Quarterly Progress Report - United Nations Development ...
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Quarterly Progress Report January – March 2016
Development of a robust standardization, quality assurance,
accreditation and metrology (SQAM) infrastructure in Malawi
This project is funded by the European Union
April 2016
Project: FED/2012/297-561
UNDP Project ID: 00083913
UNIDO Project ID: 106075 / 2000002410
UNITED NATIONS INDUSTRIAL DEVELOPMENT ORGANIZATION
2016
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CONTENTS
ACRONYMS .................................................................................................................. 3
Executive Summary ........................................................................................................ 4
A. Situational Background/Context ...................................................................... 6
B. Assessment of Project Results During the Reporting Period .......................... 7
C. Financial Status and Utilization ..................................................................... 19
D. Lessons Learned ............................................................................................ 21
E. Conclusion ..................................................................................................... 22
F. Future Work Plan ........................................................................................... 23
Annexes: ....................................................................................................................... 24
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ACRONYMS
AWP Annual Work Plan
BOBS Botswana Bureau of Standards
COMESA Common Market for Eastern and Southern Africa
CTA Chief Technical Advisor
DTIS Diagnostic Trade Integration Study
ERP Enterprise Resource Planning
EU European Union
FAO Food and Agriculture Organization of the United Nations
HQ Headquarters
IE International Expert
IFSTL International Food Safety Training Laboratory
INNOQ National Institute for Standards and Quality (INNOQ
ISO International Organization for Standardization
MATCB “Malawi: Market access and trade capacity building support for
agro-industrial products”
MBS Malawi Bureau of Standards
MDGs Millennium Development Goals
MGDS Malawi Growth and Development Strategy
MoIT Ministry of Industry and Trade
MSD Metrology Services Department
NEP National Enquiry Point
NML National Metrology Laboratory
NASFAM National Smallholder Farmers Association of Malawi
NORAD Norwegian Agency for Development Cooperation
NQI National Quality Infrastructure
NQP National Quality Policy
NQS National Quality Strategy
PM Project Manager
SME Small and Medium sized Enterprise
SADC Southern African Development Community
SQAM Standardization, Quality Assurance, Accreditation and
Metrology
ToRs Terms of Reference
UNDAF United Nations Development Assistance Framework
UNECE United Nations Economic Commission for Europe
UNDP United Nations Development Programme
UNIDO United Nations Industrial Development Organization
USAID United States Agency for International Development
WHO World Health Organization
WTO World Trade Organization
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Executive Summary
The purpose of the “Development of a robust standardization, quality assurance,
accreditation and metrology (SQAM) infrastructure” project is to contribute to a more
adequate, effective and sustainable National Quality Infrastructure (NQI) in Malawi
in accordance with international and regional principles and practices (e.g. Common
Market for Eastern and Southern Africa (COMESA), Southern African Development
Community (SADC)), by supporting the enhancement of the performance of the
Malawi Bureau of Standards (MBS). This will have direct implications in terms of
benefits for Malawi enterprises through improved business services provided by the
National Quality Infrastructure and indirectly, and in the long term, in terms of
improved protection of consumer rights of Malawian citizens.
The project is being implemented in terms of a contribution agreement between the
European Union (EU) and the United Nations Development Programme (UNDP). An
inter-agency agreement (IAA) was subsequently concluded between the UNDP and
the United Nations Industrial Development Organization (UNIDO) for UNIDO to
provide specialized technical assistance in order to ensure the success of the overall
project.
This progress report to the UNDP presents a summary of the work done by UNIDO
during the first Quarter of 2016 (1 January to 31 March) and this report serves
therefore to fulfill reporting requirements in the IAA. The reference for this report is
the Annual Work Plan for 2016 (AWP 2016) as finalized based on the outcomes of
the Annual Work Planning meeting and the subsequent approval thereof by the
project Steering Committee.
The report shows that there was as anticipated relatively slow progress with
implementation this quarter. Important to note is however that the initial slow
implementation was provided for in the AWP2016 and that UNIDO in financial
implementation terms exceeded the target for the quarter. Financial implementation
for the quarter was an amount of USD 94,219.69 as per inputs received by UNIDO’s
Financial Management of Technical Cooperation Unit) bringing the total financial
expenditure to USD 1,790,940.77 (also refer to table in Annex 2)1.
Also, notably: (i) the award of certificates during the World Standards Day event to
the 93 MBS officers trained by the British Standards Institute Group; (ii) the
conclusion of the out-of-country group trainings in metrology with the final training
conducted in Botswana and Mozambique on the use of the weighbridge verification
equipment; (iii) pre-assessments by International Expert of MBS implementation of
the ISO17021 and ISO17065 quality management systems in view of the readiness of
MBS for eventual accreditation to these systems; (iv) the installation of the HPLC and
aflatoxin reactor; (v) conclusion of the centralized procurement processes for
equipment in accordance with the approved next cycle procurement plan, in particular
a Universal Testing Machine, a High Pressure Capillary Ion Chromatograph, an
1 The financial information at the date of this report is regarded as preliminary, this in consideration of
the IAA provision for UNIDO to submitted the final financial report by 31 July 2015.
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Automated Atmospheric Distillation Analyzer and equipment required to address
gaps in the capabilities in mass metrology; and (vi) the first mission by the Food and
Agricultural Organization of the UN (FAO) in support of the process for the
development of draft primary legislation for food safety control in Malawi.
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A. Situational Background/Context
There is a clear need for rapid and sustainable economic growth if Malawi is to
achieve the Millennium Development Goals (MDGs) and the overall objective of
poverty reduction on a meaningful scale. Trade, as recognized by the Malawi Growth
and Development Strategy II (MGDS II), has the potential to be an engine for growth
that can lift many Malawians out of poverty.
Malawi’s standardization, quality assurance, accreditation and metrology
infrastructure is currently inadequate to support the growth in exports envisaged by
the MGDS II. The MBS is the National Enquiry Point required by the World Trade
Organization (WTO) under the Agreement on Technical Barriers to Trade. MBS sets
and implements standards and conducts conformity tests on selected imports and
exports. However, certificates from MBS are not recognized widely and exporters
incur high costs to obtain certification overseas. More generally, MBS has very
limited infrastructure to meet demands for the provision of SQAM services within
Malawi.
