Grant application form srb-mne stec project

Contracting Authority:
The European Community represented by
The Delegation of the European Commission to the Republic of Serbia
and
The Delegation of the European Commission to Montenegro

Cross-border programme Serbia – Montenegro
under the Instrument for Pre-Accession Assistance (IPA),
Component II, allocations for 2007 and 2008

Grant Application Form

Budget lines:
For Serbia For Montenegro:
BGUE-B2007-22.020401-C1-ELARG DELSRB BGUE-B2007-22.020401-C1-ELARG DELMNE
BGUE-B2008-22.020401-C1-ELARG DELSRB BGUE-B2008-22.020401-C1-ELARG DELMNE

Publication reference: EuropeAid/128739/L/ACT/YU
Deadline for submission of proposals: 23 September 2009
For economical and ecological reasons, we strongly recommend that you submit your files on paper-based materials (no plastic
folder or divider). We also suggest you use double-sided print-outs as much as possible

Title of the action: Sustainable tourism for equal chances (STEC)

Title of the measure under Measure I.1 Improving the productivity and competitiveness of the
which the application is area’s economic, rural, cultural and environmental resources
submitted:

Total eligible cost of the EUR 361,886.12
action

<specify country(ies), region(s), area(s) or town(s) that will benefit
from the Action>
Location(s) of the action:
Montenegro, Serbia, Northeast Montenegro, Southwest Serbia,
Berane, Prijepolje

Total duration of the <24 months>
action:

Page 1 of 98

Dossier No
(for official use only)

APPLICANT 1/ APPLICANT 2
Applicants
Functional Lead Applicant

Name of the applicant Municipality Berane Municipality Prijepolje

EuropeAid ID1

Choose one of the two options: Choose one of the two options:
IPA 2007-2008 allocation for √ IPA 2007-2008 allocation
Source of EU Funding Serbia for Serbia
√ IPA 2007-2008 allocation IPA 2007-2008 allocation for
for Montenegro Montenegro

Legal status2 Local Self Government Local Self Government
Name/EuropeAid ID number:
Name, EuropeAid ID, Nationality
Tourist Organization of
Partner(s)3 SNV, Netherlands Development Prijepolje/NA/ Serbia
Organisation / NL-2008-GDT-
2501697861 / Montenegro
Name/EuropeAid ID number: Name/EuropeAid ID number:
United Nations Development Regional Development Agency
Programme, /NA/ Montenegro Zlatibor/NA/ Serbia
Name/EuropeAid ID number:
Tourist organization Berane/
NA/ Montenegro

1
To be inserted if the organisation is registered in PADOR. This number is allocated to an organisation which
registers its data in PADOR. For more information and to register, please visit
http://ec.europa.eu/europeaid/onlineservices/pador
2
E.g. non profit making, governmental body, international organisation
3
Add as many rows as partners

Page 2 of 98

Applicants APPLICANT 1/ APPLICANT 2 TOTAL
Functional Lead
Applicant

Total eligible cost of the EUR 182,213.75 EUR 179,672.37 EUR 361,886.12
action (A)

EUR 154,762.41
Amount requested from EUR 152,672.4 EUR 307,771.86
the Contracting Authority
(B)

% of total eligible cost of % 84.93 % 84.97 % 84.95
action (B/Ax100)

Amount for activities in
adjacent regions (C)

% of Amount requested
from the Contracting
Authorities for activities % % %
in adjacent regions
(C/Bx100)

APPLICANT 1/ Functional Lead Applicant:

Contact details for the purpose of this action:

Postal address:
IV Crnogorske 1, 84300 Berane, Crna Gora

Telephone number: Country
+382 (0) 51 231 960
code + city code + number

Fax number: Country code +
+382 (0) 51 233 357
city code + number

Contact person for this
Daliborka Savovic
action:

Contact person’s email dalisavovic@gmail.com
address:

Website of the Organisation www.berane.cg.yu

Any change in the addresses, phone numbers, fax numbers and in particular e-mail, must be
notified in writing to the Contracting Authority. The Contracting Authority will not be held
responsible in case it cannot contact an applicant.

Page 3 of 98

APPLICANT 2:

Contact details for the purpose of this action:

Postal address:
Trg Bratstva i Jedinstva br. 1 , 31300 Prijepolje, Srbija

Telephone number: Country
+ 381 ( 0 ) 33 714 073
code + city code + number

Fax number: Country code +
+ 381 ( 0 ) 33 712 297
city code + number

Contact person for this
Dragiša Rakonjac
action:

Contact person’s email
prijepolje.opstina@gmail.com
address:

Website of the Organisation www.opstinaprijepolje.rs

Any change in the addresses, phone numbers, fax numbers and in particular e-mail, must be
notified in writing to the Contracting Authority. The Contracting Authority will not be held
responsible in case it cannot contact an applicant.

Page 4 of 98

NOTICE

All personal data (such as names, addresses, CVs, etc.) mentioned in your application form will be
processed in accordance with Regulation (EC) No 45/2001 of the European Parliament and of the Council
of 18 December 2000 on the protection of individuals with regard to the processing of personal data by
the Community institutions and bodies and on the free movement of such data. Your replies to the
questions in this form are necessary in order to assess your grant application and they will be processed
solely for that purpose by the department responsible for the Community grant programme concerned. On
request, you may be sent personal data and correct or complete them. For any question relating to these
data, please contact the Commission department to which the form must be returned. Beneficiaries may
lodge a complaint against the processing of their personal data with the European Data Protection
Supervisor at any time (Official Journal L8, 12.1.2001).

Page 5 of 98

TABLE OF CONTENTS

I. GUIDANCE FOR THE DRAFTING OF THE CONCEPT NOTEERROR! BOOKMARK NOT DEFINED.

THE ACTION .............................................................................................................................................. 11
1. DESCRIPTION............................................................................................................................................. 11
1.1. Title...................................................................................................................................................... 11
1.2. Location(s)........................................................................................................................................... 11
1.3. Cost of the action and amount requested from the Contracting Authorities ........................................ 11
1.4. Summary (max 1 page)........................................................................................................................ 12
1.5. Objectives (max 1 page) ...................................................................................................................... 13
1.6. Relevance of the action (max 3 pages) ................................................................................................ 14
1.7. Description of the action and its effectiveness (max 13 pages) ........................................................... 17
1.8. Methodology (max 4 pages)..................................................................................................................... 23
1.9. Duration and indicative action plan for implementing the action ............................................................. 24
1.10. Sustainability (max 3 pages) ..................................................................................................................... 28
1.11. Logical Framework.............................................................................................................................. 30
2. BUDGET FOR THE ACTION...................................................................................................................... 30
3. EXPECTED SOURCES OF FUNDING ....................................................................................................... 30
4. EXPERIENCE OF SIMILAR ACTIONS ..................................................................................................... 31

II. THE APPLICANTS............................................................................................................................. 54
1. IDENTITY .................................................................................................................................................... 54
2. PROFILE....................................................................................................................................................... 55
2.1. Category (A1 = Applicant 1/Functional Lead Applicant; A2 = Applicant 2)...................................... 55
2.2. Sector(s)............................................................................................................................................... 56
2.3. Target group(s) .................................................................................................................................... 61
3. CAPACITY TO MANAGE AND IMPLEMENT ACTIONS ....................................................................... 16
3.1. Experience by Sector (for each sector selected in 2.2.) ....................................................................... 16
3.2. Experience by Geographical area (country or region) ......................................................................... 20
3.3. Resources............................................................................................................................................. 22
3.3.1 Financial data .................................................................................................................................. 22
3.3.2. Financing Source(s) ........................................................................................................................ 23
3.3.3. Number of staff ............................................................................................................................... 25
4. LIST OF THE MANAGEMENT BOARD/COMMITTEE OF YOUR ORGANISATION .......................... 26

III. PARTNERS OF THE APPLICANTS PARTICIPATING IN THE ACTION ............................. 27
5. DESCRIPTION OF THE PARTNERS ......................................................................................................... 27
6. PARTNERSHIP STATEMENT.............................................................. ERROR! BOOKMARK NOT DEFINED.

