NFPUG Annual Report 2017 _Eng

1. Annual report of National Federation of Pasture User
Groups
2017

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CONTENT
Abbreviation ........................................................................................................................................................... 3
SUMMARY ............................................................................................................................................................. 3
OUTCOME 1: Sustainable rangeland management is ensured through up-scaled pasture user groups
and rangeland use agreements............................................................................................................................ 6
OUTCOME 1.1 Number of soums with PUG .................................................................................................. 6
Number of AFed and APUG...................................................................................................................... 7
Number of rangeland management working groups............................................................................... 8
OUTCOME 1.2 Percentage of valid and updated ruas with new enforcement tools ................................ 10
OUTPUT 1.1: Consolidation of PUG/RUA approach in 11 existing aimags .............................................. 10
OUTPUT 1.1.1 Number of rangeland use agreement.............................................................................. 10
OUTPUT 1.1.2 Co-financing of rangeland investments by public funding and herders ....................... 10
OUTPUT 1.2: Upscale of the PUG/RUA approach is supported in 7 new aimags ................................... 10
OUTPUT 1.2.1 Number of pugs established in 7 new aimags................................................................ 10
OUTPUT 1.2.2 Number of ruas established.............................................................................................. 11
OUTPUT 1.2.3 Number of herders, civil servants and elected khural members trained in sustainable
rangeland management............................................................................................................................... 13
OUTPUT 1.4 Support institutional capacity development of PUG system................................................. 16
OUTPUT 1.4.1 Degree of financial independence of afed and apug from sdc project support ........... 16
NFPUG has expanded its cooperation with other organizations......................................................... 18
NFPUG collaborating with government and non government organization ....................................... 19
Small project funding for herders and herder institutions..................................................................... 20
OUTPUT 1.4.2 Share of women leaders in the pug system.................................................................... 21
OUTCOME 2: Income of HH is increased through collective market access and improved quality of
livestock products (veterinary services)............................................................................................................. 24
OUTCOME 2.1 Gross income generated by cooperatives.......................................................................... 24
OUTPUT 2.1: Facilitated linkages between PUG led cooperatives and processors ................................ 25
OUTCOME 2.1.1 raw materials.................................................................................................................. 25

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OUTPUT 2.2.1: Number of cooperative members trained....................................................................... 30
OUTPUT 2.2.2: Female leaders of cooperatives...................................................................................... 32
OUTPUT 2.2.3: Number of herders with access to micro-grants through matching funds and credit
and saving cooperatives (csc) .................................................................................................................... 32
OUTPUT 2.2.4: Number of credit and savings cooperative established ................................................ 37
Lessons learned................................................................................................................................................... 38
ABBREVIATION
NFPUG-National Federation of Pasture User Groups
GGAHP-Green Gold-Animal Health Project
APUG- Soum Association of Pasture User Groups
AFed-Aimag Federation of Pasture User Groups
SALMP-Soum annual land management plan
RUA-Rangeland Use Agreement
RMWG-Rangeland Management Working Group
CSC-Credit and Saving Cooperative
Middle project aimag-Khuvsgul, Uvurkhangai, Dornod, Umnugobi
Primary level of aimag-Dundgobi, Dornogobi, Sukhbaatar, Khentii, Bulgan, Selenge, Tuv,
Darkhan, Gobisumber and Orkhon,
SUMMARY
In 2017, the Green Gold-Animal Health Project has been implemented in 56 percent of
all soums nationwide. PUG has been established in 85 percent of all soums covered by the
project, so the herders have worked together to implement the sustainable rangeland
management in the area.
In 2017, 5 new AFed, 24 APUG, 147 PUG have been established in medium and
primary aimags, and we totally have 12 AFed, 121 APUG and 1362 PUG throughout the
country.
With respect to the implementation of GGAHP, NFPUG has made a contract with 21
aimag governors in order to collaborate in the establishment of PUG and the improvement of
pasture management. Also 148 RMWG has been established and is working for the sustainable

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management of rangeland and increase the income of herders through the improvement of
animal health, increase the quality of raw materials.
The NFPUG has been supported for RUA preparation in new aimags and is being
prepared for the RUA appendix and to increase the capacity of the land managers, the quality of
the photo monitoring survey and the implementation of the SALMP.
Therefore, 594 photo monitoring plots have been set up in the middle and primary level of the
aimag, two RUA have been made in Uvurkhangai and Khuvsgul aimag.
NFPUG has prepared more than 15 different training materials for rangeland
management and herder’s organization, and 233 times training has been organized at the
middle and primary level of aimags, which includes 4720 herders, 573 government specialists,
77 khural representatives and 116 other participants out off 5486 people.
NFPUG has organized 8 times study tour between APUG, AFed, and is covering 506
people from different aimags to know how GGAHP has been implemented successfully in
previous aimags.
The NFPUG has become a nationally accepted umbrella federation for the protection of
the interests of PUGs and herders. An evident is NFPUG has been made a contract with two
mining companies and 4 international organizations. With the support of MOFALI and in
cooperation with stakeholders, the National Rangeland Forum was successfully organized
which becomes an important evidence that draws public attention towards outstanding problems
and challenges in range management.
Bill of the Law on Pasture Protection along with introduction, conceptual note and
rationale was drafted and delivered to Mr.G.Temuulen, the Member of the State Great Khural.
As follow up, proposals to amend other Laws, cost estimates and output assessment which
were elaborated in cooperation with specialists and researchers in the relevant sectors, were
also submitted. The NFPUG has its representative in the working group nominated by a decree
of the Minister of Food, Agriculture and Light Industry for re-drafting the bill. A due attention was
paid to the building of capacity of soum Representatives Khural and Bag general meetings and
preparation of trainers for pasture management, and on total, 5 documents in forms of rules and
legal papers that are subjects to the approval of the Khurals of aimag/the capital and
soum/districts have been drafted.
On 11 October 2017, a letter on “Request for cooperation” was delivered to the
secretaries of Citizen’s Representative Khural of aimag, the capital, soum and districts, by which
proposals to revise the above-cited documents to adapt to local conditions and approve by
Khurals of relevant levels. In addition, lessons to all participants in the training in 21 aimags