To address these issues, the SQAM project intends to achieve internationally
recognized accreditation of the conformity assessment services of the MBS,
contributing to an efficient and adequate National Quality Infrastructure in Malawi by
2016. This will have direct benefits for Malawian enterprises, and indirect, long-term
benefits for Malawian citizens in terms of improved protection of consumer rights.
As well as the MGDS II, the SQAM project also aligns with the United Nations
Development Assistance Framework (UNDAF) 2012-2016. The project will
contribute to poverty reduction through the achievement of UNDAF Outcome 1.2,
“Women, youth, people with disability and households benefit from decent
employment, income generation and pro-poor private sector growth by 2016,” under
Theme 1, “Sustainable and equitable economic growth and food security”. More
directly, the project ties into UNDAF Output 1.2.2 that aims at improving Malawi’s
access to international and regional markets.
The Lead Implementing Partner for the project is the MBS. Financial and
Management oversight is provided by the UNDP whilst UNIDO provides specialist
technical expertise.
The National Quality Policy (January 2014) paves the way for Malawi to gradually
implement a modernized National Quality Infrastructure and is a statement by the
Government of Malawi of commitment towards this modernization process and lays a
solid foundation that supports the project objective and outcomes. It is however
essential for the MoIT to ensure the policy is implemented and promoted.
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B. Assessment of Project Results During the Reporting
Period
This progress report presents a summary of the work done by UNIDO during the first
Quarter of 2016 (1 January to 31 March) in accordance with the Annual Work Plan
for 2016 (AWP 2016) as finalized based on the outcomes of the Annual Work
Planning Session and the subsequent approval thereof by the project Steering
Committee and decisions agreed to during Project Management and Steering
Committee meetings.
With confirmation by the European Union of project extension of 24 months granted
until 17 May 2018, there is great importance to conclude amendment of IAA. Despite
early work initiated to attempt finalization of this matter as early as possible, the IAA
is still in draft stage at the time of this report with a need for this amendment to be
completed as soon as possible to ensure smooth implementation beyond the current
project end date of 30 April 2016.
The report shows that there was as anticipated in the AWP2016 relatively slow
progress with implementation this quarter. The main contributing factors being:
UNIDO submitted an invoice for a next installment of EUR 781,784 on
8 December 2015 to replenish project funds. Letter of acknowledgement was
received from the UNDP on 6 January, 2016 indicating that despite request, a prompt
transfer of funds was not yet possible due to the next installment from EU to UNDP
not yet being received;
The approval process of the AWP2016 was only concluded during this reporting
period and this is a prerequisite for implementation both by UNIDO and at
National Level by MBS.
The target for implementation as was foreseen for the quarter in AWP2016 was
however exceeded in financial implementation terms by UNIDO.
The main focus of implementation by UNIDO during this reporting period was to
continue with activities initiated during 2015, and to initiate where possible new
implementation actions considering however that the essential signing by all parties of
the AWP2016 to ensure implementation could begin was only concluded during this
quarter. Implementation actions in several areas are also dependent on various
national implementation actions currently in progress and not all outputs as
anticipated from these national implementation actions were received for UNIDO to
respond (eg. limited advances with Outputs 3.1(b) and 3.2 ISO17021 and ISO17065
documentation systems, and no progress with Output 6 Cohort II companies and value
chain selection.). Some of the key achievements from UNIDO implementation actions
this quarter include:
Output 1
The printed copies of the final training report and certificates for the in-country
training courses presented by the British Standards Institutions Group in terms of
contract by UNIDO were provided and presented to the MBS (note that the
electronic versions of these documents were circulated in 2015). What follows is
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for MBS Management to consider the various findings and recommendations as
outlined in the report and for participating officers to put into practice the
knowledge gained from these courses.
The list of MBS officers to participate in the out-of country training in response to
the requirements of the Testing Services Department were finalized and provided
to UNIDO in order to commence administrative action. This training Programme
at the International Food Safety Training Laboratory (IFSTL) – a joint institute in
partnership between US FDA and University of Maryland – will see its first
training take place April 2016, and the last training in November 2016.
Output 3:
The final training on the software system of the High-Performance Liquid
Chromatograph (HPLC) for analysis of food contaminants (especially
mycotoxins, and in particular the aflatoxins and analysis of vitamins) was
completed this quarter and the system is now fully operational and in regular use.
The Certified Reference Materials (CRMs) were delivered to MBS and these
provide for MBS to now undertake validation of various testing methods. These
CRMs are essential to ensure traceability requirements of ISO17025 can be met.
The delivery of equipment required to address gaps in the capabilities in mass
metrology (including a class F2 weight set (1 mg -20 kg); mass comparators,
balance of 200g and 520g capacity, computers to be used for the analysis of data
during laboratory and on-site calibrations; and digital thermometer-hygrometer to
allow for monitoring of laboratory environmental conditions) was completed and
installation and commissioning foreseen for Q2 of 2016.
Automated Atmospheric Distillation Analyzer (to be used in the petrochemicals
laboratory to analyze distillation trend of fuels) was successfully delivered by
supplier, installation and training took place during March, 2016.
Following mission on pre-assessments of MBS ISO17021 and ISO17065 quality
management systems undertaken during December by International Expert
(Shaukat) contracted by UNIDO, report by IE was received and very well received
by MBS. The report outlined very clearly the gaps in these systems in view of
eventual accreditation and outlined various next actions, including for example
Training for MBS officers on ISO19011 Guidance on auditing management
systems, completion of documentation and ensuring the system is implemented,
ensuring that all system records are available, ensuring various committees are
established and operational and the filling of vacancies.
UNIDO has noted that there has been very little progress at the MBS since the IE
concluded its mission with notably the crucial action to complete the
documentation (MBS target was for this to be done by end of this quarter). It is
therefore clear that further technical assistance to MBS simply has to be initiated to
meet the objective of accreditation by end of 2016. The IE is heavily engaged at
present in UNIDO project in Nigeria where five conformity assessment bodies are
being established. UNIDO proposes that a possible way forward to support MBS
could be for the project to support an attachment of MBS officers to the Nigeria
project to gain from the work being done there and for the IE to oversee the
completion of the documentation management system. If this is not considered
feasible UNIDO advises that an IE is contracted to work in continuous mode with
MBS.