IV. ASSOCIATES OF THE APPLICANTS PARTICIPATING IN THE ACTION.......................... 42

V. CHECKLIST ........................................................................................................................................ 43

VI. DECLARATION BY THE APPLICANT 1/ LEAD FUNCTIONAL APPLICANT ..................... 47

VI. DECLARATION BY THE APPLICANT 2...................................................................................... 49

VII. PARTNERSHIP AGREEMENT BETWEEN APPLICANTS...................................................... 50

VIII. ASSESSMENT GRID ..................................................................................................................... 52

Page 6 of 98

PART A. CONCEPT NOTE
1. Relevance of the Action
Upon analysis of existing national and local documents and strategies, needs assessments, stakeholder and
situation analysis, the partners in this project concluded that the one of main obstacles to developing tourism
in the region is the underdeveloped tourist offer and in this action will endeavor to begin remedying that
situation. The Municipality of Berane, in the northeastern part of Montenegro and the Municipality of
Prijepolje in the southwestern part of Serbia has many similarities. Both are located in the valley of the river
Lim and have similar geographical and cultural assets and potential for development. With the collapse of
the industrial base in the area that followed years of conflict, the population base has found itself
unemployed and are returning to their villages hoping to revitalize their properties, (which are capable of
producing light agricultural products and hospitality services), and generate some income, but lacking the
skills to do so. Additionally, both communities sit in areas optimal for the development of nature based/rural
tourism.

Both nations are now focused on promoting more sustainable development in the region, primarily through
tourism development. Within the primary document for tourism development in Montenegro, the Policy and
Strategy for Tourism Development in Montenegro by 2020, a special emphasis is put on diversification and
development of specific tourist offers in the northern part of Montenegro. Specifically, this project fits into the
mentioned strategy, in operational goal 3: “Montenegro is known and accepted as an “All-Year-Round”
tourism destination”, measure 3.2: “Development and improvement of specific tourism products” as well as
in operational goal 5: “Local residents are increasingly included into the tourism economy (“internal
marketing”)”, measure 5.3: “Linking tourism sector with other sectors of the local economy”. Under measure
3.2 special emphases is placed on the development of Mountain based biking and hiking, as well as the
development of agro-tourism. Market research from the international Adventure Tourism and Travel
Association, (ATTA), indicates that mountain bikers are a sub-group generating high revenues. The ATTA
also reports that “Hiking & Biking” is generally sought in combination.

This action is intended to fall under the guidelines for applicants measure 1.1: "Improving productivity and
economic competitiveness, rural, cultural and environmental resources in this area”, where indication is
given that the program is intended, "to promote diverse economic development”, through supporting the
development and improvement of tourist products and services, the integration of cultural heritage and
environmental capacity of tourism products and joint marketing of these products. The program under this
measure also is intended to, “Ensure the improvement of knowledge of tourism and cultural workers and use
of information communication technologies for development and promotion of products and training for
people… ". Based upon the above listed issues of relevance, this action is directly relevant to the issues
stated in the guidelines for proposals.

Additionally, this action is relevant to the Operating Program for the entire IPA CBC Serbia and Montenegro.
Specifically, on page 28 of the OP under the heading of “Rationale” as related to the established priorities
and measures, it is stated, “Cooperation in matching educational programmes relevant for the needs of
industry, agriculture and the business environment of the area (e.g. tourism development) can be achieved
by cross-border institutions focusing on innovative joint curricula and programmes, and sharing experience
and expertise”. Furthermore, it is also stated, “The success of small businesses is seen to be a key objective
in both countries’ job creation initiatives. Cross-border cooperation between business support groups to
work towards achieving a more advantageous business climate, and in developing a tourism support
network to stimulate the growth of this sector, would have significant cross-border impact, and benefit both
communities”.

It is planned that 20 households from 6 villages within the municipality of Prijepolje will be trained for
provision of rural accommodation and agro tourism. In Berane area an additional 20 households will receive
the training for provision of rural accommodation and agro tourism. The reason that this group was selected
as a target is that in the region has very few opportunities for employment and income generation. As well,
these are usually combined villages, in the sense that they have small livestock and small plot of land they
cultivate. They produce a relatively small market surplus that can be placed for tourist purposes.

While also partners to this action, both the LTO’s and the municipalities are effectively target groups as well.
This is down to the activities which will develop human resources within those institutions. For the LTO’s it
relates not just it destination management and product development, but also to project management which
also will benefit the Municipalities. Producers of souvenir items and local handicrafts are also targeted. It is
planned to train 20 people. In particular, the action will engage women, (as an at risk group), in this area
who are active and currently have basic experience in the development and production of souvenirs. In

Page 7 of 98

Berane there are two women’s association actively involved in handicrafts and souvenirs production:
“Vrijedne ruke=skillful hands” and “Club for rural development”, with more than 50 active members. Beside
that there are two individual producers of local souvenirs. Eight skilled women from these two associations
and two individual producers will receive the training in order to improve their business in souvenirs
productions.
Final beneficiaries:
• Residents of six villages in Prijepolje (Babine 578, Regis 511, Kamena Gora 298, Sopotnica 151,
Mileševo 122, total 1660)
• Residents six villages in Berane (Bastahe 70, Vuca 26, Glavaca 126, Kurikuce 115, Lubnice 245,
Pracevac 43, ukupno: 625)
• Mountain club Kolovrat Prijepolje – 70 members
• Mountain club Vojo Maslovaric – 43 members
• Mountain club Berane – 40 members
• Sport fishing association “Lim” – 500
• Bee keepers association – 97 members
• Two local Agro associations - 210 members
• Local and regionally based tour operators - 2
• Municipality of Prijepolje - 41,188 inhabitants
• Citizens of Berane municipality – 35,086 inhabitants

2. Description of the action and its effectiveness

The stated overall objective of this action is to “contribute to the strengthening of cross-border collaboration
through joint efforts to improve tourism destination management and product development”. This action will
seek to improve collaboration amongst stakeholders and partners on both sides of the border through
facilitation of joint participation in the development of a cooperative area. This means working towards better
capitalization and usage of human, natural, cultural and economic resources such that they are positioned
as joint advantages. This objective is therefore designed to address the stated main challenges within the
Operating Program for the CBC Serbia-Montenegro program to assist in improving utilization of “the areas
considerable assets and resources to revitalise the economy”. It has been established by the European
Commission that cross border economic and social co-operation is an effective instrument not only for
confidence building and overcoming conflicts from the past and the existence of new state borders, but also
for establishing a platform for future cooperation in other areas that are of regional and local importance.

The stated specific goal of the action is to “Improve the quality of the tourism offer in Berane and Prijepolje”.
This goal is based upon the idea that increased competitiveness and sustainability for the region in the
nature based and cultural tourism sectors are ideal for capitalizing on existing assets that are on both sides
of the border but are as yet underutilized. The area’s natural and cultural assets represent significant
opportunities for the development of the tourist sector in the area. While on the Serbian side, there is a
traditional tourist base, in Montenegro, despite similarly attractive scenery and natural resources, there is
not. Despite the Serbian side’s traditional base, the existing offer has declined over the past years and the
area’s relatively remote position has acted as an additional inhibitor to growth when coupled with the existing
offer. As current tourism trends indicate, remoteness is not particularly problematic when the offer is
developed around that position as an asset. The current offer on both sides of the border is too narrow and
as a result, in order to capitalize on the existing assets, the offer must be improved.

This action is expected to last 24 months. The anticipated results and activities that will bring them about are
thus;
Result 1: Upgraded small scale tourism infrastructure and infrastructure related capacities
The infrastructure related results from this action are expected to provide some of the most tangible and
immediate benefits and are targeted to address specific needs on both sides of the border. In Prijepolje the
lack of a quality tourism information and education center is a hindrance to effective distribution of relevant
information for tourists that do come to the area and promotion of sustainable tourism development. On the
Montenegrin side, the need to upgrade hiking and biking trails is essential to fulfillment of the Tourism Master
Plan. While local knowledge exists of these trails, effective mapping has not been completed and therefore
the GIS activities will directly address this issue. It is expected that the trail maintenance education will have
substantial added value and multiplier effects as the Serbian counterparts who will take part in the training
will be able to implement these techniques in their own area.
Result 2: Improved cooperation and strengthened capacities of local tourism stakeholders of two
municipalities.
Joint development of tourism and hospitality network will be a result of this action. Quantifiably, it is foreseen
that through the various activities that will lead to this result, approximately 70 persons will be directly

Page 8 of 98

impacted. Additionally, it is expected that this result will directly address improving mutual confidence by
establishing relations grounded in common traditions, culture, language, history which are not only essential
to improving the economic environment in the area, but to ensuring stability and further cooperation towards
that and other ends.
Result 3: Created joint tourism package.
The activities that will lead to this result, as with the result itself will directly support creating a sustainable
tourism sector through focus on alternative tourism opportunities (not-mass tourism), and specifically by
taking into consideration the unique characteristics of the area,(e.g. nature, rural area). The lack of massive
hotels leaves it to accommodations on farms and in local households to help the local population as whole
and targeted housing providers specifically.
Result 4: Established joint promotion and marketing of the region.
The establishment of joint promotion and marketing will directly benefit tour operators, hoteliers, and other
related service providers by aiding in providing them with access to the broader marketplace. The increased
presence of the target groups and final beneficiaries on the marketplace will directly aid them in gaining new
clients, establishing new partnerships and more efficiently promoting their offer. It is accepted practice in any
industry that products require promotion to drive sales and that marketing is an essential component of
product development. The expected “publications” within this result are the photo catalog and other
promotional materials that will be created, both physical and digital, (Web based).