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were provided. Thanks to the implementation of international and domestic projects, over 20
researchers involved in studies of resilience based rangeland management and new methods
and methodologies. Also, being involved in international and domestically-implemented projects,
capacity of the staffs of NFPUG has been remarkably upgraded so that the opportunities to
implement more projects and programs in the fields of environment and agriculture.
108 herder women were covered by five sessions of training arranged by the NFPUG in
2017. The trainings were aimed at support of women and to increase of household income by
producing environment-friendly produces using locally-available materials. The women who
visited these training have already been selling their produces at domestic and foreign markets.
In so doing, the income gained by the representatives of Zavkhan, Uvurkhangai, Khuvsgul,
Arkhangai and Bayankhongor aimags totaled at 5.6 million MNT.
The activities of linking the PUG-based cooperatives with national and international
brands were continued in 2017 and agreements between herders’ cooperatives and domestic
processers were intermediated. As result of these agreements, the processors made order to
purchase 89.3 tons of yak down, 236 tons of camel wool, 1410 tons of sheep wool and 138.5
tons of cashmere. As compared with the previous year, the volume of yak down was increased
by 13% against 11% decline for camel wool. In the framework of the tasks to shift up
preparation of raw materials, the Green Gold-Animal Health Project and the NFPUG arranged
training for herders in all soums and aimags with resources for yak down and camel wool in
cooperation with aimag and soum federations. Training for yak down quality took place in 33
soums of 6 aimags, whereas 39 soums received training in young camel combing and camel
wool quality. 58.3% of 2222 attendees of the training were men and 41.7% - women.
Thanks to that the training was intensive in delivering of much-needed information, the
quality of raw materials supplied by herders, improved. However, the volume of yak down and
camel wool reduced to some degree in comparison with the volume of the last year. Not all
processors did pay the in-advance payment to the cooperatives. Because of that, cooperatives
had to experience shortage of cash to buy raw materials. In the meanwhile, the volume of young
camel combed down hair has been increasing year after year, and the volume of supply was
higher by 2.4 folds in 2017.
In order to bring up the volume of raw material supply in 2018 and delivery of raw
materials with certified origin and quality, a memorandum has been signed with Wool and
Cashmere Association and Skin and Hide Association.
In cooperation with AFPUG of Arkhangai aimag, the Governor’s Office and Food and
Agriculture Authority of Arkhangai aimag, Max market company, Digital Med LLC and

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governor’s office of Tariat and Undur-Ulaan soums of Arkhangai aimag, soum veterinary service
units and representatives of herders, the Green Gold-Animal Health Project and the NFPUG
has launched a piloting of sale of livestock tagged with chip containing information of origin and
quality certification. With this work launched, the traceability of healthy livestock from healthy
grazing areas to international markets has become possible.
818 PUG has been (162 soums) initiated matching funds by 11 aimags in 2017 and totall
3.06 million tugrik has been accumulated in matching fund and it is including 22079 herd
household. This year the matching is fund is increased by 39% (857.2 million tugrik) compared
with previous year.
818 PUG has been (162 soums) joined in to the matched funds by 11 aimags in 2017
and 3.06 million tugrik has been accumulated in this funds and it is included 22079 herder
household. This year, the matching fund increases by 39% (857.2 million tugrik) compared to
the previous year.
As of the last year, 69 cooperatives based on the PUGs of Green Gold-Animal Health
Project were operating, which have been added by 15 this year, including 11 savings and credit
cooperatives, 1 secondary cooperative and 3 primary cooperatives. With the establishment of
new savings and credit cooperatives, it has become possible to transfer of cash assets of value
of 197.1 million MNT from the revolving funds set up by 1406 members at the NFPUGs in 11
soums of 3 aimags.
OUTCOME 1: SUSTAINABLE RANGELAND MANAGEMENT IS ENSURED THROUGH UP-
SCALED PASTURE USER GROUPS AND RANGELAND USE AGREEMENTS
OUTCOME 1.1 NUMBER OF SOUMS WITH PUG
As of 2017, the NFPUG implements the Green Gold-Animal Health Project in 186 soums
of 11 aimags. In 2017, work for the introduction of PUG and RUA system has been started in
selected 5-6 soums of Bulgan, Dornogobi, Dundgobi, Khentii, Sukhbaatar, Tuv, Darkhan-Uul (1
soum) and Gobisumber (1 soum) aimag. In this way, the overall coverage of the Green Gold-
Animal Health Project has been extended to all aimags and 56% of all soums in Mongolia. In
152 soums out of 186, PUG approach has been introduced and herders have been creating
optimal management of pastures.

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NUMBER OF AFED AND APUG
As of 2017, 12 AFed and 121 APUGs are operating including newly established 5 AFed
and 14 APUGs. In such ways, the activities by the Green Gold-Animal Health Project have been
made more closer to the herders.
Figure 1. AFPUG and SFPUG DATA
Project
• Aimags
• Soums
2016
• 11
• 130
2017
• 21, (100%)
• 186,(56%)

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NUMBER OF RANGELAND MANAGEMENT WORKING GROUPS
In the framework of the project, the NFPUG has made agreement with the Governors of
21 aimags on development of PUG and improvement of range management in 2017-2020.
As a part of the project, some 148 “Rangeland management working group” have been
set up in 21 aimags and 186 soums by the decree of the Governors of relevant levels. Works on
increase of herder household income and pasture improvement through the attainment of
sustainable range management, improvement of herd health and quality of livestock products
have been administered by the NFPUG.
Map 1. Soums, where rangeland management working group established
The aimag and soum rangeland management working groups headed by the deputy
governor, include administrative staffs and specialists of professional organizations such as
agriculture, environment and meteorology and environment monitoring and representatives of
local self-administration organizations, AFed, APUGs, PUGs and herders.

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Figure 2. The composition of aimag and soum rangeland management working group
As part of the tasks for capacity building for rangeland management working groups,
four-sequenced training and workshops were held in 11 aimag and project soums which newly
joined the Green Gold-Animal Health Project. By itself, the NFPUG assisted for establishment of
rangeland management working groups in 11 aimags and 40 soums and provided thematic
trainings as such “Improvement of rangeland management” and “Establishment and
development of herder organizations” to 639 members of aimag and soum rangeland
management working groups. Directions of cooperation with the range management working
groups were identified along with the development of 2017 work plan.
3.1%
3.3%
3.7%
5.2%
5.4%
7.9%
8.2%
8.7%
9.0%
12.1%
33.2%
Other
Herder
Local khural
NAMEM
APUG
PUG
EI
ALAGAC
Deputy governor
Department of Agriculture
Bag governor
Soum RMWG
4.0%
6.9%
6.9%
7.5%
7.5%
8.0%
8.6%
13.2%
13.2%
24.2%
AFed
Other
Deputy of governor
NAMEM
EI
Development officer
Local khural
ALAGAC
Department of Agriculture
Soum governor
Aimag RMWG
The range management working group in Mandakh
soum, Dornogobi aimag organized 2 consecutive
training attended by 121 households in Alkhanteeg,
Bayankhoshuu, Servenbayankhoshuu and Uekhii
bags and established 8 PUGs. The work to set up
APUG is underway.