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Output 5:
The report by FAO of the November mission is still under development and will be
shared once received.. Initial feedback from FAO outline that key challenges for
Malawi in matters concerning food safety are (i) to resolve the institutional
arrangement related to the effective administration of a Food Safety Law and (ii)
for the law to be informed by a Food Safety Policy.
Output 6:
Technical Assistance to the Cohort I companies commenced this quarter with the
inception mission by International Expert Anya Knoetze to provide technical
assistance to the three (3) companies in the implementation of ISO22000 Quality
Management Systems (QMS) commencing late March and will concluded during
April.
The mission also provides for the training on ISO22000 and HACCP to the
representatives of these companies but also to the 18 individuals nominated by
MBS to form the core of the trainers/counselors and potentially also auditors.
The planning of the Technical Assistance of the four (4) Cohort I companies in
implementation of ISO9001 QMS is well advanced and will be implemented
during quarter 2. The mission will also provide for the training on ISO9001 to the
representatives of these companies but also to the 18 individuals nominated by
MBS to form the core of the trainers/counselors and potentially also auditors.
UNIDO is however still awaiting final decisions under national implementation
modality related to:
o The list of Cohort II companies which applied for assistance to MBS during the
2015 process to also benefit from ISO9001 and ISO22000 assistance
o Consensus at national level of the value chains in accordance with the National
Export Strategy (NES) to benefit from technical assistance.
o The AWP2016 is clear on the above inputs and the requirement for this to have
been concluded by the end of this reporting period (quarter 1). UNIDO
implementation beyond Cohort I actions cannot commence if these inputs are
not forthcoming.
The tables on the pages to follow present a summary of the status of progress of the
activities for each output where UNIDO is listed as the party responsible for
implementation.
Output 1: Strengthened capacity of the Malawi Bureau of Standards to deliver
business services and achieve financial sustainability ACTIVITY STATUS
1.0 National Quality Policy
[MoIT (MBS/UNDP/UNIDO)]
- Dissemination of the NQP This activity has been completed.
- Development of a National Quality
Strategy (NQS) UNIDO took note of the efforts at National Level to:
o Work towards final editing and finalization of the NQS
that was prepared in 2015
o Progress in implementation with the plans of the MoIT
to nominate the high level committee in support of the
implementation of the NQS and ultimately the NQP, and
that such meeting of this committee is foreseen for the
second quarter.
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1.1 Project Visibility event
This activity is a national implementation activity under the
MBS as provided for under activity 8.2
1.2 Review and set-up of
organizational structures, service
delivery procedures and
knowledge management within
MBS
[MBS (MoIT/UNDP)]
This activity is a national implementation activity under
MBS.
UNIDO took note that the process related to the handling o
the findings and recommendation from the Functional
Review remains slow but is being done at National level in
accordance with Government processes.
UNIDO further noted that MBS developed concept paper
and that an advertisement was placed to seek national
consultants to support the MBS in the process of
development of the MBS Strategy for 2016-2012.
It remains essential for the achievement of project
indicators and objectives for MBS to incorporate findings
and recommendations from the various international experts
into MBS Strategy and Business Plan and implement these
in order to ultimately achieve the anticipated reforms.
1.3 Market survey on the demand for
testing and calibration in Malawi
[MBS (UNDP)]
This activity is a national implementation activity under
MBS.
UNIDO noted that the survey of the laboratory landscape of
Malawi to be implemented in terms of national
implementation modality remains in delay.
It was anticipated that the outcomes of this survey will
inform the implementation of act 6.9 related to industry
focused training in ISO17025 by international experts. As
these results are not yet forthcoming UNIDO will proceed
with act. 6.9 implementation in consideration of the
industry represented by the Laboratory Association of
Malawi.
1.4 Preparation of a business plan and
monitoring system for MBS
[MBS (UNIDO]
This activity is under national implementation by MBS.
UNIDO consulted with IE (Visser) regarding his availability
as provided for i.t.o. AWP2016 to participate in the MBS
Strategy for 2016-2012 process as commented on under act.
1.2. This in consideration of Visser’s work in both the
report on the MBS reform (act. 1.4, 1.5) as well as that
related to the NQS (act. 1.0)
Visser is however engaged under a one year contract to
SADC Secretariat in Gaborone but committed to support the
MBS strategic planning process provided he is timely
informed and subject to current contract priorities.
1.5 Development of a “marketing
unit” within MBS
[MBS (UNIDO]
This activity is under national implementation by MBS.
The report by Visser made clear recommendations on the
marketing strategy and require of MBS to formulate also a
marketing policy. It is also noted that the functional review
made positive recommendations about the MBS marketing
unit.
UNIDO stands ready to support the process should MBS
consider this necessary.
1.6 Enhancement and updating of the
MBS website
[MBS (UNDP)]
During
This activity is a national implementation activity.
UNIDO encourages MBS to ensure regular updating
thereof, including of implementation activities under this
project and to maintain hyperlinks to all project partners.
1.7 Preparation and implementation of
a “training plan” for MBS
[MBS (UNIDO]
Out-of-country trainings (testing):
o Training commenced in accordance with the agreed to
schedule of trainings at the International Food Safety
Training Laboratory (IFSTL) in USA.
o Arrangements are finalized for MBS officer Samson
Nyirenda to participate in the first course at IFSTL,
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Methods of Determination for Pesticide Residues course
sheduled for 25 April – 4 May 2016.
o MBS also requests UNIDO that those training
requirements which IFSTL did not respond to be
considered at FERA, the National Reference Laboratory
in the UK. A detailed ToRs outlining these requirements
will be complied with the support of the CTA and
UNIDO will in turn engage FERA to obtain proposals.
Out-of-country trainings (metrology):
o (This action was completed in 2015)
Output 2: Technical Regulations reviewed to promote efficient, effective and
accountable delivery of information in accordance with SQAM legislation and
regulations ACTIVITY STATUS
2.1 Documentary and field survey of
the Malawian situation with regards to
technical regulations and
enforcement.