The planned activities to achieve these results are thus;
Activity Set 1: Infrastructure and related capacities: Within this activity set there will be four areas of
specific activities. The first is renovation of Tourist Information Centre in Prijepolje, the second is
improvement of hiking & biking trails and implementation GIS mapping, the third is procurement and
placement of tourist signage and the fourth is procurement of computers for the LTO’s.
Activity Set 2: HRD and network development: Within this activity set there are eigth specific activites.
The first is establishing of cross-border tourism network, the second is conducting quarterly network
members meetings, the third is to conduct training program souvenir producers, the fourth is to produce
village household’s hospitality manual and conduct training course, the fifth is to organize a study trip to
other regions in Serbia for best practices exchange in village/farm tourism, the sixth is to conduct destination
management training courses followed by the seventh which is to a develop a joint destination management
plan of action, the eighth is to conduct a training course in event management.
Activity set 3: Tourism product development: Within this activity set there are 3 specific activites. The
first is to catalogue joint tourist assets in the region, the second is to create joint itineraries utilizing local
resources and the third is to establish a Joint calendar of events.
Activity set 4: Marketing: Within this activity set there are four specific activities. First is development of
joint printed promotional material, the second is to creation of a joint website, the third is organization of
tours for members of the media in both countries and the fourth is joint promotion of tourism products at
international tourism fairs.

3. Sustainability of the action
Preconditions and assumptions
The preconditions for project implementation include fully prepared technical documentation for the
rehabilitation of tourist information and willingness of the two municipalities to work together in
implementation and joint development. An assumption for successful implementation of the project is stable
political situation in the border region, on both sides of the border, and that the trend of improvement of
bilateral relations between two countries (Serbia and Montenegro) will continue. Additionally it is assumed
that the easing of the global economic crisis will reduce its negative impact on the tourism sector both from
the domestic markets as well as inbound international markets.
Risk analysis and contingencies
Activity set 1: Infrastructure and related capacities;
The primary risk is associated with political issues. As both areas are still undergoing modernization not just
of their local capacities, but also of capacities and influence from national authorities,
This process of change can result in instabilities within those institutions that can have a negative impact the
action. In order to mitigate these potential negative effects, the action will follow up the development with
educational activities that will be designed to create project outcome ownership at the level of the target
groups who are less likely to be impacted directly by the potential risks due to their non-political position,
(the LTO’s and mountaineering clubs).
Activity set 2: HRD and network development
There is a risk of depopulation resulting from unfavorable demographic trends and the aging of the local
populations as well as associated with the abilities of those taking part in the educational activities to absorb
the information provided. An additional risk involves the potential for conflict within the intended network.
Contingencies for these risks are as follows: to address the depopulation and aging issue, this activity set
will seek to implement and inclusive methodology that will target women and older residents; To address

Page 9 of 98

any potential problems with uptake of knowledge provided by those who receive training, the trainings will be
designed to avoid complexities while the published guidelines will provide the ability to review the materials
beyond the activities implementation; To avoid any possible conflicts within the network, numerous joint
meetings will be held that will follow an inclusive methodology during the action.
Activity set 3: Tourism product development
The risk potential in this activity set not substantial, but neither is it marginal. Considerations must be given
to areas of risk such as; Lack of human resource skills in the area of tourism guiding services, lack of viable
tour operators in the area to capitalize on the developed products, potential for certain external markets to
perceive the area as dangerous. In response to these risks, efforts will be made to mitigate their potential
impact through, focus on developing products that are less labor intensive and development of “self-guided”
itineraries, networking with other operators in the broader region and promotion amongst locals to capitalize
on new opportunities, effectively “Rebrand” the area through the marketing activities.
Activity set 4: Marketing
The predominant risks are associated with creation of promotional materials in a timely fashion, will there be
enough media interest, and will attendance at the targeted trade events be at high enough levels to have a
positive impact. As far as dealing with price, that issue will be addressed by using competitive EU
procedures for services which function to ensure best value for the money, insuring media interest will in
part done through timing of that particular activity, by doing it in the near term prior to domestic tourism
events, interest should be higher, to deal with possible low attendance there will be a targeted effort to
contact and establish meetings with operators at the events so as to ensure that minimum traffic flow goals
achieved.

Sustainability:
As this action involves training and education as substantial aspects, further implementation of these
activities is addressed by the production of the training manual for hospitality providers together with the
developed capacity to provide technical assistance in that area by the LTO’s with respect to those related
activities. It is anticipated that successful implementation will motivate additional local actors to use the
information, (training material), to reinforce their knowledge. The local governments as well as the LTO’s
will also maintain possession of these sources of information and if sought by their local residents, will be in
a position to effectively provide further trainings and technical assistance programs. Additionally, the
improvement of the mountain trails in Berane is expected to allow them to be added to the Montenegrin
National Trail Network, thereby entering them into the national trail maintenance scheme funded under the
Law on Mountain Trails. The established network will also function towards stability through cooperation with
other local and regional stakeholders to broaden its relevance and solidify its position as a relevant
stakeholder in the area. The aspect of this action that will require regular financing will be the joint
maintenance of the cross border region promotional website. It is planned that this will fall to the LTO’s, who
will be able to easily keep it going through their web portals. The funds to maintain the site, which are
relatively low, will likely be derived from the anticipated increase in municipal revenues resulting from
increased flow of tourism to the area as well as the sale of the locally produced souvenirs at the LTO offices.
As is always the case with all forms of education, once it is imparted upon an individual or group, it can
never be taken away. In this, the participants of the action will gain and maintain ownership of that which a
large part of the action provides, knowledge. By creating the joint promotional web site, the participants and
residents as a whole will gain an enhanced sense of identity, as it will provide evidence of the value of their
region. It will be perceived as an area with great value and potential. Furthermore, as the local participants
are most knowledgeable about the area they live in, they are in the best position to take advantage of the
joint promotional activity undertaken by their municipal bodies.
This joint effort will also provide a framework for future cooperation between the involved institutional
structures, (Municipal, LTO’s and CSO’s). While it will clearly take time to develop a fully active and
functional relationship, this step will go a long way towards establishing the strong foundation built upon
mutual trust and respect that is required for any long-term cooperation to succeed. Furthermore, the
capacities developed by all of the institutions involved will further their ability to continue to play an active
role in the regions process of ascension to the European Union.
It is expected that there will policy level benefits on both sides of the border as a result of this action. While
specific legislation may not be an immediate outcome or result from the action, other areas will benefit
substantially. As a result of the “best practice” orientation with regard to strategic cooperation and
development, both codes of conduct and methodologies will be improved. Both Municipalities will have a
map for how to best interact and cooperate on a long-term basis. Also, the municipalities will develop an
enhanced ability to directly communicate with their own residents by consulting with them to develop the
joint promotional aspect of the action.
Environmental sustainability is a key aspect of the effort. In particular, the trail maintenance efforts and rising
of the standard of care in that field will have a directly positive result on reducing erosion and other
associated issues with trail usage. Furthermore, the efforts to educate locals and incoming tourists threw the
leave no trace campaign will also have positive impacts by reducing direct human impacts.

