FOR IMMEDIATE RELEASE
A press release for the local paper:
TANNA COFFEE’S GROWING SUCCESS
Brett Serwalt – U.S. Peace Corps
Technical Assistant – C.O.V.
1/11/2006
The amazing success of the Vanuatu coffee industry is riding high on the backs of the eager, and highly motivated Tanna farmers, and the combined efforts of several dedicated development agents. In 2006 the farmers have produced over 26 tons of dried, un-processed coffee - more than triple the 2005 production of only 7.6 tons. Local farmers have earned over 5,000,000 vatu which was paid in full at the time of sale. The processing factory at Lowkatai Village has slashed expenses and is operating at maximum efficiency. 73% of all coffee produced is of the highest internationally recognized grade – a remarkable number. The Coffee Organization of Vanuatu (COV), a charity that overseas the livlihood of the coffee industry, will end the year with positive financial results – it’s first ever! The positive effects of this and other local successes can be seen in the changing economy of Tanna as many small businesses of all kinds are expanding. The coffee farmers are excited about our new system and are forecasting a likely doubling of production for the 2007 harvest.
How do we explain such amazing success?
For perspective and transperancy it’s helpful to provide a very brief history:
Coffee has been harvested in Vanuatu for over a hundred years but in only relatively small quantities. After independence in 1980 a concerted effort was launched by the Commonwealth Development Corporation (CDC) to develop the coffee industry. Production peaked in 1992 at 62 tons, but shortly thereafter the CDC collapsed and the assets were later sold to a private company. A combination of mismanagement and limited financial resources drove the company, along with the coffee industry, into a steep decline. Farmers became discouraged and quality plunged. By 2002 Vanuatu’s coffee industry was virtually moribund producing only 9 tons and in terminal decline. 2004’s Cyclone Ivy only hastened the decline and further discouraged the farmers.
The private successor to the CDC was re-organized as the Tanna Coffee Development Company (TCDC) which partnered with the Department of Agriculture and Rural Development (DARD), the Producers Organization Project (POPACA), and later, the U.S. Peace Corps, to act quickly to resurrect the ailing Vanuatu coffee industry. POPACA aims at improving smallholders cash incomes through associative production and marketing activities, providing infrastructure and managerial oversight. Peace Corps utilizes volunteers working at the grassroots level training and motivating, providing technical assistance, and cultivating a sharing of culture and understanding.
In 2002 DARD/POPACA took over all operations of the Lowkatai factory, while TCDC focused on the privately owned roasting facilities located on Efate. A revolving credit fund was established to ensure prompt cash payments to all farmers. Training programs were launched to improve overall quality and assist in the collection of raw coffee cherries. At this time the farmers were paid 25vt per kilo for coffee cherries. The factory did all the processing and sold dried green beans, under exclusive long-term contract, to TCDC.
The results from these actions saw an immediate reversal as the once declining industry jumped to over 13 tons in 2003, quality greatly improved, and farmer motivation was enhanced. At the end of the 2003 harvest, and under the guidance of the DARD/POPACA management team, the charitable COV was formed as an umbrella body representing all stakeholders. The goal of the COV was to establish a sustainable non-profit NGO which would undertake the commercial activities of the DARD/POPACA development program. The COV would oversea the buying, processing, marketing, and management, while also providing assistance and support to the development of a viable coffee industry.
POPACA provided tremendous support to the COV in the distribution of 150,000 seedlings, construction of a hot air dryer, distribution of essential processing equipment such as wheelbarrows and water tanks, as well as a continuation of the revolving credit fund which enables direct cash payments to the farmers at the time of sale.
In 2004 a field survey conducted and analysed by Peace Corps and DARD provided much needed practical data about the status of coffee in Tanna. The results of the report provided the data needed to restructure the entire project in new and exciting ways. The opportunity was to give the farmers themselves as much power and control as possible, and in return they would earn a much higher return on their investment. Knowing exactly where the coffee farms were located allowed DARD/POPACA to build over 25 pulping stations strategically located to minimize farmer travel. Knowing the status of the coffee plots created an opportunity for targeted training sessions. The combination of the pulping stations and field training allowed the project to make the key strategic move of shifting the first four steps of coffee processing (pulping, cleaning, fermenting, and drying) from the factory to the farmers. Decentralizing the work allowed the factory to greatly reduce it’s labor expenses from a full-time team of contract workers to just a handful of “as-needed” labor. The farming communities took ownership of the pulping stations and gained a trememdous amount of control over how and when they harvest and process their coffee. When they bring the dried coffee to the factory they now are paid 200vt per kilo – a much more motivating price than the 25vt for coffee cherries.
Even though production in 2004 and 2005 was disappointing (mainly the results of Cyclone Ivy) the outstanding production in 2006 has validated the efforts of every person working on the project. Renewed energies are focused on the anticipated doubling of tonnage in 2007, and have encouraged an expansion of the project from Aneitum in the south to Efate in the north. Indeed, these two islands have planted out thousands of new trees, pulping stations have been established, and plans have been made to develop additional nurseries to continue the expansion on these islands.
While Tanna Coffee in Efate works hard to distribute Vanuatu’s coffee overseas with an eye towards establishing Tanna Coffee as a reputable world-class brand, the development agents continue to be committed to the future success of the project. POPACA has extended it’s contract and funding commitments until the end of 2007 and will possibly hand over it’s responsibilities to a new European Union project at that time. The U.S. Peace Corps has begun it’s third year on the project and is committed to providing training, technical, and managerial assistance until at least the year 2010.