[MBS (UNDP/UNIDO)]
UNIDO component was concluded early in 2015 and
implementation of the various findings and
recommendations arising from the report by the
International Expert concerned (Nikonov), including of the
proposed strategy and implementation actions regarding
improved approach in formulation of technical regulations
using a risk-based approach requires deliberations amongst
national implementation partners.
UNIDO is informed that a meeting of the TBT Committee
under the MoIT will be called in the next quarter and
supported by the project to advance on this matter and
stands ready to provide continued support to the process.
2.2 Awareness campaigns and
training on "Better regulation".
[MBS (UNDP/UNIDO)]
2.3 Data gathering on TR, analysis
and consolidation.
Preparation of a strategy and a plan
for the institutionalisation of "Better
Regulation" in Malawi.
[MBS (UNDP/UNIDO)]
2.4 Preparation of a strategy and a
plan for the institutionalisation of
"Better Regulation" in Malawi
[MBS (UNDP/UNIDO)].
Output 3: Structurally enhances capacity of the Malawi Bureau of Standards for
conformity assessment services ACTIVITY STATUS
3.1a Construction of the Metrology
building.
[MBS (GoM)].
UNIDO received a late invitation to the ground breaking
ceremony presided over by the Malawi Vice President that
took place in January and which marks the official
commencement of the construction process.
The commitment by Government of Malawi to this
development is welcomed and UNIDO took note that
construction commenced during this quarter.
A provision under the MATCB project was made to support
the MBS request for a study tour for the engineering team
concerned with the design of the laboratory air conditioning
systems to NSBs in the region. At the time of this report
details are still being awaited from MBS to enable
arrangements to be made for this to happen.
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UNIDO will also respond to MBS request to engage home-
based technical assistance from international expert Ron
Cook to provide clarifications to various building
specifications as outlined in the original functional designs
prepared by him. This will also be done in terms of the
MATCB project
3.1b Develop within MBS an
accredited product certification body
[MBS (UNIDO/UNDP)]
Current implementation is in terms of the Pilot Phase for
MBS to be accredited to ISO/IEC 17065 as a product
certification body.
The final report by the International Expert (Shaukat H.
Malik) contracted by UNIDO to undertake a pre-assessment
during December of the ISO17065 quality management
system in view of the readiness thereof for accreditation
was circulated.
The report outlines that significant work remains for MBS
in continued development and implementation of the
system is required before accreditation can be achieved.
The report contains detailed information related to all the
missing/incomplete elements of the system, including
shortcomings matters related to internal auditing,
requirement to develop qualified auditors/lead auditors
(including training on ISO19011 Guidance on auditing
management systems, completion of documentation and
ensuring the system is implemented and all system records
are available.
A real concern is that there is no evidence of any work done
by MBS during this quarter to respond to the report
findings, for example for the documentation system to be
fully developed by March in view of the road map to
achieve accreditation by Dec. 2016.
It is evident that continued technical assistance is required
and MBS management need to provide leadership to the
QASD in this regard else the Dec. 2016 target will not be
achieved.
The IE is heavily engaged at present in UNIDO project in
Nigeria where five conformity assessment bodies are being
established. UNIDO proposes that a possible way forward
to support MBS could be for the project to support an
attachment of MBS officers to the Nigeria project to gain
from the work being done there and for the IE to oversee
the completion of the documentation management system.
If this is not considered feasible UNIDO advises that an IE
is contracted to work in continuous mode with MBS.
The allocation of funds for the eventual contracting by
UNIDO of the accreditation body is provided for in the IAA
amendment process which is ongoing at the time of this
report.
3.2 Develop within MBS a
management systems certification
body for ISO 9001 and ISO 22000 /
HACCP
[MBS (UNIDO/UNDP)]
Current implementation is in terms of the Pilot Phase for
MBS to be accredited to ISO/IEC 17021 for ISO9001
management system certification.
The final report by the International Expert (Shaukat H.
Malik) contracted by UNIDO to undertake a pre-assessment
during December of the ISO17021 quality management
system in view of the readiness thereof for accreditation
was circulated.
The report outlines that significant work remains for MBS
in continued development and implementation of the
system is required before accreditation can be achieved.
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The report contains detailed information related to all the
missing/incomplete elements of the system, including
shortcomings matters related to internal auditing,
requirement to develop qualified auditors/lead auditors
(including training on ISO19011 Guidance on auditing
management systems, filling of vacancies, committee
structures, completion of documentation and ensuring the
system is implemented and all system records are available.
The changes to the ISO9001 standard with the introduction
late in 2015 of the new version of the standard will also
require certain changes and considerations to the ISO17021
system being developed at MBS. A bridging course for
MBS officers between the ISO9001:2008 version and the
new version is required; this training could most efficiently
be implemented i.t.o. Output 6 as part of the assignment of
the IE to provide training and technical assistance to
industry of the ISO9001 system.
A real concern is that there is no evidence of any work done
by MBS during this quarter to respond to the report
findings, for example for the documentation system to be
fully developed by March in view of the road map to
achieve accreditation by Dec. 2016.
It is evident that continued technical assistance is required
and MBS management need to provide leadership to the
QASD in this regard else the Dec. 2016 target will not be
achieved.
The IE is heavily engaged at present in UNIDO project in
Nigeria where five conformity assessment bodies are being
established. UNIDO proposes that a possible way forward
to support MBS could be for the project to support an
attachment of MBS officers to the Nigeria project to gain
from the work being done there and for the IE to oversee
the completion of the documentation management system.
If this is not considered feasible UNIDO advises that an IE
is contracted to work in continuous mode with MBS.
The allocation of funds for the eventual contracting by
UNIDO of the accreditation body is provided for in the IAA
amendment process which is ongoing at the time of this
report.
3.3 Upgraded and accredited testing
laboratories in MBS
[MBS (UNIDO)]
Current implementation is in terms of the Pilot Phase for
MBS to be accredited to ISO/IEC 17025 with scope limited
to microbiology, pesticides, elements analysis, and food
contaminants (e.g. aflatoxins).