Page 10 of 98

PART B. FULL APPLICATION FORM

THE ACTION

For economical and ecological reasons, we strongly recommend that you submit your files on paper-based materials (no plastic
folder or divider). We also suggest you use double-sided print-outs as much as possible

Reference of the Call for
EuropeAid/128739/L/ACT/YU
Proposals
Cross-border programme Serbia – Montenegro
Title of the Call for Proposals under the Instrument for Pre-Accession Assistance (IPA),
Component II, allocations for 2007 and 2008
Name of the applicant 1/
Municipality Berane
Functional lead applicant

Name of the applicant 2 Municipality Prijepolje

1. DESCRIPTION

1.1. Title Sustainable Tourism for Equal Chances (STEC)

1.2. Location(s) Montenegro, Serbia, Northeast Montenegro, Southwest Serbia,
Berane, Prijepolje

Country(ies), region(s), town(s)

1.3. Cost of the action and amount requested from the Contracting Authorities

APPLICANT 1/ APPLICANT 2 TOTAL
Functional Lead
Applicant

Total eligible cost of the EUR 182,213.75 EUR 179,672.37 EUR 361,886.12
action (A)

EUR 154,762.41
Amount requested from EUR 152,672.4 EUR 307,771.86
the Contracting Authority
(B)

Page 11 of 98

% of total eligible cost of % 84.93 % 84.97 % 84.95
action (B/Ax100)

Amount for activities in
4
adjacent areas (C)

% of amount requested
from the Contracting
Authority for activities in
the adjacent areas in
Montenegro (C/Bx100)

Please note that the cost of the action and the contribution requested from the Contracting Authority have
to be expressed in EURO.

1.4. Summary (max 1 page)

Total duration of the <24 months>
action

Objectives of the action <Overall objective(s)>
To contribute to the strengthening of cross-border collaboration in tourism
destination and product development, resulting in increased competitiveness
for the region in the nature based and cultural tourism sectors.
<Specific objective>
Improved quality of tourism offer in Berane and Prijepolje.

Partner(s) Municipality of Berane, SNV, UNDP, TO Berane, Municipality of Prijepolje,
TO Prijepolje, Regional Development Agency Zlatibor.
Rural households representatives 40
Target group(s)5
Local Tourism Organizations 9
Souvenir producers 20
3 Mountain clubs 20
Hotel owners 3
Restaurants owners 3
Activity based tour operators and clubs, (Rafting, 10
fishing, biking, etc)
Centre for culture 4
Agriculture producers 10
Final beneficiaries6 • Residents of six villages in Prijepolje (Babine 578, Regis 511,
Kamena Gora 298, Sopotnica 151, Mileševo 122, total 1660)
• Residents six villages in Berane (Bastahe 70, Vuca 26, Glavaca 126,
Kurikuce 115, Lubnice 245, Pracevac 43, ukupno: 625)

4
To be filled in only by applicant from Montenegro
5
“Target groups” are the groups/entities who will be directly positively affected by the project at the Project Purpose level –
See paragraph 2.3 in Section II for the list.
6
“Final beneficiaries” are those who will benefit from the project in the long term at the level of the society or sector
at large.

Page 12 of 98

Estimated results Result 1: Upgraded small scale tourism infrastructure and infrastructure
related capacities
Result 2: Improved cooperation and strengthened capacities of local tourism
stakeholders of two municipalities.
Result 4: Established joint promotion and marketing of the region

Main activities Training, Product development, Marketing, light infrastructure improvements

Where applicable, clearly indicate the sector7, theme, or geographical area specified in the call for
proposals to which the proposed action would apply:

1.5. Objectives (max 1 page)

Describe the overall objective(s) to which the action aims to contribute towards and the specific objective
that the action aims to achieve.

The stated overall objective of this action is to “contribute to the strengthening of cross-border
collaboration through joint efforts to improve tourism destination management and product
development”. This action will seek to improve collaboration amongst stakeholders and partners on
both sides of the border through facilitation of joint participation in the development of a cooperative
area. This means working towards better capitalization and usage of human, natural, cultural and
economic resources such that they are positioned as joint advantages. This objective is therefore
designed to address the stated main challenges within the Operating Program for the CBC Serbia-
Montenegro program to assist in improving utilization of “the areas considerable assets and resources
to revitalise the economy”. It has been established by the European Commission that cross border
economic and social co-operation is an effective instrument not only for confidence building and
overcoming conflicts from the past and the existence of new state borders, but also for establishing a
platform for future cooperation in other areas that are of regional and local importance.

The stated specific goal of the action is to “Improve the quality of the tourism offer in Berane and
Prijepolje”. This goal is based upon the idea that increased competitiveness and sustainability for the
region in the nature based and cultural tourism sectors are ideal for capitalizing on existing assets that
are on both sides of the border but are as yet underutilized. The area’s natural and cultural assets
represent significant opportunities for the development of the tourist sector in the area. While on the
Serbian side, there is a traditional tourist base, in Montenegro, despite similarly attractive scenery
and natural resources, there is not. Despite the Serbian side’s traditional base, the existing offer has
declined over the past years and the area’s relatively remote position has acted as an additional

7
See paragraph 2.2 in Section II for the list of Sectors.

Page 13 of 98

inhibitor to growth when coupled with the existing offer. As current tourism trends indicate,
remoteness is not particularly problematic when the offer is developed around that position as an
asset. The current offer on both sides of the border is too narrow and as a result, in order to capitalize
on the existing assets, the offer must be improved.

1.6. Relevance of the action (max 3 pages)
Analysis of existing national and local documents and strategies, needs assessments, stakeholder and
situation analysis, the partners in this project concluded that the one of main obstacles to developing
tourism in the region is the underdeveloped tourist offer. The Municipality of Berane, in the
northeastern part of Montenegro and the Municipality of Prijepolje in the southwestern part of Serbia
has many similarities. Both are located in the valley of the river Lim and have similar geographical
and cultural assets and potential for development. Berane Municipality is one of the poorest
-
municipalities in Montenegro while the municipality of Prijepolje also belongs to the group least
developed municipalities in Serbia, (according to the Serbian Ministry of National Investment
document “Development of Infrastructure”).

Poverty Estimations by Geographic Areas, 2007 (%)
Regions Poverty rate Relative Share of the Share of total
poverty risk poor
population North 14.0 1.74 56.5
32.5 Center 6.3 0.79 38.4
49.0 South 2.2 0.27 5.1
Source: The Poverty Analysis Montenegro I

Poverty risk in rural areas of Montenegro is 1.5 % bigger than average, while in urban areas risk for
approximately 30% less than average (Table 6). In urban areas poverty rate in 2007 was 5.5%, and it
was less than in rural areas where it was 12.0%. In Montenegro in rural areas live approximately
58.1% of poor persons, while in urban areas there is 41.9%. Furthermore, with the collapse of the
industrial base that followed years of conflict in the region, the population base found itself are
mostly unemployed and are returning to their villages hoping to revitalize their properties and
generate some income, but lacking the skills to do so.

Both nations are now focused on promoting more sustainable development in the region, primarily
through tourism development. The primary document for tourism development in Montenegro is the
Policy and Strategy for Tourism Development in Montenegro by 2020. Specifically, this project fits
into the mentioned strategy, in operational goal 3: “Montenegro is known and accepted as an “All-
Year-Round” tourism destination”, measure 3.2: “Development and improvement of specific tourism
products” as well as in operational goal 5: “Local residents are increasingly included into the tourism
economy (“internal marketing”)”, measure 5.3: “Linking tourism sector with other sectors of the
∗
local economy” . Under measure 3.2 special emphases is placed on the development of Mountain
based biking and hiking, as well as the development of agro-tourism. Market research from the
international Adventure Tourism and Travel Association, (ATTA), indicates that mountain bikers are
a sub-group generating high revenues. The ATTA also reports that “Hiking & Biking” is generally
sought in combination. Agro-tourism is also seen as important for the development of rural areas.
Agro-tourists are characterized as tourists focused on nature, whose perception is dominated by the
image of healthy life in the country, and related to; integration into the host family, personal contact
with animals on the farm, romantic charm of rural traditional architecture, infrastructure for free
activities for active design of holidays, adequate comfort – but no hotel service, overall comparison –
affordable prices.

