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March 13, 2008

SENA and ACDI/VOCA Sign Agreement to Support Coffee Growers


Bogotá, Colombia, March 13—Under an agreement signed today by SENA and ACDI/VOCA, $2 million will support the adoption of good agricultural practices by 1,500 coffee producers so they can better access lucrative international markets.


Good agricultural practices will result in differentiated high-quality coffee that will earn growers higher returns, protect the environment and promote coffee industry sustainability. The agreement will also inform producers of the requirements, costs and benefits of various coffee certifications and promote the traceability of coffee to its source.


Under the agreement SENA, a national service organization of the Colombian government, will contribute a million dollars from its promotion of technological development and innovation account. ACDI/VOCA will contribute five hundred thousand dollars of U.S. Agency for International Development funds under its USAID-sponsored Coffee Alliances for the Expansion of Specialty Coffees (CAFES) program, and will secure an additional five hundred thousand from assorted public and private entities.


The agreement was signed in the offices of SENA by Julia Gutiérrez de Piñeres, SENA's director of promotion and cooperative relations, and Carl H. Leonard, president and CEO of ACDI/VOCA.


The goal of the agreement is to produce high-quality coffee through progressive improvements to the physical characteristics of the crop, monitored by routine cupping (critical tasting under controlled conditions). SENA, utilizing its formidable national and international capacity-building network, will train cupping experts who will in turn train others to build widespread powers of discernment throughout the coffee-growing areas.


The agreement will

  • organize producers into effective groups
  • transfer improved technology to 1,500 producers
  • increase production 10 percent
  • achieve 10 percent improvement in quality
  • reduce post-harvest losses 5 percent
  • reduce production costs 3 percent
  • generate employment and income
  • certify 300 producers in good practices

ACDI/VOCA Chief of Party Luis Alberto Cuellar said, "Fortunately, high-quality coffee is obtained by the application of agricultural practices that are both kind to the environment and dignifying to the producer. The result is a differentiated product for which the customer is willing to pay a premium. The ideal transaction is based on a relationship of trust between buyer and the seller, underpinned by assurances that proper practices were followed."


The globalization of the coffee market, and in particular new trade agreements with the United States, Europe and Asia, make it vital that foods and beverages be differentiated, traceable to their points of origin and certified as being safely and sustainably produced.


In addition, consumers come to recognize and value a good quality coffee based not only on attributes deriving from climate, soil and variety but also the careful production and processing of the beans. As Cuellar says, "The taste characteristics influence the consumer to continue buying a given coffee, and the assurances of safety and sustainability help seal the deal."


ACDI/VOCA is a private, nonprofit economic development organization based in Washington, D.C. with 45 years of experience in agribusiness, enterprise development, financial services and community development. Under the CAFES project, ACDI/VOCA is developing networks of Colombian and international partners and collaborators and is leveraging resources from public-private partnerships to strengthen the specialty coffee value chain, increase smallholders' incomes and provide tools for the sector to become more competitive in the international market. ACDI/VOCA has also worked in coffee development in Rwanda and Ethiopia.


To learn more about ACDI/VOCA's Coffee Alliances for the Expansion of Specialty Coffees (CAFES) program, click here.


To learn more about ACDI/VOCA's work in coffee, click here.