The technical assistance to MBS through International
Expert in matters related to the development and
implementation of the ISO17025 management system was a
key matter discussed with MBS this quarter. Indications are
positive that MBS Management would resolve internal
discussions related to this technical assistance and that
UNIDO will be in position during the next quarter to
contract an expert.
The training related to the software use and operation of the
High-Performance Liquid Chromatograph (HPLC) was
completed this quarter and the system is now fully
operational and in use.
The set of Certified Reference Materials (CRMs) were
delivered and these provide now for MBS traceability for
various testing methods and the means to undertake method
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validation for a large number of testing procedures.
The Automated Atmospheric Distillation Analyzer was
delivered and commissioned and MBS officers were
trained. This provides an important testing capability in
Malawi to analyze distillation trend of fuels for the
petroleum industry.
Other items procured and in advanced stage of shipment to
MBS by the respective suppliers are:
o PO 3000031176 issued to Enkay Enterprises for supply
and installation of a Universal Testing Machine for
testing of various strength properties of materials,
specifically high-capacity tension, compression,
bend/flex, and shear testing through;
o PO 3000031222 issued to Anatech Instruments for
supply and installation of a High Pressure Capillary Ion
Chromatograph to be used for routine testing and
primarily for the enhanced determination of anions such
as Nitrates, Phosphates, Sulphates, Fluorides and many
others in different types of water.
The allocation of funds for the eventual contracting by
UNIDO of the accreditation body is provided for in the IAA
amendment process which is ongoing at the time of this
report.
3.4 Upgraded and accredited
calibration laboratories in MBS
Current implementation is in terms of the Pilot Phase for
MBS to be accredited to ISO/IEC 17025 with scope limited
to mass, volume and dimension (length) being implemented
in close collaboration with the MATCB project.
The construction works at the Metrology Services
Department where such works provide for (a) a dedicated
heavy mass and large volume laboratory and storage
facility, and (b) upgrading of the laboratory environment
and air conditioning systems of the existing MSD facilities
is at an advanced stage and target date for handover of these
facilities to MBS is 20 May 2016. These works and
upgrading is essential to also the SQAM project objectives
and ensuring an environment conducive for eventual
accreditation of calibration services.
During the quarter the mass metrology equipment was
delivered, these being:
o A calibrated class F2 weight set (1 mg -20 kg);
o Calibrated mass comparators (balances):
o Balance of 200g capacity (x1),
o Balances of 520 g capacity (x2);
o Laptop computers to be used for the analysis of data
during laboratory and on-site calibrations;
o Digital thermometer-hygrometer (x5) to allow for
monitoring of laboratory environmental conditions.
Installation and commissioning will be done in May in the
refurbished MSD facilities.
The allocation of funds for the eventual contracting by
UNIDO of the accreditation body is provided for in the IAA
amendment process which is ongoing at the time of this
report.
3.5 Develop a training business unit.
[MBS (UNIDO)] UNIDO took note that initial actions as provided for in the
AWP2016 for MBS to do a survey of the training needs and
opportunities in industry was not yet done.
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The action for UNIDO to field an expert to support MBS in
systems related to the training course offered by MBS will
most likely only be done in quarters 3 and will be a next
actions once the initial work under national implementation
modality has been accomplished.
3.6 Establish a pool of Malawian
auditors
[MBS (UNIDO)]
This activity provides for technical assistance to MBS in the
development of processes and system to support the
management of a pool of auditors where such auditors are
integral to conformity assessment services earmarked for
accreditation.
Implementation by UNIDO of this action is scheduled for
the second half of 2016.
3.7 Collaboration with the Malawi
Laboratory Association to strengthen
the association as an integral part of
the national quality infrastructure,
notably in view of testing and
calibration services
[MBS (UNDP)]
This activity is a national implementation activity under
MBS as was concluded during 2014.
Output 4: Strengthened, proactive and responsive National Enquiry Points (NEP) to
the information and notification requirements of WTO/TBT/SPS agreements ACTIVITY STATUS
4.1 Identify, store, update, create and
use the information on foreign TR,
standards and conformity assessment
dispositions of countries that import
from Malawi
[MBS (UNIDO)]
UNIDO component was concluded early in 2015 and
implementation of the various findings and
recommendations arising from the report by the
International Expert concerned (Sierra) towards the
compliance by Malawi with the WTO transparency
provisions of the three National Enquiry Points for SPS and
the National Notification Authority is now required under
national implementation responsibility. The specific
responsibilities go beyond only the MBS, as outlined:
o Food Safety [Malawi Bureau of Standards, Blantyre]
o Animal Health [Ministry of Agriculture, Dept. Animal
Health and Livestock, Lilongwe]
o Plant Protection [Ministry of Agriculture, Dept. Agric.
Research Services, Lilongwe]
o The National Notification Authority [Ministry of
Industry and Trade, Lilongwe]
UNIDO stands ready to provide continued support to the
process.
Output 5: Sanitary and Phytosanitary (SPS) infrastructure improved and
mainstreamed into National policies ACTIVITY STATUS
5.1 Review the national SPS
infrastructure
[MBS (UNIDO)]
The draft report and supporting food safety legislative
framework in follow up to the mission by the team of
experts from the Food and Agricultural Organization of the
UN (FAO) undertaken during November is being prepared
by FAO and will be circulated once received.
Initial feedback from FAO outline that key challenges for
Malawi in matters concerning food safety are (i) to resolve
the institutional arrangement related to the effective
5.2 Develop a road map to improve
the Malawian SPS infrastructure.
[MBS (UNIDO)]
5.3 Review and upgrade the
legislation for the SPS infrastructure
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[MBS (UNIDO)] administration of a Food Safety Law and (ii) for the law to
be informed by a Food Safety Policy.
The specific objective of this work by FAO is to support the
development of draft primary legislation for food safety
control in Malawi, aligned with international standards and
requirements that sets out an institutional framework for
food safety control appropriate to the needs of Malawi, and
reflects its regional trade arrangements (COMESA, SADC
etc.).
Output 6: Capacity of Small and Medium sized Enterprises (SME), and particularly
women and youth led enterprises, strengthened to comply with quality requirements ACTIVITY STATUS
6.1 Preparation of an overall training
and technical assistance programme
for SMEs, in particular female and
youth headed SMEs.
