Burgess COMMENTARY

Peter Burgess

The Finance Alliance for Sustainable Trade (FAST) and IRIS co-convened a working group to develop indicators to measure the social, environmental and economic impact of investments in small-to-medium enterprises (SMEs) that are active in sustainable agricultural value chains.

The FAST outputs of this working group included a Shared Impact Assessment and Measurement Toolbox (SIAMT) that serves as the basis for FAST's ongoing work to analyze its members’ impact. This toolbox also includes a set of priority indicators which are being used for initial reporting and data collection. The attached document summarizes the FAST priority indicators for SME’s along with their alignment to IRIS.

Download FAST_IRISCoreIndicators.xlsx

FAST SIAMT Indicator at SME Level Related IRIS Indicator(s)

INDICATOR NAME ID DEFINITION

Organization Description

Name of Organization
Name of Organization OD5828 Name of the organization.

This is a glossary of terms used in FAST SIAMT together with the associated IRIS glossary of terms for the same concepts

Total value of loans outstanding as of the end of the reporting period Loan Portfolio Outstanding- Value of Investments PI7569 Value of debt investments on the organization's balance sheet at the end of the reporting period. Number of loans Number of loans closed and number of loans outstanding as of the end of the reporting period Loan Portfolio Outstanding- Number of Investments PI1478 Number of debt investments on the organization's balance sheet at the end of the reporting period. Loans Closed- Number of Investments PI8381 Number of debt investments closed by the organization during the reporting period. Average loan size Total value of loans closed and loans outstanding /Number of loans that have been provided by the SME/coop/enterprise calculated Repayment rate Total value of loans disbursed and matured within the reporting period n/a Total value of loans repaid as of the end of the reporting period whose maturity term falls within the reporting period. n/a

Number of fulltime jobs provided by the SME/coop/enterprise Number of people working at the SME/coop/enterprise on a full-time (> 35 hours per week) basis at the end of the reporting period (by gender) Full-time Employees OI3160 'Number of full-time employees at the end of the reporting period. Full-time employees work year round and typically work 35-50 hours per week. If local definitions of full-time equivalency differ, use appropriate standard.' Number of part-time (less than 35 hrs per week) provided by the SME/Coop/Enterprise (by gender) Number of people working at the SME/Coop/Enterprise on a part-time basis at the end of the reporting period (by gender) Part-time Employees OI8864 'Number of part-time employees at the end of the reporting period. Part-time employees work year round but do not meet full-time equivalency standards (typically less than 35 hours a week).' Number of temporary jobs provided by the SME/Coop.Enterprise (by gender) Number of people working at the SME/Coop/Enterprise on a temporary basis at the end of the reporting period (by gender) Temporary Employees OI9028 'Number of temporary employees at the end of the reporting period. Temporary employees are defined as seasonal and contract employees. Seasonal employees are primarily used in agriculture or fisheries. Contracted employees are generally hired for the completion of a specific task.'

Percentage of units of land where organic principles/ organic certification are being applied, i.e. no chemical pesticides or agrochemicals Amount of units of land that are (or are in the process of being) organically certified n/a Total units of land under cultivation Cultivated Land Area - Direct OI1674 Hectares directly controlled under cultivation. Report hectares cultivated at any point during the reporting period. Cultivated Land Area - Indirect PI7403 Hectares indirectly controlled by the organization under cultivation. Report hectares cultivated at any point during the reporting period.

Ratio of the sales value of the produced product and the total cost of production Sales value of the produced product during the reporting period (sales price (average if required) x total quantity of target product produced) n/a Total costs of production of the targeted- product during the reporting period. n/a Score according to degree of processing:1) Fresh product 2) Product with post-harvest treatment 3) Product with primary transformation 4) Product with secondary transformation 5) Product with tertiary transformation 'Indicate degree of SME/coop/enterprise processing during the reporting period: 1) Fresh product 2) Product with post-harvest treatment 3) Product with primary transformation 4) Product with secondary transformation 5) Product with tertiary transformation' n/a

Percentage of SME's/coop's/enterprise's net income reinvested in business capacity development Amount that has been invested in own business capacity development during the reporting period n/a Total net income before donations as of the end of the reporting period n/a

Percentage of SME's/coop's/enterprise's net income reinvested in Research and Development of agricultural innovation and / or related livelihood and business activities Amount that has been invested in Research and Development of agricultural innovation and/or related livelihood and business activities during the reporting period n/a Percentage of farmers trained in agriculture innovative techniques and sustainable practices and other relevant aspects 'Number of farmers that have attended training per each subject below during the reporting period: 1) agricultural innovative techniques and sustainable practices 2) health and social issues 3) adult literacy, business and financial management, record keeping, accounting and administrative procedures 4) health and safety 5) ecosystems services and/or biodiversity conservation training 6) business development (market access, marketing strategy, quality control and others). 7) Other, please specify' n/a Total number of farmers that are members of the Coop or suppliers to the SME/Enterprise during the reporting period Supplier Individuals PI5350 Number of individuals who sold to the organization during the reporting period.