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OUTCOME 1.2 PERCENTAGE OF VALID AND UPDATED RUAS WITH NEW
ENFORCEMENT TOOLS
OUTPUT 1.1: CONSOLIDATION OF PUG/RUA APPROACH IN 11 EXISTING AIMAGS
OUTPUT 1.1.1 NUMBER OF RANGELAND USE AGREEMENT
OUTPUT 1.1.2 CO-FINANCING OF RANGELAND INVESTMENTS BY PUBLIC FUNDING
AND HERDERS
In 11 aimags, where the NFPUG works to up-scale of Green Gold-Animal Health
Project, some 13 million MNT have been invested by public budget and by herders. This shows
that there are needs for activities of this kind should be arranged and financed jointly or be on
co-financing. In order to give good pushes to this activity, relevant activities shall be
incorporated in the current year soum land management plan and work strongly to ensure that
necessary activities are truly ranked at higher ranges by the local khurals.
OUTPUT 1.2: UPSCALE OF THE PUG/RUA APPROACH IS SUPPORTED IN 7 NEW AIMAGS
OUTPUT 1.2.1 NUMBER OF PUGS ESTABLISHED IN 7 NEW AIMAGS
In the areas of the introduction and sustaining of PUG system and RUA based on the
traditional structure of common grazing and ensuring the favorable conditions for economic
turnover of livestock and livestock products through adjusting the herd size to range carrying
capacity and potential stocking density and promotion of the value and prices of livestock-
derived products, the NFPUG hold a fruitful cooperation with the Governor of Bulgan,
Dornogobi, Dundgobi, Khentii, Selenge, Sukhbaatar and Tuv aimags, aimag and soum
government organizations and relevant professional authorities. In these 7 aimags, 147 PUGs
have established. In 186 soums and 11 aimags, where the Green Gold-Animal Health Project is
being implemented more than 1362 PUGs are operating towards improvement of range
management and increase of herder’s income.

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Map 2. Newly established PUGs
OUTPUT 1.2.2 NUMBER OF RUAS ESTABLISHED
The work of a preparatory stage of establishing RUA at newly-established PUG level
and information to be attached to the RUA, such as hand mapping, consultation of the
boundaries with all PUG members, making available information concerning ecological site
description, range condition and carrying capacity and resilience are being arranged at local
level. The previous experiences highlight that a period of 2 consecutive years is necessary for
getting professional and functional capacity of aimag and soum specialists built up and
appropriate knowledge created and making RUA with soum governor and the implementation of
key actions through the inclusion them in soum land management plan requires 1.5-3.5 years.
To support land officers of project soums for the implementation of soum land management plan
and introduction of PUG-based range photo monitoring the NFPUG donated with 86 million
MNT. Herders contributed 22 million and 166 million MNT were released from local budgets with
41 million MNT from other sources. In the result of surveys carried out at 2457 photo monitoring
points in 186 soums, the RUA has been ready for subsequent introduction. By setting up 594
range assessment and monitoring points in 4 middle and 7 primary aimags, the basis has been
paved up for RUA to be established in 2018. In addition, the resilience of ranges in project
aimags and the seasonal range boundaries of PUGs have been identified and mapped.

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In cooperation with land officers and APUGs of 18 soums
and 4 villages of Khentii aimag, field surveys for photo
monitoring has been carried out at 294 points and baseline
information for photo monitoring collected and processed,
and being used.
Picture 1. СГЗБТЖТөлөвлөгөөг дэмжин ажиллаа
Figure 3. Range photo monitoring
In Khuvsgul and Uvurkhangai aimags, where Green Gold-Animal Health Project has
been implemented since 2016, work on establishing RUA is underway. RUA training held in Bat-
Ulzii soum of Uvurkhangai aimag was attended by APUG of 4 soums and 198 herders and
government officials. The herders attended the training valued the RUA as an important and
timely measure and made agreements. RUAs were also established at Khalitirlag PUG of
Tsagaan-Uul soum of Khuvsgul aimag and Buregtii PUG of Bat-Ulzii soum of Uvurkhangai
aimag.

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The next training for information dissemination was organized in Tsagaan-Uul soum of
Khuvsgul aimag with leaders of APUGs of 5 soums and other 59 people. Herders who
participated in this event agreed to hold another meeting to establish RUAs.
Picture 2. RUA training
OUTPUT 1.2.3 NUMBER OF HERDERS, CIVIL SERVANTS AND ELECTED KHURAL
MEMBERS TRAINED IN SUSTAINABLE RANGELAND MANAGEMENT
For Bulgan, Dornogobi, Dundgobi, Khentii, Selenge, Sukhbaatar and Tuv aimagswhere
Green Gold-Animal Health Project has been launched in 2017, the NFPUG prepared training
packages for range conservation and improvement and provided training to aimag/soum
Federations, herders, civil servants and representatives of local Khurals through 233 events.
1. Introduction of NFPUG
2. Establishment of PUG
3. Establishment of APUG
4. Establishment of AFed
5. Introduction of matching fund
6. Resilience based rangeland management
7. Guideline for combing of yak down
8. Guideline for combing of baby camel wool
9. Notebook for PUG leaders
10. Advises on matters of finance
11. RUA and action plan and guideline for rangeland management working group
12. Guideline for rangeland management rules
13. Sartuul nucleus herd
14. Hand mapping of the PUGs

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86%
11%
1%
2%
Attendees of rangeland management training,
by engagement groups
Малчид
Төрийн албан
хаагч
ИТХ-ын
төлөөлөгч
Бусад
Male
59%
Female
41%
Attendees of rangeland management
training, by sex groups
15. Herd turnover models
Figure 4.Number of training in the primary and middle aimags
Figure 5. Range management training held in primary aimags
In 10 aimags, namely in Bulgan, Dornogobi, Dundgobi, Khentii, Selenge, Sukhbaatar,
Tuv, Gobisumber, Darkhan and Orkhon aimags, the NFPUG organized training for sustainable
rangeland management based on PUG/RUA which were attended by 5486 people. 2273
individuals or 41% of the attendees were women. As disaggregated, the attendees involved
4720 herders, 573 government employees, 77 representatives of Citizens’ khurals and others –
116. Training packages for improved range management conducted in the above-mentioned
aimags helped to upgrade the capacity of herders and range specialists.
8
15
13
37
17
33
12
0 10 20 30 40
Төв
Сүхбаатар
Сэлэнгэ
Хэнтий
Дундговь
Дорноговь
Булган
Number of trainings, by aimags
42
21
15
20
0 10 20 30 40 50
Дорнод
Өмнгөговь
Өвөрхангай
Хөвсгөл
Number of trainings, by aimags

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Picture 3. Rangeland management training in Khentii aimag
Picture 4. Herders actively participated in training for rodent combating in Khalzan soum,
Sukhbaatar aimag
On its own, through mass media, the NFPUG disseminates wide ranges of information
related to degradation and deterioration of
rangeland in those aimags, reasons and
consequences, and ways to further
prevention and updating local knowledge and
skills. The most common information
channels are the Mongolian Green Gold
Facebook group represents one of the
initiatives uniting 2021 members. The Green Gold-Animal Health Page has 3195 followers.
Apart, the NFPUG opened up its web: www.greenmongolia.mn in October, 2017, which serves
as main disseminator of information about activities being undertaken in rural areas.
Figure 1. Over 50 herders attended a training for strengthening capacity of PUG leaders and members of range management
working groups organized in Khentii aimag.