[MBS (UNDP/MoIT)]
Programme implementation related to the 7 Cohort I
companies to benefit from technical assistance through
international experts for ISO9001 and ISO2200 quality
management systems commenced in accordance with the
AWP2016 and as reported under act. 6.2, 6.3, 6.5 and 6.6.
UNIDO is still however awaiting final decisions under
national implementation modality related to:
o The list of Cohort II companies which applied for
assistance to MBS during the 2015 process to also
benefit from ISO9001 and ISO22000 assistance
o Consensus at national level of the value chains in
accordance with the National Export Strategy (NES) to
benefit from technical assistance.
The AWP2016 is clear on the above inputs and the
requirement for this to have been concluded by the end of
this reporting period (quarter 1). UNIDO implementation
beyond Cohort I actions cannot commence if these inputs
are not forthcoming.
6.2 Technical assistance to 15 SMEs,
in particular female and youth headed
SMEs, to comply with HACCP /
ISO 22000 Food safety management
systems
[MBS (UNIDO)]
The inception mission of the IE (Anya Knoetze) contracted
by UNIDO to lead the ISO22000 and HACCP technical
assistance commenced this quarter with in-country
component scheduled for 28 March – 9 April 2016.
The inception mission provide for:
o Visits to each of the 3x Cohort I companies where
assistance in the implementation of ISO22000 is
required. This is required for the IE to do an initial
evaluation of the current status of compliance with the
standard and to inform the future work programme.
These companies are:
Nali Limited (Thyolo)
Linga Wines (Lilongwe)
Katete Diaries (Lilongwe)
o A 5 day course on ISO22000 and aspects of HACCP to
the representatives of these companies.
The report from the IE will inform the manner in which the
remainder of the programme need to be structured for these
companies to eventually be ISO22000 certified.
6.3 Technical assistance to 10 SMEs,
in particular female and youth headed
SMEs, to comply with ISO 9001
Quality management systems.
[MBS (UNIDO)]
The inception mission of the IE identified to lead the
ISO9001 technical assistance programme will be
implemented during the next quarter. The focus will be on
those 4x Cohort I companies selected to be supported in
implementation of ISO9001.
It was further agreed with MBS that the IE would also offer
a bridging course to MBS officers on the changes between
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the 2008 and 2015 versions of the ISO9001 standard. (ref.
act. 3.2).
6.4 Other type of quality requirements
in export markets. Technical
assistance to 10 SMEs.
[MBS (UNIDO)]
Implementation by is planned for quarters 2 and 3 in
accordance with the AWP2016.
6.5 Trainers-cum-counsellors and
auditors: Training in HACCP / ISO
22000 Food safety management
systems.
[MBS (UNIDO)]
The first training course over 5 days will be offered by the
IE (Anya Knoetze) contracted by UNIDO to lead the
ISO22000 and HACCP technical assistance activity (ref.
6.2) and was confirmed to take place during her mission 28
March – 9 April 2016.
The participants will be the 18 individuals nominated by the
MBS.
It is important to note that there is a lack of expertise
especially in the SME sector of the ISO22000 and HACCP
standards and this lack of expertise is clearly evident in the
limited experience of these nominees. This reinforces
however the rationale for the project to undertake these
trainings amongst the SME community.
It is realistic to expect that only a small number of the
candidates will eventually be able to make the transition to
become trainers/counselors and eventually progress to
auditors.
6.6 Training in ISO 9001 Quality
management systems for trainers-
cum-counsellors and auditors.
[MBS (UNIDO)]
To be combined with a mission of the expert to be fielded in
act. 6.3.
6.7 Trainers-cum-counsellors:
Training in "Initiating quality
improvement in selected sectors"
[MBS (UNIDO)]
Implementation by is planned for 2017 (AWP2016).
6.8 Awareness seminars: ISO 14000
Environment management systems;
GLOBALG.A.P. (Good Agricultural
Practice)
[MBS (UNIDO)]
Implementation by is planned for quarter 4 (AWP2016).
6.9 Trainers-cum-counsellors and
auditors: Training in ISO/IEC 17025
[MBS (UNIDO)]
The AWP2016 provides for this training to coincide with
World Accreditation Day (9 June 2016).
MBS recommendation is that the main participants be
drawn from those companies that form the membership of
the Laboratory Association of Malawi as these companies
all subscribe to the goals of ISO17025.
UNIDO commenced the process of identification of IEs to
undertake this training, foreseen as a 5 day course.
Output 7: MBS Compliant with International Regulations established ACTIVITY STATUS
7.1 TA for the preparation of the
organizational ad operational bylaws
and business plan for the Malawian
accreditation body.
[MBS (UNIDO)]
Activity was concluded in 2015.
Output 8: Programme Management ACTIVITY STATUS
8.1 Operational Management Team Provides for International Technical Assistance and
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related costs, including the project CTA and UNIDO
travel and the contracts of the CTA and junior consultant
at UNIDO.
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C. Financial Status and Utilization
A first installment of EUR 550,000 (equivalent to USD 717,079.53) was received
from the UNDP on 28 October 2013 in accordance with the schedule of payment of
the inter-agency agreement. At the end of March 2014 financial implementation by
UNIDO was reported as 83% allowing for request for the next disbursement of funds.
The next installment from UNDP to UNIDO, an amount of EUR 1,009,728
(equivalent to USD 1,199,074.47) was received on 10 October 2014.
Financial expenditure for the quarter in terms of eligible costs amounts to USD
94,219.69 as per inputs received by UNIDO’s Financial Management of Technical
Cooperation Unit) bringing the total financial expenditure to USD 1,790,940.77 (also
refer to table in Annex 2)2.
A third installment of EUR 781,784 was requested by UNIDO on 8 December, 2015.
Letter of acknowledgement was received on 6 January, 2016 indicating that despite
request, a prompt transfer of funds is not possible. To date, UNIDO is still awaiting
the transfer of this third instalment. It is vital in nature, as UNIDO funds are almost
depleted, and as such is having a negative impact on UNIDO’s ability to ensure
implementation in accordance with the AWP2016 planning.
This amounts to 89% of financial implementation by the end of the quarter, of total
funds received (installment 1 + installment 2).
