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IFAD (2014) Small-Scale Producers in the Development of Cocoa Value Chain Partnerships

  • During the period 2002-2012, in an effort to increase the number of partnerships involving the private sector to  benefit smallholder farmers, IFAD financed 16 projects with components on cocoa value-chain development in 12 countries : the Dominican Republic, Ecuador, Honduras, Indonesia, Liberia, Madagascar, Nicaragua, Papua New Guinea, Sao Tome and Principe, Sierra Leone, Solomon Islands and Viet Nam.
  • In Central Sulawesi, Indonesia, the Mars Sustainable Cocoa Initiative, in partnership with the Indonesian  government and IFAD, is investing in research, education and cocoa certification. IFAD is supporting cocoa value-chain development in Indonesia with an investment of around US$10 million.
  • With IFAD support, small-scale producers were able to overcome the constraints related to a lack of access to
  • inputs, equipment and rural finance. In addition, training strengthened the skills of smallholder farmers to allow them to better engage with other chain stakeholders and be more market- compliant, as well as to improve
  • their farming practices, such as the pruning of cocoa trees and the controlling of shade, and their post- harvest activities, such as the storing of crops and accessing of markets.
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