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OUTPUT 1.4 SUPPORT INSTITUTIONAL CAPACITY DEVELOPMENT OF PUG SYSTEM
A training on the establishment of PUGs was organized in middle and primary level
aimags with a coverage of 13699 attendees: 11166 herders, 852 government officials, 395
representative of local khurals.
Figure 6.Participants of PUG scale-uptraining
6938 persons, including 5501 herders attended training in establishment of PUG in aimags
where the project was launched in 2017: Sukhbaatar, Selenge, Tuv, Khentii, Bulgan, Dornogobi
and Dundgobi.
OUTPUT 1.4.1 DEGREE OF FINANCIAL INDEPENDENCE OF AFED AND APUG FROM
SDC PROJECT SUPPORT
The NFPUG continues its nationwide support to create a network for study tours and
cooperative working amongst PUGs, APUGs and AFed. During the study tours to “Yak Festival”
and “One day of nomads” in Arkhangai and Umnugobi aimags, 218 individuals representing
herders and range management working groups in 9 aimags were exposed to the introduction
of local PUGs, APUGs, AFed and cooperatives and best practices of range use and attended
training.
0
2000
4000
6000
Khuvsgul Uvurkhangai Umnogobi Dornod
total participants Herders Government officer Khural participants

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0 20 40 60 80 100 120
Архангай
Баян-Өлгий
Ховд
Saving and credit cooperative study tour
41
4
25
67
Архангай Баянхонгор Баян-Өлгий Говь-Алтай
Study tour for establishment of PUG and
RUA
23%
16%
18%
20%
23%
Participation in oen day of nomads, Umnugobi aimag
Булган
Мандал-Овоо
Манлай
Сэврэй
Ханхонгор
5%
10%
6%
13%
14%
14%
14%
9%
11%
3%
1%
Participation, yak festival, Arkhangai aimag
Увс
Баянхонгор
Өвөрхангай
Хөвсгөл
Дорнод
Хэнтий
Сүхбаатар
Дундговь
Дорноговь
Баян-Өлгий
Ховд
Figure 7. Study tour trainings
Study tours in the PUG/RUA areas
between project soums and aimags were
successfully organized by the Federations
of Khovd, Arkhangai, Bayankhongor and
Gobi-Altai aimags, which brought 137
persons to introduce best practices of
soums where range management has
been most successful and locally-specific
activities.
To introduce own achievements and
best practices in rangeland
management and other activities,
Arkhangai aimag hosted study tours by
19 people from range users’
federations of Dornogobi and Khentii
aimags and 25 people from range
users’ federations of Khovd aimag
visited Bayan-Ulgii aimag for study
tours.

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Ховд
25%
Увс
25%
Архангай
5%
Завхан
10%
Говь-Алтай
10%
Баян-Өлгий
25%
Best practice study tour to Bayan-Ulgii aimagOn matters of savings and credit
cooperatives, 33 persons of aimag and
soum range users’ federations of Arkhangai
aimag visited processors in Erdenet and
Darkhan cities and Selenge aimag. 6
financial staffs of Altai, Ulaankhus, Bugat,
Bulgan, Tsengel and Ulgii soums of Bayan-
Ulgii aimag attended training on finance management of saving and credit cooperative in
Ulaanbaatar and 100 people participated in cooperative training in Tsengel soum.
18 members of aimag and soum range users’ federations of Khovd aimag were covered by
study tours to experience best practices of cooperative management in Must soum.
On 16-17 December 2017, study tour to familiarize with best practices of the saving and
credit cooperative of Tsengel soum was organized for over 100 representatives of range users’
federations and savings and credit cooperatives of Khovd, Uvs, Arkhangai, Zavkhan and Gobi-
Altai aimags. The same number of people attended a training “Roles of herder institutions in
local development” hosted by Bayankhongor aimag. Altogether, 8 study tours organized with
506 people participated.
NFPUG HAS EXPANDED ITS COOPERATION WITH OTHER ORGANIZATIONS
Apart receiving funds from Green Gold-
Animal Health project, the NFPUG builds its
capacity by getting involved in contracted
works for foreign and domestic clients. One of
the works is a project “Gobi Erdene” project
being implemented in Tsogt-Ovoo soum,
Umnugobi aimag with financial support of Oyu
Tolgoi LLC. Under this assignment, resilience
mapping of rangelands of all PUGs was produced along with comprehensive surveys of range
condition and 5 specialists of the soum rangeland management working group were trained in
methodologies for determination of conditions of rangelands. All equipment and tools necessary
for surveys of rangeland conditions were donated. One hectare rangeland representing the

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three most dominant vegetation communities was fenced up as sites for demonstration of how
rangeland could be recovered through adjusting of herd size to range carrying capacity. A
current year range monitoring database was created and handed over to soum land officer.
In cooperation with Jornada research
institute, USA, the NFPUG conducted a three-
phase survey for “Pre-urban rangeland” involving
its 18 surveyors. Work on determination of grass
yield and vegetation cover in the pre-urban areas
was supervised by Jastin Vanzee, a researcher
of the Hornando research station, USA.
The NFPUG has joined the International
Range Society and holds membership of International
Land Coalition. Besides, we advertise our
organization to international communities as the
PUG/RUA approach was presented to a conference
“Combating Desertification” held in Orods, Inner
Mongolia.
According the agreement for cooperation with
EU project “Switch Asia”, which shall be kicked off in
January, preparatory works are underway. An agreement has been signed to start a FAO-
supported project for Data collection and capacity building in support of the Pastoralists Driven
Data Management System project in January of 2018.
Responsible mining projects based on local communities for large mines “Boroo Gold”
and Bayan-Airag LLC have been implemented. As a continuation of this work, an agreement
with Boroo Gold” LLC to implement large mine site rehabilitation based on PUG system it is in
2018 has been signed.
The NFPUG took an official certificate for assessment of rehabilitation in 2017, which
allows the Federation to implement projects and programs of this field in the future.
NFPUG COLLABORATING WITH GOVERNMENT AND NON GOVERNMENT
ORGANIZATION
The NFPUG successfully cooperated with MOFALI for organizing “Herders’ Forum –
2017” and National Range Forum”. The “Herders’ Forum – 2017” had 247 herders participated

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60
5
19.5
5
Investment by microfiance project, million MNT
Eco production
Infrastructure of the
rangeland
Hand crafts
Preparation of raw
materials
and the second forum attended by 250 representatives of stakeholders involved in range
management. The participants of the forum supported the draft law on range management to be
debated and approved sooner, which was prepared by MOFALI and professional organizations
and scientists and discussed at different levels of stakeholders. The draft law and
recommendations of the forum have been submitted to Mr.G.Temuulen, Member of the State
Great Khural. A joint task group for the determination of resources for preparation of livestock
feed prepared a strategy for mitigation of 2017-2018 winter and spring.
The successful organization of the range forum consents to applying for hosting of 2024
international range congress. The Federation has been cooperating for developing the
conceptual and introductory notes of the law, undertaking assessment of the law and organizing
discussions and collecting feedbacks from herders.
A NFPUG representative has been involved in the working group for drafting a pasture
protection law, nominated by decree of the Minister of Food, Agriculture and Light Industry in
October, 2017. This would, as expected allow the bill to be discussed during the 2018 spring
session.
In the framework of activities for preparation for livestock overwintering, joint measures
for the use and sharing of recommendations of surveys undertaken in August 2017 for the
determination of carrying capacity of pasture have been taken. The support of the Ministry
brings positive effects on the actions of the NFPUG.
SMALL PROJECT FUNDING FOR HERDERS AND HERDER INSTITUTIONS
A repayable investment of 84.5
million MNT has been made for uphold
of herders’ livelihoods, upgrading
pasture infrastructure and support of
women: 31.5 million in Khuvsgul aimag,
30.0 million in Uvurkhangai aimag, 15.0
million in Umnugobi aimag, 8 million in
Bayankhongor aimag and 5 million in
Zavkhan aimag.
The overwhelming portions of investment were allocated for manufacturing ecologically
pure products and support of local SME development. Repayment of a 5 million repayable

