Description
Description (EN): Project background:
The popularity of local farm products and organic/ecological food has increased enormously in last decade. Farm products´ freshness, naturalness and good taste are highly valued by consumers both in Estonia, Latvia and in abroad. As the sector is quite popular, many young people/families preferring to live in countryside decide to start business in local food sector (farming and/or production). However, small farm producers are not known enough in their own region, neither in neighbouring regions across the border. Often their products are in humble packages and they lack knowledge and resources for promotion and finding direct sales channel outside their own home region. Young entrepreneurs usually see at first their market area in their home region (municipality or county), but the market potential of regions located in the other side of the border should be also recognized. Younger people have better language skills and they have more courage to look also for markets outside from their own region. Therefore this target group has high potential for starting cross-border cooperation. Local food producers lack of information about farmers who can supply agricultural products needed for them. If the farm products are sold to big factories and supermarket chains, then the profit earned by farmers/small-producers is minimal. Therefore, it is important to support and encourage entrepreneurs in finding other sales channels more close to end costumer also in neighbouring regions across the border. Since there is lack of co-operation between farmers/producers in border areas, low know-how on how to produce farm products for higher added value and to establish short supply- chain, it is needed to organize joint activities and events. In these events, it is possible to find new contacts and business partners and to improve together knowledge and skills in the field of marketing, promotion and customer relations.
In project area, the handicraft sector is well developed and there are many skilful handicraft masters who could sell their product in wider area outside their region or even in other countries. New masters are entering to the sector with better language and computer skills, so they have higher potential to use contemporary technology in sales and marketing (online-shops, websites etc). The handicraft producers from both countries should learn together the opportunities how to sell their products in wider market area using efficient marketing and ICT-tools. Also the handicraft masters should be encouraged to start their own business as many of them consider it more as a hobby. Handicraft masters are very interested in joint participation in fairs and other marketing events together with their colleagues from other country.
Cross-border nature:
Co-operation of new businesses and young entrepreneurs in project area will be supported in two main fields: 1) finding the clients in new markets across the border, which enables them to grow and expand; 2) co-operation in product development and marketing for higher profitability and added value.
The cross-border co-operation opens access to new markets for young small producers and farmers. It is easier to look at first for new market near to your own region (Estonia and Latvia), then it is possible to move forward to other markets. Joint activities in promotion and marketing save costs and increases income. Shared knowledge and joint effort is essential in order to be successful in foreign markets. Business opportunities in neighbouring countries enables to increase the volumes, sales and profit of new SME’s and businesses looking for new field of activity. Businesses from participating regions should take advantage of locating near Est-Lat border, which enables them to find new clients and partners not far from their own region.
Project objectives:
The project objective is enlivened cross-border business activity and close business relations especially among new businesses from remote border areas working in the field of non-traditional farming, food-production and handicraft. Project encourages cross-border trade and co-operation between new SMEs from Est-Lat border areas (Setomaa region, Räpina, Vastseliina, Ape and Smiltene municipalities) in above-mentioned sectors, as the domestic market in project area is too small and finding new markets and partners is good possibility for increasing the SME´s turnover, profitability and competitiveness.
Main activities:
Partners have decided to use sectoral approach in implementation of project activities. Cross-border networks in 4 sectors will be established: 1)Berry and fruit farmers and producers; 2) Meat and milk farmers and producers; 3) Vegetables, herbs and plant farmers and producers; 4) Handicraft masters. In the beginning of the project joint contact event will be organized, and later on for each sectoral group series of events will be organized targeted to creation of cross-border partnerships and to joint improvement of skills and knowledge. In each group 4-5 entrepreneurs/SMEs will emerge with highest motivation and interests in cross-border cooperation, they will used as network leaders and will be trained as mentors.
For each group 2 mutual study tours will be organized (1 to Est, 1 to Lat), incl. joint workshop, they will participate jointly in local fairs (ca 4 fairs during the project, incl. contact event after the fair), also 2-4 joint 2-days seminars will be organized for each group. Most active entrepreneurs looking for new markets participate jointly in study tours in Belarus, Pskov oblast and Finland. For further marketing a printed brochure consisting of the leaflets in 2 languages and info brochure in Russian will be prepared.
In total there are 42 events where target group members from both countries participate.
Read more Achievements (EN): The main target group of COOP Local project was SME’s operating in local food and handicraft sector in border areas. During 2,5 years of the project lifetime, project partners organized altogether 43 events, with ca 230 Estonian and Latvian businesses, who participated at the events together.
Events were organized to reach three aims - 1) creation of the sector-based cross-border networks of businesses through joint participation in local fairs, contact events and mutual study visits, 2) joint improvement of skills and knowledge through joint sector-based seminars and study visits to Pskov oblast, Belarus and Finland, 3) creation of sectoral networks of local business leaders.