Number of buyers or clients with whom the SME/coop/enterprise has a written agreement, contract or ongoing business relationship 'Number of buyers or clients (Businesses/Organizations) with whom the SME/coop/enterprise has a written agreement, contract or ongoing business relationship as of the end of the reporting period ' Purchase Contracts PI9988 Number of contracts/purchase agreements that the organization holds for purchase of its products or services. Report contracts outstanding as of the end of the reporting period.

Percentage of land under conservation management (managing natural ecosystems (forest blocks on farms)) Number of units of land under conservation management during the reporting period n/a Number of total units of land under cultivation during the reporting period Cultivated Land Area - Direct OI1674 Hectares directly controlled under cultivation. Report hectares cultivated at any point during the reporting period.

Percentage of women on the BOD or other leadership/ governing body Number of women on the Board of Directors or other leadership/ governing body as of the end of the reporting period Board of Directors: Female OI8118 Number of females members of the organizations Board of Directors or other governing body, as of the end of the reporting period. . Total number of people on the Board of Directors as of the end of the reporting period Board of Directors OI1075 Number of members of organization's Board of Directors or other governing body, as of the end of the reporting period.

Percentage of production that has received a price premium Volume of production sold of target crop that has received a price premium during the reporting period Units/Volume Sold: Certified PI7289 'Amount of the product sold as certified during the reporting period. Note: Report product certifications separately on Certifications (PD2756). Report in conjunction with Unit of Measure (PD1602). ' Total volume of production sold of target crop during the reporting period Units/Volume Sold PI1263 'Amount of the product or service sold by the organization during the reporting period. This metric should be reported in conjunction with Unit of Measure (PD1602).' Amount of the price premium received for each certification type Value of the price premium received of target crop and per certification type during the reporting period Producer Price Premium PI1568 'Price premium obtained, for the producer of goods, by selling to the organization. This is relative to the average price that would otherwise be obtained in the local area for a similar good during the reporting period. Calculation: (Total sales revenue obtained by the producer for a quantity of goods - potential sales revenue from the same quantity of goods in the local market) / (potential sales revenue from the same quantity of goods in the local market)'

Number of suppliers with whom the SME/coop/enterprise has an agreement, contract, or ongoing business relationship Number of suppliers with whom the SME/coop/enterprise has an agreement, contract, or ongoing business relationship during the reporting period n/a

Child Labour Policy: Indicate whether the organization has a written child labour policy in line with International Labour Organization (ILO) standards; or has an institutional written policy that includes a section that regulates child labour Availability of a written child labour policy (or an institutional written policy that includes a section) in line with International Labour Organization (ILO) standards Child Labor Policy OI4432 Indicate whether the organization has a written child labor policy in line with International Labour Organization (ILO) standards.

The average estimate output produced per unit of land per crop of farmers who sold to the SME/Coop/ Enterprise Total volume of production of the farmers who sold to the SME/Coop/Enterprise during the reporting period (by crop/product) Units/Volume Produced PI1290 'Amount of the product or service produced by the organization during the reporting period. Note: This indicator is intended to describe the amount of the product that has been manufactured or the volume of the product that has been cultivated. This metric should be reported in conjunction with Unit of Measure (PD1602).' Identify unit of measure Unit of Measure PD1602 Unit of measure for reporting the units sold, produced, exported, or installed by the organization. (See IRIS website for details) Total area under cultivation of the farmers who sold to the SME/Coop/Enterprise during the reporting period (by crop/product) Cultivated Land Area - Direct OI1674 Hectares directly controlled under cultivation. Report hectares cultivated at any point during the reporting period.

Percentage of land using sustainable cultivation techniques (such as drip irrigation, intercropping, machinery, etc.) Area of total land where sustainable cultivation techniques are applied at any point during the reporting period Sustainable Cultivated Land Area - Direct OI6912 Hectares directly controlled by the organization under sustainable cultivation. Report hectares cultivated at any point during the reporting period. Total area under cultivation Cultivated Land Area - Direct OI1674 Hectares directly controlled under cultivation. Report hectares cultivated at any point during the reporting period. 'List of the sustainable cultivation techniques used at any point during the reporting period ' n/a

Total value of payments to all suppliers (both organizations and individuals) that sold to the SME/Coop/Enterperise Total value of payments to all suppliers (both organizations and individuals) that sold to the SME/Coop/Enterperise during the reporting period Payments to Supplier Individuals PI1492 Value of payments made by the organization to individuals who sold to the organization during the reporting period. Payments to Supplier Organizations PI5478 Value of payments made to companies that sold to the organization during the reporting period.