21. 4
21
microloan received by members of 17 PUGs in 5 aimags has begun and the net profit
accounted for 57 million MNT.
OUTPUT 1.4.2 SHARE OF WOMEN LEADERS IN THE PUG SYSTEM
37.5% or 17296 persons participated in training and other activities in pasture, livestock
health and other fields undertaken by the NFPUG in Ulaanbaatar and other rural locations in
2017 were women. In order to promote the trust of women in cooperatives and improve
possibilities for benefits, a phased training in hand crafting were delivered to women in the
Khangai region. For example, training on making household items using locally-available
materials and life skills was held in Alag-Erdene, Ulaan-Uul and Arbulag soums of Khuvsgul
aimag and in Jinst soum of Bayankhongor aimag with 30 women attended each. 48 women in
Khuvsgul, Bayankhongor, Arkhangai, Uvurkhangai, Zavkhan and Uvs aimags were trained in
matting of yaks down and sheep wool and making hand-made products.
Cooperation with Khangain Sor, LLC:
In cooperation with Khangain Sor, LLC in Uvurkhangai aimag, the "Green Gold-Animal
Health" project organized a week-long training for diverse cooperative business development
and upgrading of herder household income generation through strengthening of capacity of
herder women and income generation activities in Arvaikheer soum, Uvurkhangai aimag,
Ulaangom soum, Uvs aimagand Uliastai soum, Zavkhan aimag. 48 women from 25 soums of 6
aimags participated in the training.
Ms.S.Uurtuya, leader of APUG in Arbulag soum,
Khuvsgul aimag borrowed 5 million MNT to increase of
herders’ income through putting livestock products into
economic turnover and initiate SME based on collective
actions by herders and upgrade capacity to mitigate natural
disasters. Totally over 18 tons of wool was sold to
domestic processors and 3.5 million MNT from the
income generated, was distributed to those members who
cooperated.

22. 4
22
Picture 5. Training on hand-made felt products
The participants – the women herders acquired technological skills for cleaning, washing
and matting or felting of yak down and sheep woo, and for hand-making high quality and
fashionable felt/wool products. They learnt technologies for making felt socks, felt boots,
mattresses, table napkins and souvenirs using second sort or low quality wool. One of the
outputs to be remarked the training achieved was that herder women could sell their products to
“Khangain Sor” LLC.
The women association of Zavkhan aimag participated in the training with a high
appreciation that the Association will invite a trainer of the “Khangain Sor” LLC for conducting an
advanced training in own aimag in January, 2018. The items locally produced by women
herders were exhibited at the Nomads’ Cultural Fair organized in Zavkhan aimag in July 2017.
The trainers highlighted that herder women of Uvs aimag are highly able to sustained
cooperation and learnt how to make better quality of products. With specific appreciations, the
trainers of “Khangain Sor” LLC produced felt pail lasses decorated with Oird and Sartuul types
of ornaments for the gratefulness for participants of Uvs and Zavkhan aimags. Using the
knowledge and skills gained from the training, the women herders of the above-stated aimags
are making and selling felt products and supply to the APUG to access other markets. The
attendees of these training exhibited their products at 5-6 exhibitions: the Yak festival in
Arkhangai and Uvurkhangai aimags and at the hand craft exhibition in Bayankhongor aimags
and Christmas show in Ulaanbaatar.

23. 4
23
Picture 6. Display of hand-made products
Ms.Tungalag, a herder woman, Uvurkhangai aimag, who participated in the “Yak
festival” in Bat-Ulzii soum, won the nominee of best products with special prizes. Also women
herders of Jinst soum, Bayankhongor aimag, who covered by a NFPUG small-scale project,
bought wool cleaner, scale, shoemold and raw materials with 3 million MNT borrowed, and they
show the assurance the loan will be repaid. This is one of the benefits of all training undertaken.
Products made by herder women, which meet the standard requirements are selected
by the “Khangain Sor” LLC in Uvurkhangai aimag and being sent to Belgium for advertisement
at an international fair. As of today, the attendees of the training have sold products for
2,100,000 MNT. On top, products displayed by “Khangain Sor” LLC and other hand-makers at
the fair in Belgium have sold for 1000 EU, totally.
Training for felt guilt and quilted products:
Kh.Dorjkhand, a NFPUG consultant trainer and felt quilt researcher and R.Mendjargal, a
felt quilter organized successfully training for local craftswomen unstitched and quilted felt
duvets in December, 2017 in Tes soum, Uvs aimag. With this training attended by 21 women,
the initiatives of revitalization of forgotten traditions and customs of Bayed natives and
establishment of quilting in the indigenous home areas have been kicked off.
The specialties of the training is that the Hunnu quilted felt duvet, which discovered in a
tomb in Noyon Uul, was recreated which asserts Mongolians are felt tent dwellers. The crafters
made felt from sheep wool – a widely available raw material, twisted ropes from camel wool and
crafted tapestries that display the Hunnu tapestry, saddlebags and tapestries demonstrating the
identity of Bayad ethnics.

24. 4
24
350
373
391
1.7
50.4
33
1858
1150
Total revenue ,by million tugrik
Camel wool
Yak down
Livestock, Meat
Handy crafts
Milk production
Vegetable
Sheep wool
Cashmere
Picture 7. Hand-made souvenir training in Uvs aimag
By the wrap up of the training, all women agreed to work cooperated and set up a guilt-
makers’ group “Uyalaga”. In the future, subgroups specialized in felt making, quilting and other
items will be formed up. The training as the attendees perceived, has been proven important
that herder women are provided with opportunities to fully utilize products from their livestock,
produce semi-processed items and each household be a producer and achieve an increase to
the income they would generate.
OUTCOME 2: INCOME OF HH IS INCREASED THROUGH COLLECTIVE MARKET ACCESS
AND IMPROVED QUALITY OF LIVESTOCK PRODUCTS (VETERINARY SERVICES)
OUTCOME 2.1 GROSS INCOME GENERATED BY COOPERATIVES
In 2017, cooperatives of Green
Gold-Animal Health Project generated
gross income of 5.1 billion MNT, which
grew by 1.9 billion compared to the
previous year.
In order to generate more
income, to strengthen viability in the
future and to promote the cooperative
development, some cooperatives run
businesses that are pertinent to their specifics. Arkhangai aimag harvested and sold 25 tons
(15,000,000 MNT) of potato and vegetables and Khovd aimag- 40 tons (18,000,000 MNT). Also

