,) < N\tK IJE~~~~~SSORE* =*5SQI¢KSGMer I N D: I A ,~u O\Bkbra \ AZ

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~~ ferDf#~~#|ti vc9B~~ahodurpur 94$

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29Xt X 9 ~~~~~~~Sarasha < <

{ .9 t I N D I A (Benapo) e Noopora%&

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~~ L t > t .~.r -\23'00' Kannyodah r f 23° 00'-

;~~~~~~ ~ ~ ~ ~ ~ ~~~~ ~~~~~~~~~ 2C g 4 6 8 104Ja p

. < ( k ; \ > 9 ( O 5 10~~~~~~~~~~~~~~~ I 15 20

X J t , \ i \ S ~~~~~~~~~~~~~~~~~~KILOMETERSW of 8engoi txf^V L ~~~89° 00' ( 89° 15'

/ l -0 - - - 85

/ 88°5688 56, 88°58'8856 / ha i Bil BANGLADESH

- N Na7 "s OXBOW LAKES FISHERY PROJECTDetail Map of Proposed Project

Lake No.1(Baluhar)& No.2(Jaydia)

Raypur / < ydic Tr-r-T Proposed Embankments

Lakshmikundu _ Proposed Access Roads(Approx. Alignment)zz\~z ,2=Proposed Wire Screens

Road

r ---- Dry Season Road

-23°26'- Railway/ . Loke Fishery | I Swomps(BilI) 23e26'-

I Krishnopur r |BStotion and Hatchery / 0i5 1T0I I I ~~~~~~~~~~~~~~~~~~~~MILES

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)\) 1 tChaturpuor c tac o s boundare

= X / 00 \ t Gobindopur g 0 ~~~~~~~~~~~~~Lake Fishery \

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tn , }: .,, \ ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~World Bank and its affihates, anY__

80Ys o7f 8afena/ 88-56'\ 88058' anyR> t-gneir t, ranfy ndos-,5enet>;I x,\ I \ \ ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~or acceprneof such boundanes.CD0

88°53' 88°54' ki ,/ - 85Khogradonga Muchiparo A /

\Extorpur r Po e OEke E\ Propis er at BANGLADESH

\\ t an HateiOXBOW LAKES FISHERY PROJECT-23°23 \' t -1 \\ Detail Map of Proposed

Project Lake No. 3 (Fetehpur)JLA 'Proposed Embankments

|ZZ~1~C /Proposed Wire Screens---- Proposed Access Road

Begampur ________ (Approx. Alignment)

,< a ̂ y \ \ \ + ---~~~~~~~~~~~- -- Dry Season Roads

Swamps (Bill)

.1 . .- .. .A .,/ .

Aad,vrat9r, t ///

.,., . u . . . . . . . . . ., ., . -. o / -"'''',,"'

........... \...... ... 222'....<\ 32'BA GI E 23~~~~~~~~~~~~~~~~~~~~~~~22'~~~3*2

... ~~~~~~~~~~This map has benpeae y the. . . T. .. A World Bank's staff exclusively for 5

the convenience of the readers of \_\_\_I_i_IIN DI the report to which it is attached M I L E...... The denominations uoed and the 030609010

boudaas hon o tismap 030 60 9010donot imply. on the part of the __ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _Z

World Bank and its affiliates, any METERS _judgmentone legal status of Lo

Bay of Bengal 88a53~~~~~~~~~ any territory or any endorsement 8o5or acceptance of such boundaries 8' 4c

23018. 88°56' BANGLADESH 88057' 88058'OXBOW LAKES FISHERY PROJECT 23018.

DETAILED MAP OF PROPOSED PROJECT l6a

Joka LAKE NO.4 (KATHGARA) a0-- J.WL. _l__ PROPOSED EMBANKMENTS

PROPOSED WIRE SCREENS

PROPOSED ACCESS ROAD Madarparia , /(APPROX. ALIGNMENT)

DRYSEASON ROADS ) / '_7

\anipur -- X E = -_=PADDY LANDS

Kansipur X<<\

Y < J / I ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~23-017'--23017' \ KATHGARA /

Th,s map has been prepared by the Sahpur \ /I|SayamnagarWorld flank's staff eaclusively for , the convenence of the readers of \ the repot to which it is attached.\ The denominations used and the - oaaaaboundaries shown on this map Poraparahatdo not imply, on the part of the /<kPWSDLK /-

World Bank and its affiliates, any ,P=O_POSHERY LTAT) -judgment on the legal status of FIS-- - ADHA'ERiYany treritory or any endorsement AN HAT__ - -< a,racceptance of such boundaries.= /

('\-)<S_ INDIA / \\o

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> ! / ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~KILOMETERS coD23016'

