USAID partners with ofi to yield greater opportunities for coffee farmers

A joint investment of US$8.1 million will fund extension services, infrastructure, certification, and training, designed to improve yields, quality, and access to premium markets for 1,000 smallholder farmers over a five-year period.

Peru is known as the largest exporter of organic coffee, but growth is largely uneven across the country. Despite being the principal crop for smallholder farmers in Junín, there is inadequate access to inputs and a lack of technical and managerial capacity, which pose significant production constraints.

With combined resources, the partnership aims to develop more inclusive value chains that generate opportunities for 1,000 farmers and their families in the Junín region. These include:

• Increased productivity from training on sustainable and organic farming, GAP (Good Agricultural Practices), and quality testing
• Improved profitability from training on bookkeeping and better farm management
• Access to quality and differentiated markets with post-harvest processing workshops and equipment, including solar dryers, composters, and wet mills 
• Improved health and well-being with medical screenings and nutrition education to reduce malnutrition rates and anemia in young children and pregnant women.

Some of this work is already underway, with the installation of wastewater treatment systems on 250 farms, distribution of 150 solar dryers, and farm financial assessments conducted with 100 coffee producers.

“In the context of the ongoing climate uncertainty and the pandemic, a traditional crop like coffee now has an even more important role to play in uplifting Peru’s producers,” said Prashant Jalan, Sr. Vice President Coffee at ofi.

"ofi already works with more than 10,000 coffee smallholders in Peru through sustainability programs. This partnership with USAID allows us to upskill more farmers to produce higher quality beans that will qualify for specialty markets, where prices are higher and more stable. We rely on structured collaboration to scale up our impact and for roasters and other customers, it offers an opportunity to engage with partners on the ground to help drive their own sustainability agendas.”

Jene Thomas, USAID Peru Mission Director added “This partnership with ofi will improve extension services and access to digital technologies for 1,000 Peruvian coffee farmers. It will help smallholder farmers transition from conventional production to organic production, increase productivity, and improve product quality. By helping these farmers qualify for organic and sustainable certifications to facilitate their entry into premium markets, the partnership will enable them to remain competitive despite international price volatility, thus increasing their incomes and motivating them to continue to pursue licit livelihoods."

Discover much more about what ofi has to offer at ofi.com