Measure 5.3 of the Montenegrin tourism strategy states the following, “An enormous potential to
increase employment and income can be seen in linking the tourism sector with other economic

-
Source: Poverty Reduction Strategy Paper of Montenegro, 2003. page 2. The Poverty Analysis in Montenegro, 2007.
∗
Source: “Policy and Strategy of Tourism Development of Montenegro by 2020”, page 18

Page 14 of 98

sectors”. The production of food, in particular of bio-food, for consumption in hotels, local
restaurants, etc. offers a good chance to improve and intensify the agricultural production and benefit
from increased tourism in terms of employment and income. The measure further states, “Another
important potential lies in the combination of farming and tourism. The extended offer of farm
tourism provides a promising option for farmers in rural areas, especially in the North, to
complement their farming activities by another source of income. They should be enabled to
diversify their economic activities to be better prepared for appearing shocks and unfavorable
****
changes”.

The project also addresses priorities within the strategic development plan of the municipality of
Berane 2009 – 2014. Specifically, strategic priority 3: "Strengthening the administrative capacity and
creating a stimulating environment for the development of entrepreneurship and small and medium
+
enterprises, especially for the development of industry, tourism and agriculture” , the operating
objective 6, " Encouraging tourism development” which is planned to be realized through the
programs of the development of mountain, sports and recreational tourism, as well as all the
++
accompanying elements . Additionally, strategic priority 4: "Education and training in priority
areas, culture and sport”, operational objective 1, “Improving Education in the field of tourism”, and
operational objective 2: "Education of staff in the sector of agricultural production and development
+++
of rural areas" . Some of the projects anticipated within these strategic priorities are: building a
tourist signalization in the area of the municipality, the construction of tourist signalization in the
area of the mountain trail network, “Bjelasica-Komovi”, development of mountain tourism, rural
++++
tourism development, and others .

Current trends in tourism, (as reported by the World Tourism Organization, the English Tourist
Council and the aforementioned ATTA); indicate that Prijepolje and Berane have many advantages
that may make this area a very attractive tourist destination:
• Tourists are looking for new destinations
• The average tourist stay is short - 3 days, or extended weekend. 77% of the total
accommodation in rural houses is scheduled for a stay of 4 nights or more.
• Tourists want an active holiday with various offers within a single target destination area.
• Visitors are seeking to participate in the rural destinations outdoor activities such as hiking,
cycling, horseback riding, fishing, rafting and others.
• Visitors to rural destination like to participate and learn about agricultural methods, food,
cooking and local craft skills.

That the territory surrounding Prijepolje is a target for tourism development can be seen in Tourism
Development Strategy of Serbia in which the southwest of Serbia, where the key products expected
to see development include various events, (cultural and nature based), special interests, (health
tourism), mountain and lake and rural tourism, (summary version, page 19, southwest Serbia cluster).
Another relevant strategy was done at the regional level, the “strategy of sustainable development in
the region Uzice 2009 – 2012”. In its SWOT analysis, and its mission, tourism is recognized as one
of the key factors of development of the region, (page 29). It states specifically, "The area economy
as a holder of the economic development of the region after the process of restructuring and
privatization of existing businesses, making them functional, and opening new investment cycle
through the development of small and medium enterprises, Greenfield investments, particularly in
tourism, processing capacities and agriculture, in accordance with the principles of sustainable
development, the economy that enables growth of economic and social standard of population”

****
Source: “Policy and Strategy of Tourism Development of Montenegro by 2020”, page 42
+
Source: Strategic Development Plan of municipality of Berane 2009-2014, page 32
++
+++
++++

Page 15 of 98

The Strategy Document of Prijepolje municipality, “Strategy of Sustainable Development” defines
tourism development as a priority. Also, the municipality of Prijepolje has recognized promotion of
tourism activities in the municipalities of Berane and Prijepolje in the Action Plan for 2009 - 2010
year, which was adopted at the Municipal Assembly session in July 2009. Additional actors in
tourism development are established tourist associations, which have their own statutes, plans and
priorities for further development. Based on the priorities of the municipality and the association, and
noticed deficiencies and capacity of target groups, we further define the activities related to the
improvement of tourist infrastructure, promotion of knowledge related to tourism development,
creation of joint offers and promotions.

This action is intended to fall under the guidelines for applicants measure 1.1: "Improving
productivity and economic competitiveness, rural, cultural and environmental resources in this area”,
where indication is given that the program is intended, "to promote diverse economic development”,
through supporting the development and improvement of tourist products and services, the
integration of cultural heritage and environmental capacity of tourism products and joint marketing
of these products. The program under this measure also is intended to, “Ensure the improvement of
knowledge of tourism and cultural workers and use of information communication technologies for
development and promotion of products and training for people… ". Based upon the above listed
issues of relevance, this action is directly relevant to the issues stated in the guidelines for proposals.

Additionally, this action, both indirectly through its relevance to the guidelines for proposals and
directly outright, is relevant to the Operating Program for the entire IPA CBC Serbia and
Montenegro. Specifically, on page 28 of the OP under the heading of “Rationale” as related to the
established priorities and measures, it is stated, “Cooperation in matching educational programmes
relevant for the needs of industry, agriculture and the business environment of the area (e.g. tourism
development) can be achieved by cross-border institutions focussing on innovative joint curricula and
programmes, and sharing experience and expertise”. Furthermore, it is also stated, “The success of
small businesses is seen to be a key objective in both countries’ job creation initiatives. Cross-border
cooperation between business support groups to work towards achieving a more advantageous
business climate, and in developing a tourism support network to stimulate the growth of this sector,
would have significant cross-border impact, and benefit both communities”.

Provide a detailed description of the target groups and final beneficiaries and estimated
number:
20 out of 180 members of hiking clubs in the two municipalities are being targeted with capacity
building efforts. It is planned that 20 households from 6 villages within the municipality of Prijepolje
will be trained for provision of rural accommodation and agro tourism. In Berane area there are 8
households which are in some elements are ready to provide accommodation or local food products
while an additional 12 households ready to develop their skills and services in hospitality. In total,
from Berane territory, 20 households will receive the training for provision of rural accommodation
and agro tourism.

While also partners to this action, both the LTO’s and the municipalities are effectively target groups
as well. This is down to the activities which will develop human resources within those institutions.
For the LTO’s it relates not just it destination management and product development, but also to
project management which also will benefit the Municipalities. Producers of souvenir items and local
handicrafts are also targeted. It is planned to train 20 people. In particular, the action will engage
women, (as an at risk group), in this area who are active and currently have basic experience in the
development and production of souvenirs. In Berane there are two women’s association actively
involved in handicrafts and souvenirs production: “Vrijedne ruke=skillful hands” and “Club for rural
development”, with more than 50 active members. Beside that there are two individual producers of
local souvenirs. Eight skilled women from these two associations and two individual producers will
receive the training in order to improve their business in souvenirs productions.

Here is a chart that displays target group including those not listed above:
No Organization Number of participants Municipality

Page 16 of 98

1 Rural households representatives 40 Berane, Prijepolje
2 Local Tourism Organizations 9 Berane, Prijepolje
3 Souvenir producers 20 Berane, Prijepolje
4 3 Mountain clubs 20 Berane, Prijepolje
5 Hotel owners 3 Berane, Prijepolje
6 Restaurants owners 3 Berane, Prijepolje
7 Activity based tour operators and 10 Berane, Prijepolje
clubs, (Rafting, fishing, biking, etc)
8 Centre for culture 4 Berane, Prijepolje
9 Agriculture producers 10 Berane, Prijepolje

Final beneficiaries:
• Residents of six villages in Prijepolje (Babine 578, Regis 511, Kamena Gora 298, Sopotnica 151,
Mileševo 122, total 1660)
• Residents six villages in Berane (Bastahe 70, Vuca 26, Glavaca 126, Kurikuce 115, Lubnice 245,
Pracevac 43, ukupno: 625)

1.7. Description of the action and its effectiveness (max 13 pages)

Provide a description of the proposed action including, where relevant, background information that led to
the formulation of the action. This should include:

⁭ Expected results (max 5 pages).
Results
Result 1: Upgraded small scale tourism infrastructure and infrastructure related capacities

The infrastructure related results from this action are expected to provide some of the most tangible
and immediate benefits and are targeted to address specific needs on both sides of the border. In
Prijepolje the lack of a quality tourism information and education center is a hindrance to effective
distribution of relevant information for tourists that do come to the area. The establishment of a new
center will revitalize the areas capacity to effectively carry out information distribution and
additionally, will have added value in that it has been designed to also act as an education center as
well as providing sales of locally produced trinkets and other souvenir type items. With this new
center, local operators and hoteliers/housing providers will have a venue through which they can more
effectively reach potential clientele.