60,000 of the 80,000 USD under Output 3, which was allocated to UNDP at the onset,
has been re-allocated to UNIDO in the 2016 AWP. Letters with regards to this subject
matter have been exchanged between UNIDO and UNDP noting the need for this to
be reflected in the amendment of the IAA in order for these funds to be made
effective by UNIDO.
Furthermore, given the agreement in principle during the AWP planning session and
allocation in the AWP 2016 of funds for UNIDO mission travel, contingency
allocation is required to provide for this, for which donor’s approval is required.
Considering the number of already occurred missions as well as those foreseen,
amendment of the IAA to allow for utilization of funds is imperative. This matter will
be also considered in the forthcoming amendment of the IAA.
While the 24 month extension as requested by MBS is considered an overall no-cost
extension to the European Union, additional funds3 amounting USD 172,000 are
required by UNIDO in order to sustain the project operations for the extended period
between May 2016 and May 2018, on top of USD 60,000 from current contingency
funds. Agreement was reached between UNIDO and the UNDP during Q3 2015
quarter for these funds to be reallocated from UNDP to UNIDO budget in the context
2 The financial information at the date of this report is regarded as preliminary, this in consideration of
the IAA provision for UNIDO to submitted the final financial report by 31 July 2015. 3 Amount stated in USD to be determined and agreed to in EUR equivalent at the time of such
allocation
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20
of the IAA amendment; this accommodated as result of savings incurred in the
implementation of Output 8 and the project contingency. Having obtained the 24
month extension, amendment of the IAA is required with the approval by the EU as
donor accepting the agreement to use the contingency funds as negotiated with
UNDP.
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D. Lessons Learned
The quarter highlighted the importance of continuity and monitoring especially in
relation to:
Findings obtained by International Expert (Shaukat) indicating follow up is
essential in nature on part of National Implementation which could eventually
lead to accreditation of ISO17021 and ISO17065 by December 2016 should
recommendations be followed and continued actions and dedicated monitoring
be put in motion. The mission demonstrated the value to MBS Management of
a pre-assessment by an IE as the report and findings give detailed information
related to the status of implementation and gaps. It is however essential for
MBS, management and officers concerned with the implementation of these
systems to internalize the report and to act on these actions.
MBS was advised to ensure appropriate measures are taken to protect all
equipment, especially the new equipment procured, against surge protection
following observations of the poor quality of supply.
National implementation continues to post a challenge, considering slow
actions can lead to delayed implementation on UNIDO side (eg. limited
advances with Outputs 3.1(b) and 3.2 ISO17021 and ISO17065 documentation
systems, and no progress regarding Output 6 Cohort II companies and value
chain selection.).
Next instalment was requested by UNIDO first week of December 2016, to
date, UNIDO is still awaiting its replenishment. It is important to consider for
future (especially when deciding the new schedule of payments to be quoted in
amended inter agency agreement).
Furthermore, with relation to UNIDO reporting:
It is important to standardize methods, process, tools, techniques, checklists to
ensure everyone has access to the same overview as a lack of overview of the
(financial) process between stakeholders may create discrepancies.
Given exhaustion of permissible funds for travel, and despite verbal agreement
that IAA will include an increase of limits, ad hoc planning continues to prove
challenging as UNIDO is only able to participate in events with very early
notice given HQ-internal approval procedures.
Upon finalization of AWP2016 session, issue of timing was discussed where
after it was suggested that a longer lead period be observed between the
Annual Work Planning session and the subsequent Steering Committee
Meeting held, however, extending the period between the two events could
endanger UNIDO participation and more careful planning
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E. Conclusion
The report elaborated on the delivery of equipment procured as per approved
procurement plan. Fielding of International Expert under Output 6 to provide
technical assistance in the implementation of ISO22000 Quality Management
Systems (QMS) was concluded, yet mission will take place in Q2 2016.
A concern which surfaced during the Annual Work Planning Session 2016 in
Blantyre, Malawi was that the financial expenditure threshold has been met by
UNIDO and despite the next installment having been requested on December 8, 2015,
the transfer of funds are experiencing delays which could in turn affect project
implementation.
The various administrative processes related to the formal approval and signing of the
AWP2016 as adopted during the meeting of the SC during December need to be
concluded by parties concerned as matter of priority for implementation to commence
in 2016 as anticipated. It is important to note that, almost without exception, National
Implementation actions under the responsibility of the MBS need to be initiated in
parallel or in lead-up to UNIDO actions. As such, care need to be taken to ensure
provisions and resources are appropriate and actions timely taken at National level for
the UNIDO implementation to advance.
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F. Future Work Plan
The key activities from the AWP2016 for implementation by UNIDO in the next
quarter include:
Output 1:
- Activities 1.7 Preparation and implementation of a training plan for MBS; the
out-of-country training for officers in the Testing Services Department will
continue according to the course schedule. This training is being undertaken at the
International Food Safety Training Laboratory in the United States of America.
Output 2:
- UNIDO activities are concluded in terms of this Output.
- It is now essential that the National Implementation activities are initiated in order
to ensure the desired results under this output are achieved.
Output 3:
- UNDP and UNIDO will formulate the amendment to the IAA regarding the
funding allocations for procurement of the services of international accreditation
services.
- Activities 3.1b Develop within MBS an accredited product certification body and
3.2 Develop within MBS a management systems certification body. UNIDO noted
that there has been very little progress since the detailed report following the pre-
assessment of the MBS ISO/IEC 17065 and ISO/IEC 17021 quality management
systems. It is essential for MBS to act and address these to ensure the
accreditation objectives will eventually be met. UNIDO will explore possibilities
with MBS to field additional TA or arrange for attachment of MBS officers to
ensure the completion of system documentation.
- Activities 3.3 Upgrade and accredited testing laboratories in MBS and
3.4 Upgrade and accredited calibration laboratories in MBS:
o UNIDO hopes to receive final inputs from MBS regarding the process to
recruit an international expert for technical assistance/pre-assessment of the
ISO/IEC 17025 system of the TSD.
- Delivery and installation of the Universal Testing Machine and of the Ion-
Chromatograph is expected this next quarter. The commissioning of the mass
metrology equipment will also be done.