25. 4
25
31.5
52.5
77.5
89.3
42.9 44.1 49.6
41.1
2014 2015 2016 2017
Yak dowm, tons
ХэлцэлNegotiation
40%
7%14%
6%
16%
9%
8%
Yak down supplement
Arkhangai
Bayan-Ulgii
Bayan-Khongor
Zavkhan
Uvurkhangai
Khovd
Khuvsgul
Arkhangai aimag harvested and marketed 13 tons (1,950,000 MNT) of hay and green fodder,
Bayan-Ulgii aimag - 10 tons(2,000,000 MNT), Tiv aimag - 50 tons (14,000,000 MNT) and Gobi-
Altai aimag 7 tons (4,400,000 MNT). A womens’ cooperativein Bayankhongor aimag procuded
235 pieces of hand-made produces and generated sale income of 1,670,000 MNT, whereas
primary cooperatives and APUGs of Gobi-Altai aimag gained 111,354,000 MNT income by
making of construction blocks, preparing barley flour and collectingnatural soda.
Gobi-Altai aimag sold milk for 400,000 MNT and Uvurkhangai aimag - 50,000,000 MNT.
From sale of meat, Arkhangai aimag earned 72 million MNT and Zavkhan – 35.2 million MNT,
Khuvsgul aimag – 15.3 million MNT, Bayan-Ulgii 99.5 million MNT and Khovd 168.8 million
MNT.
OUTPUT 2.1: FACILITATED LINKAGES BETWEEN PUG LED COOPERATIVES AND
PROCESSORS
OUTCOME 2.1.1 RAW MATERIALS
For the first time, five processors
involved in the negotiations and agreed to
purchase31.5 tons of yak down in 2015.
These figures, however have reached in
2017 to 8 processors and 89.3 tons of down
wool. Starting this year, the negotiation
covers not only previous target aimags, the
representatives of the APUGs and
cooperatives of Khuvsgul, Uvurkhangai and Umnugobi aimags are participated.
A figure below shows the volume of
yak down negotiated and supplied. Interests
of processors to buy raw materials through
PUGs established by Green Gold Project
are increasing year by year and the quantity
supplied by cooperatives remains stable -
over 40 tons.
The quantity supplied by the
cooperatives in 2017 has been declined. As compared to previous years, demand of yak down
is on rise and more requested. However, the higher price changers bought yak down than the

26. 4
26
103 96
261.5
210
91
66.2
120.1
60.6
0
50
100
150
200
250
300
2014 2015 2016 2017
Camel wool, ton
Negotiation Supply
0
16.5
26
1.2
3.1
7.2
0
5
10
15
20
25
30
2015 2016 2017
Baby camel combed wool, ton
Negotiation Supply
price our cooperatives and processors negotiated without any requirement for quality affected to
the volume to decline.
The Green Gold-Animal Health Project cooperatives collected 41.116 tons of yak down
in 2017 and sold to domestic processors to gained 373,476,200 MNT: 9,083 MNT with a
maximum - 1,000 MNT. As separated by aimags, Arkhangai aimag shares 41% out of total yak
down. 62.8% of total down was purchased by Bayalag Ulzii, 31.3% - by Sor Cashmere and
4.1% - by Tengri Company
Figure 8. Negotiations and supply of camel wool and young camel down hair
In 2014, 3 companies participated in the forward supply negotiation of camel wool to
purchase 103 tons. The number of negotiators increased to 9 in 2017 to buy 210 tons of camel
hair and 26 tons of combed camel down.
6 aimags prepared 60.6 tons of camel wool in 2017, which was sold for 269,352,000
MNT.Price per kg averaged at 4,446 MNT with a maximum - 6,600 MNT. In the same year, 7
Over the last years, the quality of yak down has been sharply
improved. Especially, the processors who purchased the down
through Green Gold Project achieved 3-4% increase in the yield of
pure down fiber.
Mr.Ts.Orkhontamir, head, Primary processing plant, “ЕСВ”
company

27. 4
27
7%
2%
6%
66%
18%
1%
Camel wool supply, by aimag
Bayanhongor
Gobi-Alta
Zavkhan
Umnugobi
Khovd
Bayanulgii
23%
7%
29%
5%
2%
34%
Supply of baby camel wool, by aimags
Bayanhongor
Gobi-Alta
Umnugobi
Khovd
Dornogobi
Dundgobi
aimags prepared 7.7 tons of down of young camels, which was sold for 78,930,980 MNT. The
average price per kg was 10,944MNT and the top price -12,000 MNT.
Figure 9. Supply of camel and young camel wool, by project aimags
Among the aimags sold camels wool, Umnugobi aimag takes the lead with 66%.
Although gross volume of camel wool in 2017 has been lower than that in preceding year, the
volume of combed wool tends to rise year by year. In 2015, no processor bought combed wool,
whereas the negotiated purchase increased up to 16 tons in 2016, and 6 processors concluded
to buy 26 tons. Trained herders of Dundgobi, Umnugobi and Dornogobi aimags – aimags newly
joined the project, actively contributed to the preparation and sale of combed down of young
camels.
Picture 8. Mr.Ts.Unursurenm head of cooperative of Delgerkhangai soum, Dundgobi
aimagdelivers young camel wool prepared by herders to processing factory

28. 4
28
By introducing techniques of shearing of long hair followed by combing aids to bring up
of the value of camel wool significantly.
Picture 9. Market price of camel wool, by years, MNT
The price of camel wool, which was 8000 MNT in2012, fell down to 3500 MNT in 2016.
The price of young camel reduced from 10000 in 2012 to 4500 MNT in 2015. However, the
prices regained remarkable rise over the last two years: camel wool rose to 5000MNT, sheared
wool of young camels – to 8000 MNT and combed wool – to 12000 MNT.
Apart yak down and camel wool - the strategic raw materials, the Green GoldProject-
established PUG-based cooperatives collected and intermediated the sale to processors, of
sheep wool, cashmere, skin and hides from the members. As of 2017, 851.6 tons of sheep wool
was collected totally and sold to domestic processors like Mogol Noos, Noos Ireedui, ISF,
Erdenet Khivs, Nekheesgui Edlel, Lider Cashmere, Zavkhan Sartuul and Ulaanbaatar Khivs.
Most high portion or 41% of sheep wool was supplied by Zavkhan aimag. Also Zavkhan and
Khovd aimags produced 17.6 tons of goat cashmere, which was sold for 1,150,200,000 MNT. In
the on-going year, cooperatives generated sale income of 390,876,800 MNTselling 2,111
livestock and 46 tons of meat.
In cooperation with AFPUG of Arkhangai aimag, the Governor’s Office and Food and
Agriculture Authority of Arkhangai aimag, Max market company, Digital Med LLC and
governor’s office of Tariat and Undur-Ulaan soums of Arkhangai aimag, soum veterinary service
units and representatives of herders, the Green Gold-Animal Health Project and the NFPUG
has launched a piloting of sale of livestock tagged with chip containing information of origin and
quality certification.
7000
8000
6000
4500
3500 3500
5000
9000
10000
7000
5500
4500 4500
8000
7000
10000
12000
2011 201 2013 2014 2015 2016 2017
Non classified camel wool Cutted baby camel wool Combed baby camel wool

