Case Study 3: New Baghlan Sugar Company

In Afghanistan private sector development is channelled through the Ministry of Commerce and Economy, the Ministry of Finance, the Ministry of Mines and Industries and DA Afghanistan Bank. None of these currently has a strategy for PPP development. ANDS-Private Sector Development Strategy has a paragraph on PPP which states “Public private partnerships (PPPs) are a potentially useful means of addressing infrastructure and other constraints and drawing on the skills resources and efficiency of the private sector ….” The New Baghlan Sugar Factory was selected as a case study by the research team to demonstrate a successful example of a PPP in Afghanistan. Through intensive research it can be concluded, however,that NSBC is probably not a successful example of public and private sectors working together.

Currently, the factory is not operational and the partnership is falling apart. At the time of the case study, the NBSC was in a crucial stage of its existence. With this in mind, not all of the shareholders agreed to cooperate with the case study.

Peace Security and Development Network 2009 

This publication is an outcome of the in 2008 established ‘Network for Peace, Security and Development’. The Network aims to
support and encourage the sharing of expertise and cooperation between the different Dutch sectors and organisations involved
in fragile states.