On the Montenegrin side, the need to upgrade hiking and biking trails is essential to fulfillment of the
Tourism Master Plan. While local knowledge exists of these trails, effective mapping has not been
completed and therefore the GIS activities will directly address this issue, allowing the trails to be
more effectively promoted and used for economic benefit by drawing tourists. In an effort to address
sustainability not only of the tourism offer, but also environmental, these trails need to be upgraded to
maintenance standards that have been established internationally and local stakeholders on both sides
will benefit from education in and implementation of the resulted trails upgrade. The GIS mapping
will provide a concrete set of maps for the area that will be used in dissemination and promotion and a
methodology for ensuring up to date maintenance of related data. It is expected that the trail

Page 17 of 98

maintenance education will have substantial added value and multiplier effects as the Serbian
counterparts who will take part in the training will be able to implement these techniques in their own
area, (currently most trails are marked and maintained, but the value of being able do this to a higher
standard is essential to sustainability), and the Montenegrins who take part will be able to use this
knowledge in assisting other areas that are in need of the same activity in order to fulfill the Tourism
Master Plans stated objective of promoting hiking and biking as a landmark tourism product
throughout the north.

Result 2: Improved cooperation and strengthened capacities of local tourism stakeholders of
two municipalities.

The educational activities that will create the 2nd anticipated result are aimed directly at addressing
weaknesses that are set forth in all of the relevant strategic documents, and specifically, that which
was established within the Operating Program. These are, “Limited access of the rural population to
the formal educational system due to long distances, and poor public transport” which is directly
address by providing needed education outside of the formal system provided to the relevant
stakeholders “on-sight”. This will ease transport and distance related issues by bringing the education
to the targets as opposed to making them go outside of their area to get it. Additionally, these
educational activities are addressing further weaknesses, “Lack of sector-specific (i.e. tourism,
agriculture) education” by providing knowledge that will be specific and targeted to the needs of the
area. Furthermore, this result is intended to capitalize on the opportunities that have been established
within the area, including, “Joint development of business clusters” supporting improved cooperation
and capacities across the border. Quantifiably, it is foreseen that through the various activities that
will lead to this result, approximately 70 persons will be directly impacted. Yet still, replication of
these activities throughout the area should be enhanced by the production of the rural household
hospitality manual that can be used by other communities in the region as well as the establishment of
a joint tourism destination management plan that will enable the two communities to continue to
cooperate without political difficulty as the plan will be the property of the two Tourism
Organizations. Additionally, it is expected that this result will directly address improving mutual
confidence by establishing relations grounded in common traditions, culture, language, history which
are not only essential to improving the economic environment in the area, but to ensuring stability and
further cooperation towards that and other ends.


The activities that will lead to this result, as with the result itself will directly support creating a
sustainable tourism sector through focus on alternative tourism opportunities (not-mass tourism), and
specifically by taking into consideration the unique characteristics of the area. The region as a whole,
on both sides of the border, does not lend itself to heavy volume, but rather to a higher quality, higher
value added variety of tourism. This result will directly capitalize on the areas potential in this regard.
The lack of massive hotels, or rather the ability to develop more easily accommodations on farms and
in local households will help the local population as whole and targeted housing providers specifically
to more readily capitalize on existing basic infrastructures and knowledge rather than developing
structures for which the local population has no real skills, (i.e. large scale resorts and the type of
services that tend to provided therein). The key benefactors to this result will be tour operators, who
will be able to cooperate with cross border partners to provide higher value added products and with
added value, be able to work in the future to further develop new offers.

Result 4: Established joint promotion and marketing of the region.

The establishment of joint promotion and marketing will directly benefit tour operators, hoteliers, and
other related service providers by aiding in providing them with access to the broader marketplace.
The increased presence of the target groups and final beneficiaries on the marketplace will directly aid
them in gaining new clients, establishing new partnerships and more efficiently promoting their offer.
The relationship between marketing, promotion and sales need not be expounded upon here as it is
accepted practice in any industry that products require promotion to drive sales and that marketing is
an essential component of product development. The expected “publications” within this result are the

Page 18 of 98

photo catalog and other promotional materials that will be created, both physical and digital, (Web
based).

⁭ The proposed activities and their effectiveness (max 9 pages).

Activities
*It must be noted that the two municipalities are expect to be involved in virtually all of the activities at times
contributing as stakeholder where applicable and also in a monitoring capacity. This is expected to aid them
both in developing capacities to further implement activities in the future after the project is over.
Additionally, the regional development agency Zlatibor in Serbia is a partner, but will not be involved in
activities beyond providing technical assistance to the municipalities in project management and other key
areas, (issuing public tenders, etc.)

Activity 1.1: Renovation of Tourist Information Centre in Prijepolje

This activity will be undertaken by the Municipality of Prijepolje, (contracting authority), and the
Tourism Organization of Prijepolje, (primary user). Both organizations will jointly manage the effort.
It is the full build out of a new tourism information center, (within a structure already existing and
under ownership of the Municipal authorities. In a previous joint effort by the Municipality and the
Tourism organization, a design has been established already. The build out work is listed first as it is
expected to take some time to complete, somewhere between 6 and 9 months following proper
subcontracting procedures. Additionally, it is listed first as it is intended to be in full function by
sometime around mid-term of project implementation so as to be able to functionally contribute to
implementation of later activities, (marketing and promotion). Furthermore, this facility will
ultimately provide a sales outlet for the later to be established souvenir products.

Activity 1.2: Improve hiking & biking trails, implement GIS mapping

As a key aspect of the Montenegrin Tourism Strategy, hiking and biking must be developed. The
area around Berane has an extensive, but unmarked and unmaintained trail network. This network
feeds directly into the National network and provides direct access to National Park Bjelasica and
nearby Komovi. These trails represent an obvious underutilized asset. In order to effectively
capitalize on this asset, while also maintaining environmental integrity, there will be an effort to train
members of the local mountaineering club in the latest techniques in trail maintenance followed by
extensive practical application of this knowledge through marking and actual trail improvements.
Additionally, the training will include members of the Mountaineering club from Prijepolje thereby
increasing their capacity to better maintain the established trial network on the Serbian side. Further
still, in order to properly map these trails, a full GIS will be implemented with training for the local
clubs and TO’s in how to apply this technology. This activity is also listed early in the project
implementation due to the nature of it. The effort will take time to implement, from 12 to 18 months,
with time needed to be given for acquisition of needed materials and to provide trainings prior to
actual works commencing. Additionally, there will be training in trail maintenance and marking,
(two days, one theory and the second practical). This will be followed by an effort to upgrade and
mark 135km of trails. The effort will be led by UNDP Montenegro as a partner to the project, in
cooperation with the two mountaineering clubs and the Tourism Organizations. There will be light
subcontracting as relates to training on trail maintenance.

Activity 1.3: Procurement and placement of tourist signage

Effective tourist signage is of mixed quality. As such, signage will be acquired and placed in
strategic locations to aid travelers in more easily accessing the assets of the region. It’s placement
within the activities listing is tied to its nature as an “infrastructure” activity. It is anticipated that this
activity will take place during the middle portion of the projects implementation. The action will be
run by the two Tourism Organizations and UNDP Montenegro. The signage, once in place will have
particular focus on promoting the assets that are associated with this effort, particularly, the mountain
trails system and local housing providers, (although additional assets not included in the project will
also get signage). The activity is expected to take place during the middle of the project.

Page 19 of 98

Activity 1.4: Procurement of computer equipment for Local Tourism Organizations, (LTO’s)

In order for the LTO’s on both sides to capitalize on the GIS mapping in the future, it will be
necessary for them to have computers to update data, printers to preview maps and a network to
connect to the internet to enable uploading of data. The action will be managed by UNDP, with
obvious participation of the LTO’s. It will commence early in the effort.

Activity 2.1 Facilitate establishing of cross-border tourism network.