29. 4
29
Picture 10. Herders tagging animals, demonstration soums of Arkhangai aimag
Picture 11. The secondary cooperative of Khovd aimag sold young sheep to Max Market
Figure 10. Average price of skin and hides sold, MNT
On average, a goat skin is sold for 26,213 MNT, sheep skin – for 3,941 MNT, horse hide
– for 22,000 MNT and cattle hide – for 23,531 MN, respectively.
Goat skin Cattle skin Horse skin Sheep skin
26213
23531
22000
3941

30. 4
30
Picture 12.Zavkhan aimag prepared and sold skin and hides for 60.6 million MNT this year
OUTPUT 2.2.1: NUMBER OF COOPERATIVE MEMBERS TRAINED
The activity SDC Green Gold Project has been running since 2006 train herders in
combing yak down and young camel wool significantly contributed to the improving both the
quality and quantityof yak down and camel wool as well as the net fiber yield, thus has been
proven an important step towards raising the value of these products.
In recent years, the interest of domestic processors to purchase raw materials through
PUGs established under the Green Gold Project, has been increasing. Thus, to increase the
volume of better quality raw materials, training was organized in yak and camel raising aimag
and soums in April and May.
Yak down quality training covered 33 soums of 6 aimags and the same activity for camel
wool quality and combing young camels was attended by trainees of 29 soums of 8 aimags,
respectively. On total, 2222 people: 58.3% men and 41.7% female.

31. 4
31
Picture 13.Participants, young camel combing training, Ulziit and Delgerkhangai soums,
Dundgobi aimag
Picture 14. Participants, yak down combing training, Alag-Erdene soum, Khuvsgul aimag
The participants who attended the training were given combs and sacks: 1100 combs
and 1300 sacks.
Picture 15. Combs and sacks distributed to the participants

32. 4
32
At the request of the rangeland management working group of Dundgobi aimag, a wool
classifier/trainer of Bayalag Ulzii LLC conducted 2-day training on quality classification of camel
wool for workers of new wool washing plant. During the training, local dealers of wool of young
camels were linked with Bayalag Ulzii LLC to sell at higher price.
Picture 16. Ms.Narantsetseg, wool classifier, Bayalag-Ulzii company trains workers of wool
washing plant in Dundgobi aimag in sorting of camel wool by quality
OUTPUT 2.2.2: FEMALE LEADERS OF COOPERATIVES
138 women are working in the team of administration of cooperatives: 15 - heads of
cooperatives and 123 are in the management team. This figure has been raised by 3%
compared to 2016 data. The project has been implementing policies to promote women to high
positions of cooperative administration and increased income generated by women. As result of
the assistances provided to new aimags for establishment of cooperatives and promotion of
leadership and participation of women, a women cooperative with 60 only female members,
including 11 board members and 5 control council has been established in Bayankhongor
aimag.
OUTPUT 2.2.3: NUMBER OF HERDERS WITH ACCESS TO MICRO-GRANTS THROUGH
MATCHING FUNDS AND CREDIT AND SAVING COOPERATIVES (CSC)
IN GENERAL
GGAHP has been implemented matching funds to solve short term financial problem of the
herder household and rangeland infrastructure issues. GGAHP provided 25’000 tugrik for the
each herder household and each household join 25000 tugrik for the matching fund. At

33. 4
33
818 PUG has been (162 soums) joined in to the matched funds by 11 aimags in 2017
and 3.06 million tugrik has been accumulated in this funds and it is included 22079 herder
household. This year, the matching fund increases by 39% (857.2 million tugrik) compared to
the previous year.
Table 1. Balance: 2017.11.31
№
Aimag Contribution
Profit (loss)
Balance as of
2017.11.30
Of which
Herder families Green Gold 2017.11.30
1 Arkhangai 57,594,500 56,055,500 31,676,663 145,326,663 118,435,900
2 Bayanhongor 24,621,000 27,525,000 5,812,816 57,958,816 37,654,000
3 Bayanulgii 876,971,136 182,200,000 144,409,313 1,203,580,449 842,506,315
4 Gobi-Altai 65,315,000 86,465,350 45,326,249 197,106,599 119,282,283
5 Khovd 73,397,100 135,000,000 (10,497,457) 197,899,643 140,178,921
6 Zavkhan 211,066,801 483,328,883 (55,095,122) 639,300,562 460,114,237
7 Uvs 119,977,870 155,585,000 76,131,268 351,694,138 281,675,305
8 Dornod 24,720,000 26,395,000 76,900 51,191,900 -
9 Uvurkhangai 35,550,000 35,375,000 6,600 70,931,600 18,200,000
10 Umnugobi 13,534,000 11,150,000 292,000 24,976,000 1,115,034
11 Khuvsgul 62,490,000 64,765,000 (34,000) 127,221,000 -
Total 1,565,237,407 1,263,844,733 238,105,231 3,067,187,371 2,019,161,995
Growth * 46% 32% 33% 39% 88%
INCOME, OUTCOME
In this year 939.2 million tugrik income has been generated and 788.2 million tugrik has been
spent. 48 percent of income and 44 percent of outcome has been happened in CSC of
Bayanulgii aimag. Most of outcome has been spent saving interest rate so it is really in line with
matching fund goals.

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34
Table 2.Revenue and result - 2017.11.31
№ AImag
Transparent
account
Member
Number of
loan
Growth
PUG
Herder
household
Income Outcome
1 Arkhangai 25 40 1,510 233 50,971,532 23,329,526
2 Bayanhongor 8 38 598 76 11,440,544 6,791,601
3 Bayan-Ulgii - 119 2,111 ? 507,224,148 362,814,835
4 Gobi-Altai 14 78 2,579 458 36,012,707 3,059,840
5 Khovd 20 63 2,187 379 53,966,651 81,669,741
6 Zavkhan 18 119 4,331 671 56,908,427 12,424,977
7 Uvs 22 207 5,270 1,043 222,741,543 298,078,933
8 Dornod 5 38 755 - - -
9 Uvurkhangai 4 30 900 26 - -
10 Umnugobi 4 24 346 ? - -
11 Khuvsgul 5 62 1,492 - - -
Total 125 818 22,079 2,886 939,265,552 788,169,453
Growth 52% 22% 16% 68%
In 2017, a total of 260.8 million tugriks were generated and 137 million tugrugs were spent,
totaling 238.1 million tugrugs. The new 4 aimags are more focused on membership enrollment
this year and will be able to lend and generate income from 2018.