Events offered a platform for local SME’s for meeting entrepreneurs from the neighboring country, for the creation of contacts and finding common interest for business cooperation. The project involved farmers/producers in the field of non-traditional farming, food production, and handicraft from the border areas of Estonia and Latvia - Setomaa region, Räpina, Vastseliina, Ape and Smiltene municipalities. By participating in the project, farmers and producers gained new knowledge and received new information, and by carrying out joint marketing accessed new markets. All these activities helped them to increase sales volumes.
COOP Local established four sectoral networks and one cross-border network:
Berry and fruit farmers and producers (ca 80),
Meat and milk farmers and producers (ca 60),
Vegetables, herbs and plant farmers and producers (ca 50),
Handicraft masters/entrepreneurs (ca 60),
The cross-border network of sectoral network leaders was established with 20 members (5 partners x 4 sectors).
The interest in project activities was very high, as in total 232 SME-s and 521 participants (incl. 258 entrepreneurs) participated in project events. Both numbers are much higher than expected. Also, cross-border cooperation was encouraged between Estonian and Latvian businesses. The survey conducted by project partners at the end of the project showed that in Estonia 50% of the respondents have found contacts or started cooperation with Latvian businesses. In Latvia, 69% of the respondents found new contacts or started cooperation with Estonian businesses.
Partners created a web-based application:
COOP Local catalog contains information about 66 businesses from the project area, which have the biggest potential for export and cross-border cooperation. It is available in partners’ webpages and new companies can be added if there are new requests. The catalog helps to increase the visibility of the entrepreneurs.
COOP Local website in Estonian.
Read more
Website: https://old.estlat.eu/
Expected Results (EN): The share of entrepreneurs and new businesses in the region, which are ready for cross-border cooperation
Expected Outputs (EN): As the main project target group is new businesses, then their skills and knowledge are often not sufficient for starting cross-border co-operation because of lack of experiences. Therefore entrepreneurs from 2 countries should learn together new business skills especially in the field of marketing, promotion, sales, communication, customer relations etc. Without those skills it is difficult to find clients and partners from other country and to establish sustainable business relations. Joint seminars planned in project action plan are directly targeted to the improvement of the capacity of entrepreneurs and new businesses from project area in abovementioned fields. Also opportunities for co-operation in further processing of food products will be identified. This aspect is one of the main motivators for businesses for starting cross-border cooperation as many small farmers and producers are not able to make large scale technology investments and should find other solutions like establishment of cooperatives, using the technology and equipment of other companies as external service etc.
As a result of capacity and network building activities planned in project action plan the share of entrepreneurs and new businesses from Setomaa, Orava, Räpina, Vastseliina, Smiltene and Ape regions interested in cross-border cooperation will be higher than before project implementation period.
In total partners plan to organize 42 joint events (study tours plus workshops, joint fairs+contact events, joint seminars). The estimated number of entrepreneurs participating in these events is ca 80.
Read more
Thematic information
Specific Objective:
Increased entrepreneurial cross-border cooperation in the programme area
Thematic Objective:
(03) enhancing the competitiveness of SMEs by:
Investment Priority:
(03a) promoting entrepreneurship, in particular by facilitating the economic exploitation of new ideas and fostering the creation of new firms, including through business incubators
Partners (5)
Lead Partner:
Setomaa Liit MTÜ
Address:
Obinitsa village, 65301 Setomaa municipality, Võrumaa, Estonia
Legal status:
public
Website:
http://www.setomaa.ee
Total budget:
EUR 113 203.74
ERDF budget:
EUR 96 223.18
-
Apes Novada Dome
-
Name:
Apes Novada Dome
Address:
Stacijas iela 2, LV-4337 Ape municipality, Latvia
Legal status:
public
Website:
http://www.apesnovads.lv
Total budget:
EUR 40 561.19
ERDF budget:
EUR 34 477.01
-
Smiltenes novada pašvaldība
-
Name:
Smiltenes novada pašvaldība
Address:
Darza iela 3, LV-4729 Smiltene, Latvia
Legal status:
public
Website:
http://www.smiltene.lv
Total budget:
EUR 56 191.83
ERDF budget:
EUR 47 763.06
-
Võru Vallavalitsus
-
Name:
Võru Vallavalitsus
Address:
Võrumõisa 4a, 65605 Võru, Estonia
Legal status:
public
Website:
http://www.voruvald.ee
Total budget:
EUR 47 776.11
ERDF budget:
EUR 40 609.69
-
SA Räpina Inkubatsioonikeskus
-
Name:
SA Räpina Inkubatsioonikeskus
Address:
Pargi 31, 4505 Räpina, Estonia
Legal status:
public
Website:
http://www.ariabi.ee
Total budget:
EUR 43 111.24
ERDF budget:
EUR 36 644.55