In order to have improved communication and cooperation between tourism stakeholders in Berane,
Prijepolje and the cross border region, establishment of a tourism network is necessary. First will be
grouping stakeholders in different sub-groups (accommodation, restaurants, museums and culture
attractions, agriculture associations, sport (hiking, biking, rafting), Ecological and Culture oriented
NGOs, public authorities and supporting institutions. That will be done by LTO in Prijepolje and by
LTO Berane and SNV in Berane. Following this, 3 meetings per country/city will be organized for
making that structure in each city. Need for cooperation and Capacity Building / training will be
emphasised. Common reasons for further work on the project will be defined. Integrated Destination
Management, (IDM), approach will be introduced. This activity is the first in its set and is expected
to commence during the first quarter of the overall project implementation.

Activity 2.2 Conducting quarterly network members meetings

Each 3 months a network meeting will be organized in Prijepolje or Berane. These meeting will give
opportunity to stakeholders to do joint planning, create synergy, monitor implementation of project
activities and establish sustainable cooperation between three (public, private, NGO) sectors; These
activities will be facilitated by the two LTO’s and SNV (throughout project implementation)

Activity 2.3 Conduct training program souvenir producers

10 souvenir producers from Berane and 10 from Prijepolje will receive 2 days training in improving
production, productivity, business barriers and marketing & promotion. The training will be
organized in Prijepolje. An external consultant will provide the training. By strengthening souvenir
producers and involving them in network activities, connection with hotel accommodation providers
and sellers will be improved. This will be facilitated by the LTO’s and SNV. This activity will take
place during the first half of the project. Ultimately, this is intended to promote local micro
businesses in the field as a means of enhancing the tourist experience while providing needed income
to the rural population. The effort will commence in the middle of the project cycle.

Activity 2.4: Produce village household’s hospitality manual and conduct training course

40 persons (20 per city/country) will receive a training (two days) divided in two training modules in
village household’s hospitality. Providing village private accommodation and services are recognized
as a need/opportunity for development of rural tourism in the area. Training will be organized in
Prijepolje, under responsibility of Prijepolje municipality/LTO. Trainers will be subcontracted, (for
the training and the production of the manual). This will provide much needed improvement of
quality of service through provision of non-formal education. In order to have sustainable effect a
training manual will be developed and produced. Copies will be given to the training participants and
to the LTOs, (who will create training program for their territories and new households interested for
these activities will be in position to receive training and manuals). This activity will take place
during the middle portion of the project. This activity is designed to capitalize on the rural aspect of
the area as a tourist destination and promote economic development. As tourism in the area grows in
volume, it is anticipated that these types of accommodations will play a vital role in increasing
overnight stays in the area.

Activity 2.5: Organize study trip to region in Serbia for best practices exchange in village/farm
tourism

Page 20 of 98

To support the training program and use successful practise for additional motivation and source of
knowledge and experience exchange a study tour will be necessary. A 3 days trip will be organized in
Zlatibor region for 20 participants from cross border region. This activity follow the training as the
best participants from it will be selected as candidates to participate. The activity will be led by LTO
Prijepolje in cooperation with LTO Berane and SNV. It will follow the training listed in 2.4.

Activity 2.6 Conduct destination management training

Training in Integrated Destination Management will give the target group background in
methodology, support to strengthening the established cross border network and create better
possibilities for destination cost reduction and increase level of joint action. Training will be
organized in four modules (tourism recourse analysis, product development, Management, branding
& marketing). A part of improved knowledge and changed approach joint cross border planning and
cooperation will be strengthened. After each module, participants will receive practical exercises and
therefore be in position to put theory into practise. This activity will be led by SNV with participation
by the two LTO’s. It will take place during the first half of the project. This effort will require
subcontracting to facilitate the training.

Activity 2.7: Develop destination management plan of action

As a follow up to the training in 2.6, participants will go through a facilitated effort to produce a joint
cross border plan of action. That plan will be incorporated by network, and used for future tourism
actions of the region. The process will be facilitated by SNV and supported by two LTO offices. This
activity is intended to further solidify the cross border cooperation aspect by facilitating a mechanism
for future cooperation. The effort will coincide with that of activity 2.6.

Activity 2.8: Conduct training course in event management

In order to support additional development of tourism products, improved skills in management of
events are recognized as a need. SNV will organize and deliver the training. Participants will be from
the Prijepolje and Berane region. These will include hosts of existing events and new planned events
including agro-associations reps, cultural sector stakeholders, LTO’s/Municipal officials. This effort
will take place in both years of the project.

Activity 3.1: Catalogue joint tourist assets in the region

As a first step toward establishing a joint tourism offer and a defining a joint itinerary, it will be
necessary to definitively catalogue all potential tourist assets in the area. This will include
establishing a photo database as well as incorporating the GIS data established earlier in the project.
This action will be led by a joint effort of the two LTO’s along with the Regional Development
Agency Zlatibor, (Prijepolje section). It will commence early in the project, but due to the regular
inflow if new information, will continue to be updated throughout the action.

Activity 3.2 Create joint itineraries utilizing local resources

Building upon all that has been developed and utilizing not just the natural and cultural resources, but
also the established tourism network, an effort will be made to create new tourism itineraries that can
be sold through local operators and promoted through the LTO’s. This effort will necessarily have to
follow the completion of other activities, establishment of the network, mapping of assets and
improvement of local housing provider services. Additionally, there will be procurement of stands to
provide for food and trinkets producers to have an outlet for sales during events that will be planned.
Receiving training in management of events will together with procurement of sales point stands will
provide a necessary base for improvement of cross-border tourism offer. It will be led by the LTO’s
and take place in the middle portion of the effort.

Page 21 of 98

Activity 3.3 Establishment of a Joint calendar of events

In an effort to support cross border cooperation on an ongoing basis, and to help broaden the tourism
offer, the two municipalities will establish a joint calendar of events, (manifestations of varying
kinds, e.g. sports, cultural, etc.). Additionally, within this activity will be included the acquisition of
20 stands to be used jointly by the LTO’s in order to enable local food and souvenir producers to sell
their products during events. This action will build upon and support the establishment of joint
itineraries completed above and will be managed jointly by the two LTO’s. As an activity it will be
done twice, once in each project year.

Activity 4.1: Develop joint printed promotional material (brochures, manuals, posters, pens,
etc.)

As marketing and promotion of the region are seen to be essential to successful development of
tourism, it is therefore necessary to develop joint promotional materials. This activity is dependent
upon the completion of at least the majority of activities under actions 3.1, 3.2, and 3.3. Therefore,
while this particular action may commence at an earlier stage, its completion will follow the
completion of the other activities. The action will involve production of brochures, leaflets and other
promotional material. This action will be managed by the two LTO’s, with a need to subcontract for
materials design and production. The effort will take place in the second year after all of the relevant
data has been collected.

Activity 4.2: Creation of a joint website

In the modern age of ICT, it is seen as mandatory that a website also be established to promote the
region as well as the project itself. The site will put into use materials from the print materials to
maintain consistency of message delivery, but will also go beyond that. It will enable members of the
established tourism network to directly access information on potential clients through page view
analysis and provide a direct link between tourists and local providers, (housing, operators, etc.).
Additionally, the site will act as a vehicle for the two LTO’s to commence with Destination
Management activities upon completion of the project. The LTO’s will manage the action and it will
require subcontracting of web designers who will then build the joint site into existing sites of the
LTO’s. The initial site will be developed in the midterm but upgrading will take place into the second
year.

Activity 4.3: Organization of tours for members of the media in both countries.

Unquestionably, advertising is a substantial expense for any product, particularly TV advertising. In
an effort to gain media exposure at a cost effective rate, members of both print and TV media will be
invited to the region to take part in one of the established joint itineraries. As media in both countries
are often looking for interesting stories, this will provide them with access to one while also helping
promote the region. It is expected that there will be presentations in both print and TV of the tour,
which will be timed to lead in to the next Action by a short time span, (a week in advance). That said,
the actual implementation will be timed to provide the media members with enough time to develop
their presentations/articles so that they can be timed for optimal release. The action will be led by the
LTO’s on both sides in cooperation with all other partners to provide a full perspective on the action.
The activity will take place in the early and mid portions of the second year.

Activity 4.4: Joint promotion of tourism products at international tourism fairs

The developed itineraries, as well as the region and its offerings as a whole, will be presented in 4
separate trade events. Three of these events are public and one is trade only. The intended events are,
tourism fairs in Budva and Belgrade, (intended to directly promote the area to local population), as
well as London, (trade only, intended to promote the area to international operators and facilitate
relationships between them and local operators), and Berlin, (intended to provide public presentation

Page 22 of 98

of the region on an international stage. The LTO’s on both sides will participate in the events and
manage the action. Its implementation will coincide with the timing of the trade events themselves.