35. 4
35
19%
28%
18%
20%
15%
Other outcome
Bank fee
Out from matching
fund
Operational cost
Labor cost
Table 3.Income and outcome comparition 2017.11.31
Aimag
income Outcome
Revenue
end of 2016 2017 End of 2016 2017
Arkhangai 50,971,532 4,903,858 23,329,526 869,201 31,676,663
Bayanhongor 11,440,544 1,340,907 6,791,601 177,033 5,812,816
Bayan-Ulgii 366,601,588 140,622,560 258,597,333 104,217,502 144,409,313
Gobi-Altai 36,012,707 13,562,384 3,059,840 1,189,002 45,326,249
Khovd 53,966,651 18,945,064 81,669,741 1,739,431 (10,497,457)
Zavkhan 222,741,543 44,555,368 298,078,933 24,313,100 (55,095,122)
Uvs 56,908,427 36,449,985 12,424,977 4,802,168 76,131,268
Dornod - 100,000 - 23,100 76,900
Uvurkhangai - 30,000 - 23,400 6,600
Umnugobi - 312,000 - 20,000 292,000
Khuvsgul - 2,500 - 36,500 (34,000)
Total : 798,642,992 260,824,627 683,951,951 137,410,437 238,105,231
Figure 11. Outcome type- 2017.11.31
Most of the expenditure for 2017 was spent on PUG leader incentives and operational expenses
from the interbank fund and interest rate savings to the CSC. Under the contract with Khan
Bank, 82 percent of the 125 transparent account is completely free of charge. In the future, we
have requested to continue the agreement.

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36
Table 4. Outcome type by aimags - 2017.11.31
Aimag
Other
outcome
Transaction fee
Out from
MF
Operational cost Labor cost
Arkhangai 298,801 91,400 - - 479,000
Bayanhongor 26,401 57,133 - 89,500 -
Bayan-Ulgii - - - - -
Gobi-Altai 443,201 16,601 - 629,200 100,000
Khovd 970,001 330 510,000 72,100 600,000
Zavkhan 10,879,200 - 50,000 2,100,000 11,333,900
Uvs 1,429,700 10,400 6,112,000 2,114,909 1,247,158
Dornod 8,100 15,000
Uvurkhangai 23,400 1,600,000
Umnugobi 20,000
Khuvsgul 36,500
Total: 14,047,304 263,864 8,272,000 5,020,709 13,760,058
MEMBERSHIP
2017 онд хуучин 7 аймаг дээр шинээр 4 аймгийн 23 сумын 159 БАХ-ын 3’770малчин өрх
шинээр элсэж, дундын сангаас 120малчин өрх гарч,нийт 22079 малчин өрхөд хүрлээ.
In the old 7 aimags 2017, there were 3'770 herder households from 159 PUGs in 23 soums of
four new aimags. The number of herder household reached 22079 herder families.
In 2017, MNT 150 million of 3'770 households from newly admitted herder households were
gathered from new aimags such as Uvurkhangai, Khuvsgul, Umnugovi, and Dornod.
LOAN
2017 онд системийн хэмжээнд дундын сангийн гишүүн 1’174малчин өрхөд 989,5 сая төгрөгийн зээл
олгосон. Тус 2017 онд олгосон зээлийн нийт 261 өрхийн зээл бүрэн төлөгдөж, 11 сарын 31 өдрийн
байдлаар 2’806 өрхтэй 2 тэрбум төгрөгийн зээлийн үлдэгдэлтэй байна. Үүнээс 400 гишүүн өрх
зээлийн хугацаагаа сунгуулсан байна.
In 2017, a loan of MNT 989.5 million was granted to 1'174 herder family of the system. The total loan of
261 household loan issued in 2017 has been fully repaid and loan balance is 2 billion MNT with 2'806
households as of November 31. Of these, 400 members have extended the loan term.
LOAN PURPOSE
The majority of herders, who borrowed from the Matching Fund for household consumption, hay and
fodder, and students for tuition fees in 2016, are also being used for household consumption, festivals,
tuition fees and hay fodder as of 2017.

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37
OUTPUT 2.2.4: NUMBER OF CREDIT AND SAVINGS COOPERATIVE ESTABLISHED
Those 69 cooperatives based on
Green Gold-Animal Health Project PUGs
were added by 15 new cooperatives
totaling at 87 and 11 savings and credit
cooperatives were also established. The
cooperatives have 12,676 members; 72
leaders are men and 15 – are women.
Figure 12. The directions of activities of new cooperatives
As aggregated, 20 various activities – training, consultation, forum and meetings were
organized in 14 soums of 7 aimags and Ulaanbaatar under an umbrella task for increasing
herder income in sustainable ways through promotion of the development of herder NGOs or
herder cooperatives and revolving fund or savings and credit cooperatives. Totally 905 PUG
leaders and members including 404 men and 501 women attended these activities. The training
and other activities with the establishment of 7 new savings and credit cooperatives as resulted
from the training and other activities; it has become possible to transfer of cash assets of value
of 197.1 million MNT from the revolving funds set up by 1406 members at the APUGs in 7
soums of 3 aimags.
Agricultural
coops, 2
Marketing
coops, 2
Savings and
credit coops 11

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 The establishment of step-up cooperatives by the APUGs, which most successfully
managed and augmented their cash accumulations, becomes good example and best practices
for the revolving funds in other aimags and soums to advance into savings and credit
cooperative/s.
 “Melkhii Khadnii Tsuurai” cooperative in Alag-Erdene soum, Khuvsgul aimag and
“Khongoriin Busguichuud” cooperative in Bayankhongor aimag has developed and approved
“Cooperative development strategic plan” and has been working in accordance of the plan.
LESSONS LEARNED
 Extending the outreach of the project to soums, which recently joined the project and
cooperation with aimag and soum range management working groups become important steps
for upgrading their skills and dissemination of information to herders and prompt establishment
of PUGs.
 An activity which has been proven as resultant is the preparation of working guidelines
matching the levels aimag and soums reached and development of methodological instruction
of how to get the guidelines implemented. The level reached current year would be used as the
basis for the following years.
 The principles of creation conditions for co-working and promotion of openness of, and
competition between the AFed and NFPUG significantly contributed to the consolidation of their
capacity. Ways for ensuring the integrated development of PUGs as well as AFed and APUGs
and herder cooperatives at aimag and soum levels and models of the structure, organization
and financing for their sustainable development have been piloted and introduced.
 Information dissemination activities such as interviews, correspondences and news
disseminated 15 folds through daily mass media, 25 times by TV and 3 times by national radio
and 32 correspondence, interviews and news by information sites positively affect the outputs of
the project and openly bridging the information on the goals and activities of the Project to
public.
 Thanks to making the structure of the organization more consolidated and the conditions
for services to its members more clear, the number of members of the Federation has reached
63.5 thousand. The finalized bylaw and membership rule are made available online, which helps
to raise the membership fee collection.

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 In comparison with the preceding years, training on quality of camel wool and yak down
aimed at increase of volume of raw materials and their quality and standards has been
conducted in more aimags and soums. Nevertheless, the volume of yak down reduced than that
of the last year. The quantity of young camel down showed some increase in the volume, but
was not enough to cover the orders of the processors.
 The interests of herders in raising their income from combing yaks and young camels
remain high. However, no all livestock are combed due to insufficient labor. Therefore, it would
be more beneficial if the project provides some support firstly to get unemployed people in
soums organized and arrange combing as tem activity.
 It has been quite common that some portions of products and raw materials which the
leaders of cooperatives and APUGs collected from the members fail to meet the quality and
standards when delivered to the processing plants. The needs therefore are that the
cooperative leaders are acquired good capacity (qualification) and skills to examine and receive
raw materials in accordance with quality classifications and standards that the processors
request. Apart, cooperatives act slower to insert data related to the raw materials herders
supplied into computer and create a database.