April 2007 : ECOPROFIT Mongolia - first annual interim review

After the first year of the EU Asia Invest and Austrian Development Agency co-financed project 'ECOPROFIT for Sustaiunable Entrepreneurship in Mongolia' the project team under leadership of CENTRIC AUSTRIA INTERNATIONAL could draw a satisfying interim balance.

The industry in Mongolia might not play an important roll in our global economy, but the signs show that due to the size and location of the country, their stock of natural resources and their strong influence from the booming Chinese marked. Several indicators show that the industrial development in Mongolia will take advantage of facts. Reason enough for the EC to invest in this country, the demand on good and know-how is rising with good business opportunities for European countries.

The project team is very satisfied with the outcome and impact of this project so far. There is a rising interest on environmental and process standard to enable the industry to enter foreign markets. The entrepreneurs invest, often with the help of international capital, in the development of their know- how and in modern technology.

Nevertheless in such a country in transition, international project developers face some problems as

• These difficulties mainly arise from communication and interpretation problems. Language barriers have to be overcome with simple English and not too sophisticated English phrases and with the help of many illustrations.
• Also cultural problems have to be taken into account. Small misunderstanding can often lead to an immediate blockage of the participants mind resulting in reduced motivation for the project.
• The project team had to show a lot of sensibility in transferring western ideas of pollution prevention and process improvements, especially because many Mongolia are sure to know it best.
• The topics and the idea of the project are very new to the Mongolian society and extremely difficult to explain. To explain major topics, which are familiar already in Europe, more time is needed in Mongolia.
• High awareness of the actual understanding of environmental management in Mongolia is recommended, as in environmental protection is still considered as only costs. This causes also problems to convince entrepreneurs to participate in the project.
• In this respect the economical aspects of CP have to be addressed with emphasis and replicated many times.
• To persuade the companies to give the project team company specific details was as well at the beginning a big problem. Now most of the data is available.

To answer these lessons learned in respect of methodology and didactics the taken measures seem to be adequate:

• To start with instruction training was a methodological very fruitful idea, as EU experts also could realise a number of potentials to improve further activities.
• Focus in first instance on the economical benefits of CP and explain that environmental benefits are a logical result (by-product) of sound management.
• Provide training materials in kind of textbooks, oriented along headings which can be used in form of transparencies, not to overload actual presentations on one hand, but to provide detailed home studying on the other hand.
• Continue with care to collect feedback.

Today the project team gets full support by the companies and the project achievements are foreseeable for the companies. Generally the project takes place just at the right time.

• This issue is attracting more and more attention of the Mongolian industry.
• The interest comes also from the authorities and legislative who want to gain more experience in pollution prevention at a company operational level. This production integrated model of environmental protection they already consider as sustainable solution to minimize the immense consumption of natural resources of Mongolian industry these days.

The next project steps will follow as proposed:

• The CP assessment reports will be evaluated and recommendations send to the Mongolian partners.
• The next mission is planed for July. Three experts will stay for at 10 days and will finish the assessment phase and will prepare the implementation of the CP options into the companies.
• The 3^rd and 4^th ECOPROFIT WS will be implemented as scheduled
• Negotiation with UNIDO will be finalized to establish a Cleaner Production centre to sustain the project activities
• The consultant team will support the companies to develop business planes to invest in new processes and technology.
• Next quarterly updates