1.8. Methodology (max 4 pages)

The primary methodology for implementation of this effort is based upon joint management. At each
stage of activity, it has been designed so that even if one side is an effective leader, joint participation
is integral. This is true not just from a management standpoint, but also from a target group
standpoint. With the slight exception of infrastructure activities that a particular to each side, (and
even then there is a joint aspect), activities will be implemented for the benefit of groups on both
sides together. In fact, the word itself, “Joint”, is the central theme of the effort as a whole and goes
directly to the desired overall objective. Ultimately, all of the activities, education, planning,
promotion, are tools to support cooperation and the sense of “joint space” on both sides of the border
that began with the effort to develop this action by both municipalities in January of 2009.

Relating to previous activities in the area, both municipalities belong to Polimlje region, have similar
development strategies that have recognized tourism as an economy branch which will help the
development of the municipalities. Prior implementation of strategic documents gave a great
contribution and results in tourism. Prijepolje municipality has established a local tourist organization
as the holder of tourism development in the municipality. Tourist Organization of Prijepolje is
actively working with all the tourist subjects and recognized rural tourism as one of developmental
branches of the region. Ten rural tourism associations were formed, categorized 30 rural households,
trainings in providing services, aided 24 households, adequately promoted at fairs and entered in the
register of tourist households in Serbia. The main road to Montenegro through Serbia has been
partially covered by Tourism Signalization. Also, an effort was made to actively work to create
contents of existing manifestations and events on each side, as well as creating new events and so as
to supplement and enrich the tourist offer.

In terms of the programs relation to larger programming, it has been designed to directly extend from
both the national tourism strategies for both countries in terms of promoting rural, alternative activity
based tourism products in line with local values and traditions. Aside from the linkages to the
Stabilisation and Association Agreements both Montenegro and Serbia have signed with the EC, (in
which both nations have agreed to proceed with a process of integrating their nations policies into
those of the European Union), as an extension of the Cross-border Co-operation policy, this action is
coherent within the framework of other EU programmes. Both countries have gained experience
through the CBC Neighbourhood Programmes with Member States (SRB-HU, IT-Adriatic) and with
candidate countries (SRB-RO, SRB-BG). However, specific CBC experience as such was not
experienced by Montenegro since independency. In addition, experience was also gained with for
example Strand B of INTERREG III which promotes territorial integration and social cohesion
within large groups of European regions or other neighbouring countries, as well as CADSES
(Central European Adriatic Danube South Eastern Space), an INTERREG IIIB programme, whose
objective is to achieve greater territorial and economic integration and promoting more balanced and
harmonious development of the European space.

Internal evaluation of project activities will take place throughout the project implementation. The
purpose of internal evaluation is for Associates on the project to raise the level of knowledge of our
trainees to be able to quantitatively and qualitatively determine the efficiency, effectiveness and
impact of the project. During the reconstruction and refurbishing the facilities, regular reports will
follow phased implementation of project activities. Procedures used will be in line with PRAG
standards and methodologies. External evaluation of project activities will also be in line with PRAG
regulations and will be accompanied by official reports of bodies and institutions and official project
publications.

Page 23 of 98

The position and involvement of target groups within the action have been clearly defined. Be they
the potential housing providers or souvenir producers who are targeted in their related training
regimes or the local mountaineering clubs that will be engaged in the trail development and GIS
aspects. While acting as partners to the project, the LTO’s are also target group members in that they
will directly benefit from the destination management training and planning efforts, as well as both of
the Municipalities through there increased capacities to both cooperate across the border and to both
independently and jointly develop, manage and lead implementation of development projects.

Organizationally, the actions partners have been positioned for specific reasons. The position of the
two Municipalities as applicants is directly intended to support political cooperation and to provide
both with experience in project management and oversight, building on the capacities which they
already have a base level of knowledge and experience. The other partners to the project have also
been selected for specific purposes. The experience and relevance as primary stakeholders of the two
LTO’s to tourism development and promotion is substantial, and their participation in their selected
activities directly builds upon their experiences, particularly insofar as that experience bridges the
gaps from one activity set to another, indeed the role of the LTO’s is central to the project. SNV’s
participation is likewise down to its experience in implementing similar activities, particularly
education, planning and facilitation for tourism. The role of UNDP is likewise down to its direct
experience in the field of development of hiking and biking in Montenegro and implementation of
GIS. Each partner’s role is clear and focused with all bringing added value to the effort.

The required means for implementation of the project are varied, but can be classified easily. There
will be works relating to the infrastructure activities. There will also be supply of materials,
(furniture, computers, GPS devices, etc.), related to the infrastructure activities. While there will be
some subcontracting of services on both sides, most labor will be in house. There will be a need to
provide technical assistance to the municipalities in the area of project management.

The design of this effort was made with direct input of stakeholders on both sides of the border. Their
attitude toward the effort is positive and they are realistic in their expectations. As is often the case
with many stakeholders in projects such as this, many would like to be given money and provided
infrastructure, but as indicated they are realistic and understand that this will benefit them in the end

1.9. Duration and indicative action plan for implementing the action

The duration of the action will be <24> months.

Year 1
Month Semester 1 Semester 2
Activity 1 2 3 4 5 6 7 8 9 10 11 12 Implementing body
Activity set 1:
Infrastructure and
related capacities;
Activity 1.1: Municipality of
Renovation of Tourist Prijepolje, LTO
Information Centre in Prijepolje
Prijepolje
Activity 1.2: UNDP, LTO's,
Improvement of Municipalities
mountain trails,
implement GIS
Procurement and Municipalities
placement of tourist
signage

Page 24 of 98

Procurement of Municipalities
computer equipment
for LTO's
Activity set 2: HRD
and network
development;
Activity 2.1 Facilitate SNV, LTO's,
establishing of cross- Municipalities
border tourism
network.
Activity 2.2 SNV, LTO's,
Conducting quarterly Municipalities
network members
meetings
Activity 2.3 Conduct LTO's,
training program for Municipalities,
souvenir producers SNV
Activity 2.4: Produce LTO's,
village household’s Municipalities,
hospitality manual SNV
and conduct training
course
Activity 2.5: Organize LTO's,
study trip to other Municipalities,
region in Serbia for SNV
best practices
exchange in
village/farm tourism
Activity 2.6 Conduct SNV, LTO's,
destination Municipalities
management training
courses
Activity 2.7: Develop SNV, LTO's,
destination Municipalities
management plan of
action
Activity 2.8: Conduct SNV, LTO's,
training course in Municipalities
event management
Activity set 3:
Tourism product
development
Activity 3.1: LTO's,
Catalogue joint tourist Municipalities
assets in the region
Activity 3.2 Create SNV, LTO's,
joint itineraries Municipalities
utilizing local
resources
Activity 3.3 LTO's,
Establishment of a Municipalities
Joint calendar of
events
Activity set 4:
Marketing

Page 25 of 98

Activity 4.1: Develop LTO's,
joint printed Municipalities
promotional material
(brochures, manuals,
posters, pens, etc.)
Activity 4.2: Creation LTO's,
of a joint website Municipalities
Activity 4.3: LTO's,
Organization of tours Municipalities
for members of the
media in both
countries.
Activity 4.4: Joint LTO's
promotion of tourism
products at
international tourism
fairs

Year 2 ( where applicable)
Month Semester 3 Semester 4
Activity 1 2 3 4 5 6 7 8 9 10 11 12 Implementing body
Activity set 1:
Infrastructure and
related capacities;
Activity 1.1: Municipality of
Renovation of Tourist Prijepolje, LTO
Information Centre in Prijepolje
Prijepolje
Improvement of Municipalities
mountain trails,
implement GIS
Procurement and Municipalities
placement of tourist
signage
Procurement of Municipalities
computer equipment
for LTO's
Activity set 2: HRD
and network
development;

Page 26 of 98

Grant application form srb-mne stec project

Grant application form srb-mne stec project

Recommended

Recommended

More Related Content

Similar to Grant application form srb-mne stec project

Similar to Grant application form srb-mne stec project (20)

More from Karzen & Karzen d.o.o.

More from Karzen & Karzen d.o.o. (7)

Recently uploaded

Recently uploaded (20)

Grant application form srb-mne stec project