Brett Serwalt – U.S. Peace Corps
Technical Assistant – C.O.V.
1/11/2006
The amazing success of the Vanuatu coffee industry is riding high on the backs of the eager, and highly motivated Tanna farmers, and the combined efforts of several dedicated development agents. In 2006 the farmers have produced over 26 tons of dried, un-processed coffee - more than triple the 2005 production of only 7.6 tons. Local farmers have earned over 5,000,000 vatu which was paid in full at the time of sale. The processing factory at Lowkatai Village has slashed expenses and is operating at maximum efficiency. 73% of all coffee produced is of the highest internationally recognized grade – a remarkable number. The Coffee Organization of Vanuatu (COV), a charity that overseas the livlihood of the coffee industry, will end the year with positive financial results – it’s first ever! The positive effects of this and other local successes can be seen in the changing economy of Tanna as many small businesses of all kinds are expanding. The coffee farmers are excited about our new system and are forecasting a likely doubling of production for the 2007 harvest.
How do we explain such amazing success?
For perspective and transperancy it’s helpful to provide a very brief history:
Coffee has been harvested in Vanuatu for over a hundred years but in only relatively small quantities. After independence in 1980 a concerted effort was launched by the Commonwealth Development Corporation (CDC) to develop the coffee industry. Production peaked in 1992 at 62 tons, but shortly thereafter the CDC collapsed and the assets were later sold to a private company. A combination of mismanagement and limited financial resources drove the company, along with the coffee industry, into a steep decline. Farmers became discouraged and quality plunged. By 2002 Vanuatu’s coffee industry was virtually moribund producing only 9 tons and in terminal decline. 2004’s Cyclone Ivy only hastened the decline and further discouraged the farmers.
The private successor to the CDC was re-organized as the Tanna Coffee Development Company (TCDC) which partnered with the Department of Agriculture and Rural Development (DARD), the Producers Organization Project (POPACA), and later, the U.S. Peace Corps, to act quickly to resurrect the ailing Vanuatu coffee industry. POPACA aims at improving smallholders cash incomes through associative production and marketing activities, providing infrastructure and managerial oversight. Peace Corps utilizes volunteers working at the grassroots level training and motivating, providing technical assistance, and cultivating a sharing of culture and understanding.
In 2002 DARD/POPACA took over all operations of the Lowkatai factory, while TCDC focused on the privately owned roasting facilities located on Efate. A revolving credit fund was established to ensure prompt cash payments to all farmers. Training programs were launched to improve overall quality and assist in the collection of raw coffee cherries. At this time the farmers were paid 25vt per kilo for coffee cherries. The factory did all the processing and sold dried green beans, under exclusive long-term contract, to TCDC.
The results from these actions saw an immediate reversal as the once declining industry jumped to over 13 tons in 2003, quality greatly improved, and farmer motivation was enhanced. At the end of the 2003 harvest, and under the guidance of the DARD/POPACA management team, the charitable COV was formed as an umbrella body representing all stakeholders. The goal of the COV was to establish a sustainable non-profit NGO which would undertake the commercial activities of the DARD/POPACA development program. The COV would oversea the buying, processing, marketing, and management, while also providing assistance and support to the development of a viable coffee industry.
POPACA provided tremendous support to the COV in the distribution of 150,000 seedlings, construction of a hot air dryer, distribution of essential processing equipment such as wheelbarrows and water tanks, as well as a continuation of the revolving credit fund which enables direct cash payments to the farmers at the time of sale.
In 2004 a field survey conducted and analysed by Peace Corps and DARD provided much needed practical data about the status of coffee in Tanna. The results of the report provided the data needed to restructure the entire project in new and exciting ways. The opportunity was to give the farmers themselves as much power and control as possible, and in return they would earn a much higher return on their investment. Knowing exactly where the coffee farms were located allowed DARD/POPACA to build over 25 pulping stations strategically located to minimize farmer travel. Knowing the status of the coffee plots created an opportunity for targeted training sessions. The combination of the pulping stations and field training allowed the project to make the key strategic move of shifting the first four steps of coffee processing (pulping, cleaning, fermenting, and drying) from the factory to the farmers. Decentralizing the work allowed the factory to greatly reduce it’s labor expenses from a full-time team of contract workers to just a handful of “as-needed” labor. The farming communities took ownership of the pulping stations and gained a trememdous amount of control over how and when they harvest and process their coffee. When they bring the dried coffee to the factory they now are paid 200vt per kilo – a much more motivating price than the 25vt for coffee cherries.
Even though production in 2004 and 2005 was disappointing (mainly the results of Cyclone Ivy) the outstanding production in 2006 has validated the efforts of every person working on the project. Renewed energies are focused on the anticipated doubling of tonnage in 2007, and have encouraged an expansion of the project from Aneitum in the south to Efate in the north. Indeed, these two islands have planted out thousands of new trees, pulping stations have been established, and plans have been made to develop additional nurseries to continue the expansion on these islands.
While Tanna Coffee in Efate works hard to distribute Vanuatu’s coffee overseas with an eye towards establishing Tanna Coffee as a reputable world-class brand, the development agents continue to be committed to the future success of the project. POPACA has extended it’s contract and funding commitments until the end of 2007 and will possibly hand over it’s responsibilities to a new European Union project at that time. The U.S. Peace Corps has begun it’s third year on the project and is committed to providing training, technical, and managerial assistance until at least the year 2010.
1 comment:
Impressive!!! And a lot of hard work by all involved. Congrats on the great increase in production. Jeff must be proud.
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