O3A YOF BNGAL \ -23016' 88,°56' 88°7'8,58'_3~17' KATHGAR8

This mtp hoc been prepored hy tho World Hanko o tff eVcWo-/--y for the convemence 89001' 89002.af the readers of the report to which t it attached. The denomiatons uoed and theboon;. Vaie o- on th,o s-p do not imply on the por of the World Book dandtofht- ay rie gown t on the /lea n tatc of any te-itory or soy endorsement or

acceptance of -ch boo-deci-/ To Chaugacha

To Main Road

-23015' 23015'-Swarupdaha

\ ~ ~ ~~~ ===} ~~~~~~~Lashkarpur

-- K b RdA knr K3 25 ) 0 X~~~~~~~~~~~ ~~~~~~~~~~~~~~~~POSiD LA KDighalsltga FISHEANDSTATI'N

-~~.- ________________

Masa_pr GOBINDAPUR / I BANGlADESHUR

2301

f '~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~i~~~~~~~~~~~~4

40 Dhenkipota

/ Xg M~~~~~~~~~Uaswampur -GOBINDAU J BANGLADESH

. -- 5RBO~~~~~~~~~W LAKES FISHERY PROJECT/' \R>4\if -Xfs ~~~~~~~~~~~~~DETAILED MAP OF PROPOSED PROJECT

~LX ) f INDIA Shahazadpur LAKE NO. 5 (GOBINDAPUR)

BA LAESH J Azmatpur

$r t.° .5 1L\\ PROPOSED EMBANKMTENTSK.( Dos4 es.\ 0i .5 -X |- \ \ ~~--/ PROPOSED WIRE SCREENSrrflo TOT ~~~~~~~ 0 .5 1.5~ILE PROPOSED ACCESS ROAD

< ~ P fic itc T 0 .5 _ M I L E S__\ (A P P R O X . A L IG N M E N T )9 t)\< \ -23°13' KILOMETERS DRY SEASON ROAD

. j 89,°00' 89|°01' SWAMP(B_LS

8AYOFBENGAL 89000. 89 0~010 89002' F. (0I I Z'o~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ '0

89002 89004. 89006. BANGLADESH 89008.

This map has be-n prepared by the World Bank's staff exclusively for the convenience OXBOW LAKES FISHERY PROJECTof the raaders of the report to which it s attached. The denominations used and thebeo-dartes shon so this meap do sot imply, .o the part of the Word Bask and itsaffiiatie.s. anyudgmoent on the legal stat of th Wot any Hank-ant O, DETAILED MAtP OeF P ROPOSE aD PeROJsECTacceptance of s-ch boundaries.

LAKE NO. 6 (MARJAT)PROPOSED EMBANKMENTS

~P R OPOS ED W IR E SC RE ENS-___ _ PROPOSED ACCESS ROAD

(APPROX. ALIGNMENT)

Chandpara --- DRY SEASON ROADS

23 | 19' Mathanpur 7~, 23019.

| ,4 /,/ Mirzapur \,\< Nityanandi //~~~~~~~~ampu

I /7 \\\\ tv

Kata Khal 6~~~~~~~~~~~~~~~~~~~~~~~Kuahti.*

v 4 // Biswanathpur < > < v~~~~~Jgadspu

/~~~~~~~ _ -- -S~I 0 1.5=Dashnaa 19 S ~

| \\ Ichhap ulr _ / -ILO M ETERS anandi

0 XTo Chaugacha BAY OF BENGAL (;>C'A 89,°02' 89,°04' 89,06B SH

____ ~~~~~~400 400 '

10. s0 30 00 30 20 3 00 20 3

514 QwAmw 1 1ff Qm 5nG1 -wrot '-d Oh

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A-ea for F-LB,, Ep-n-on o100 2 250

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r r -- ---- ---- ---- ---- _|_|_|_ -_~~~~~~~~~~~~~~JU BANGLADESH

_|_|_|_[~~ I PROPOSED OXBOW LAKES FISHERY_ _OdOn,,r on _o _ _elrl PROJECT

l Total Dugout PondSpiceT W Il.p.1 S lhl l _ _ _ GENERALLAYOUTOFTHECENTRALHATCHERYI | i | | 2 l | [ | | | 1 _l | ]_1_ _|_r_|_|_| ~~~~~COMPLEX AT BALUHAR LAKE

- l l l l l l Trire Hote Ha hrO 50 totor 00| 509e Chgnrlforinoohrlklsc soudosentent

20OD.5kPOd 30 0 30.... .30. 202030 2

rO O - t 0 :DAD AlD suND

;~~~~~~~~~~~~_ __ 4ro_ _00 PROJEC

TBool d1

010 __ ___ ___ COMPLEXATBALUHAR LAKE~~~~~~~~~~~~~~~~~~~~~~~~~~~C