Output 4:
- UNIDO activities are concluded in terms of this Output.
- It is now essential that the National Implementation activities are initiated in order
to ensure the desired results under this output are achieved.
Output 5:
- The report from the FAO on findings and recommendations arising from the Q4,
2015 missions will be received and this will inform the next actions for this
component. It is realistic to expect that a next action will be the validation
workshop.
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Output 6:
- International expert recruited to undertake following activities:
6.2 Technical assistance to SMEs, in particular female and youth headed SMEs, to
comply with HACCP / ISO 22000 Food safety management systems (Objective,
Cohort I)
6.5 Trainers-cum-counsellors and auditors: Training in HACCP / ISO 22000 Food
safety management systems.
This assignment is an inception mission where the expert will conduct a training
course on ISO22000, evaluate the current level of implementation of the particular
QMS at the companies and agree on a plan of action with each company for the
eventual completion of implementation of the system. It is foreseen that the
inception mission will be supported by further missions in accordance with the
plan of action.
o The technical assistance programme for ISO9001 will commence with the
inception mission and the training off the trainers/counselors.
o The ISO17025 training course will be arranged to coincide with World
Accreditation Day (9 June 2016).
Output 8:
Activity 8.1 Operational Management Team; UNIDO will continue to provide
international technical assistance through the oversight of the work of the CTA and
junior consultant as provided for under UNIDO responsibility
Annexes: 1. Annex 1: Expenditure as reported and accepted by UNDP HQ (UNEX). First
Quarter of 2016 (Jan-Mar) expenditures were not accepted by UNDP HQ as
these were unfortunately submitted past the reporting deadline. Thus, Q1 2016
expenditures reflected 0 USD and will be submitted with Q2 figures.
2. Annex 2: Expenditure comprising Obligations + Disbursements to date. These
figures are available in PDR’s shared with UNDP Malawi office.
Interim Report (Oct-Nov 2015)
Draft (November 2015)
Development of a Robust SQAM Infrastructure in Malawi Project Page 25
OUTPUT USD ($) USD ($) USD ($)
January - March 2016
QUARTERLY EXPENDITURE
TOTAL EXPENDITURE AS AT PREVIOUS
QUARTERTOTAL EXPENDITURE
Output 1: Increased efficiency and sustainability of the
Malawi Bureau of Standards- 138,836.45 138,836.45
Output 2: Better technical regulations - Support to the
reviews and development of technical regulations- 38,263.83 38,263.83
Output 3: Enhancement of the Malawi Bureau of Standards
capacity- 430,813.71 430,813.71
Output 4: Enhanced Capacity of National Enquiry Points
(NEP). Proactive and responsive NEP to info and notification
requirements of WTO/TBT/SPS agreements
- 14,074.71 14,074.71
Output 5: Strengthened Sanitary and Phytosanitary
infrastructure- -
Output 6: Small and Medium Enterprise (SME) meet quality
requirements- -
Output 7: Preparation of the organisational and operational
internal by-laws and business plan for a national Malawian
Accreditation body
- - -
Output 8: Operational Management Team (operation costs
and visibility)- 408,224.42 408,224.42
SUB-Total Project Direct Eligible Costs (EXCLUDING CONT) - 1,030,213.12 1,030,213.12
CONT (2.75%) - has to be ≤ 5% -
SUB-total Project Direct Eligible Costs (INCLUDING
contingency)-
Output 1 Support Costs - 11,736.94 11,736.94
Output 2 Support Costs - 2,678.47 2,678.47
Output 3 Support Costs - 65,405.82 65,405.82
Output 4 Support Costs - 2,311.46 2,311.46
Output 6 Support Costs - -
Output 8 Support Costs - 28,867.65 28,867.65
Indirect Costs (GMS 7%): Administrative Costs has to be ≤ 7%
of Direct Eligible Costs- 111,000.34 111,000.34
GRAND TOTAL (Including contingency) - 1,141,213.46 1,141,213.46
ANNEX 1
Interim Report (Oct-Nov 2015)
Draft (November 2015)
Development of a Robust SQAM Infrastructure in Malawi Project Page 26
OUTPUT USD ($) USD ($) USD ($)
January - March 2016
QUARTERLY EXPENDITURE
TOTAL EXPENDITURE AS AT PREVIOUS
QUARTERTOTAL EXPENDITURE
Output 1: Increased efficiency and sustainability of the
Malawi Bureau of Standards 5,325.95167,670.75 172,996.70
Output 2: Better technical regulations - Support to the
reviews and development of technical regulations- 38,263.83 38,263.83
Output 3: Enhancement of the Malawi Bureau of Standards
capacity- 926,802.57 926,802.57
Output 4: Enhanced Capacity of National Enquiry Points
(NEP). Proactive and responsive NEP to info and notification
requirements of WTO/TBT/SPS agreements
- 14,074.71 14,074.71
Output 5: Strengthened Sanitary and Phytosanitary
infrastructure- - -
Output 6: Small and Medium Enterprise (SME) meet quality
requirements 11,246.00- 11,246.00
Output 7: Preparation of the organisational and operational
internal by-laws and business plan for a national Malawian
Accreditation body
- - -
Output 8: Operational Management Team (operation costs
and visibility) 71,483.86431,341.13 502,824.99
SUB-Total Project Direct Eligible Costs (EXCLUDING CONT) 88,055.81 1,578,152.99 1,666,208.80
CONT (2.75%) - has to be ≤ 5% -
SUB-total Project Direct Eligible Costs (INCLUDING
contingency)
Output 1 Support Costs 372.79 11,736.94 12,109.73
Output 2 Support Costs - 2,678.47 2,678.47
Output 3 Support Costs - 72,973.57 72,973.57
Output 4 Support Costs 787.22 985.23 1,772.45
Output 6 Support Costs - - -
Output 8 Support Costs 5,003.87 30,193.88 35,197.75
Indirect Costs (GMS 7%): Administrative Costs has to be ≤ 7%
of Direct Eligible Costs 6,163.88118,568.09 124,731.97
GRAND TOTAL (Including contingency) 94,219.69 1,696,721.08 1,790,940.77
ANNEX 2