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Riding astride coffee yield and quality in Nicaragua

Riding astride coffee yield and quality in Nicaragua

René Mendoza, Javier López, Ivania Rivera and Warren Armstrong[1]

Good coffee

“Do you know why I invited you to this coffee shop?, a European buyer, who is also a grade Q coffee-cupper, asked me. “Because they told me that they serve quality coffee here”, he responded to his own question. With that the waiter came up, and he asked for an expresso – coffee with more flavor and texture. When we were served, he took the first sip and made a face, “this is garbage.” Why? I asked. “There is no coffee shop in this country with good coffee, and we are in a coffee growing country!” His words shook the floor under me, and I came back at him, “you buy coffee throughout Latin America, where have you tasted good coffee?” Taking another sip of coffee, he said, “In Colombia, in Bogotá, even in the poorest coffee shop you find good coffee.” “Well… we are a coffee growing country, but the culture of coffee shops is new,” I said to him, “like looking for a needle in a haystack.” Looking at me with a certain amount of compassion, he said, “That explains it, but it does not justify it.”

(Based on a conversation between René Mendoza and a coffee buyer in 2019)

Coffee quality is expressed through its aroma, fragrance and flavor, the fact that its beans are healthy and clean, that they are dried well, grew on good soil, and in the company of other crops…Behind these attributes and actions are dozens of human hands in several phases and moments. That quality is relatively stable over time, as the French proverb says, “Price is forgotten, quality remains.” Prices can be like milk when it is boiling, they go up and down, while quality is more stable. What is happening with coffee quality in Nicaragua? The cupper-buyer in the story gives us a troubling indication: it could be that we do not have a good taste for coffee, and even so produce good export beans. Maybe.

Responding to the question, in this article we describe the situation of coffee yield and quality, we explain reasons why, we propose a path for improvement, and in the end provide conclusions that summarize the findings and leave the reader with the approach that should guide us. Even though the story about “good coffee” refers to national markets, and specifically to that of coffee shops, in this article we work more on coffee exports, whose quality is also connected to the quality of the coffee offered in the coffee shops of the country. We do this in good measure from the experience of Aldea Global, an association that sells more than 150,000 qq of coffee a year, and from the space of the dry mill where we want to look at the coffee chain, including its production and commercialization.

1.    Coffee Yield and Quality

The prices of goods and products in markets frequently vary, as do interest rates on money; in contrast, the productivity and quality of an agricultural or non-agricultural product are less unstable, change more slowly. In the last 40 years the productivity of several crops has been maintained with minimal variation: for example, coffee, the crop that this article addresses, varied from 9.23 to 12 qq export coffee per manzana[2] over a 50-year period!

Prices for coffee vary every day in New York (international point of reference) and in local markets; while the demand for quality coffee is increasing in international markets. In the 1990s there were few brands, among which fair-trade brand stood out. In contrast, in the current millennium there are dozens of brands  (rainforest, bird friendly, utz, 4C, Nespresso AAA, café practices, etc) and denominations of origin or geographic indication (Juan Valdez, Colombia; Marcala, Honduras; Blue Mountain, Jamaica; Volcán de Oro, Guatemala; Tarrazú, Costa Ríca) which illustrates the growing world demand for a quality product. Nevertheless, precisely when the demand for quality coffee is increasing, the yield and score that measures the quality of coffee in Nicaragua is dropping: see Graphs 1 and 2[3]. The yield we refer to is the quantity of pounds of parchment coffee (with 50 % of humidity) that are needed to get 100 lbs of export quality coffee (with between 10-12 % of humidity) – subtracting  a number of pounds of imperfect coffee (broken, black, severe insect damaged, withered beans). The quality score, for its part, measures fragrancy, aroma, taste, acidity, body, uniformity and sweetness of the coffee. This is expressed by cupping points: from 70-80 is “common or commercial coffee”, 80-83 are “specialty coffees”, 84-89 “regional exemplary plus +”, 90-95 is “Exemplary coffees” and 95 and above are “unique coffees”[4].

Graph 1 shows us that to get 100 lbs of export coffee in the middle of the 1990s 215 lbs of parchment coffee was needed, then 3 more pounds, and since 2010 it shot up requiring 232 lbs by 2020. In that same period the rate of imperfect coffee has increased from less than 5lbs/qq in the 1990s (and export quality coffee of 96-98%) to more than 10 lbs/qq in 2020 (and export quality coffee of 85-90%). The same thing is happening with coffee producer families, in the 1990s with 18 to 19 buckets of raw cherry coffee they were able to get a load of coffee (200 lbs of parchment coffee), and in 2020 that load required more than 22 buckets of raw cherry coffee, “My coffee weighs less and less” observe the small producers.

Graph 2 shows us that coffee quality, after jumping between 1990-2000 from 80 to 84 (range of “regional exemplary plus+”), thanks to the differentiating actions of cooperatives within the fair trade framework (Mendoza et al, 2012; Mendoza, 2012[5]), has been systematically dropping, finding ourselves now in “specialty coffees” with scores of 82, 81 and 80. Organizations that are looking for quality coffee are going find it with difficulty: a score of 84 you will find in no more than 15% of total coffee, the rest is “commercial coffee” with scores below 82.

 

Table 1. Evolution of coffee production, Central American countries (in 1,000 sacks of 60 kg)
1990/91 1999/00 2009/10 2018/19
Honduras 1568 2985 3603 7328
Nicaragua 461 1554 1871 2510
Guatemala 3271 5120 3835 4007
Costa Rica 2562 2485 1477 1427
El Salvador 2465 2598 1075 761
Panama 215 166 138 130
Source: http://www.ico.org/historical/1990%20onwards/PDF/1a-total-production.pdf

So while markets are increasing their demand for quality coffee, because the societies´ tastes are improving and differentiating, and countries like Colombia; and Costa Rica are out ahead responding to these international and national demands, and Honduras is taking huge steps in production volume, quality, organization and branding[6], Nicaragua is being overlooking and is losing terrain (See Table 1 that compares the production volume among Central American countries from 1990/1 to 2018/9: Costa Rica, El Salvador and Panama are going down; Guatemala is maintaining their levels; Nicaragua is growing and Honduras is unstoppable). Even though we are paying attention to volume, let us focus on our question: What is causing this systematic drop in coffee yield and quality in Nicaragua?

2.    Elements that are affecting this quality and yield

These healthy or broken beans, with good favor or undrinkable, are determined by human actions in the space of farms, wet mills (pulper, washing and drying) and dry mills (drying, hulling reprocessing and selection). After looking at Graphs 1 and 2, what are their causes? The three responses commonly heard are: there is a scarcity of labor, and therefore the coffee ferments on the plant itself; that producer organizations increasingly are buying poor quality coffee from intermediaries and non-members, which is why their own members become disillusioned with their organizations, and have quit producing quality coffee; and that the State, in contrast to Colombia, Costa Rica and Honduras, is not investing in coffee growing, nor in positioning the country internationally.

These three responses have some basis. In this section we will focus on two elements of the context, climate change and lack of liquidity/resources, and within this framework, coffee growing culture and the dry milling process.

2.1  Climate variability

Climate variation, combined with farm neglect, affect coffee quality and yields. We provide three elements that illustrate this fact. The first, in 2012 this combination of factors contributed to the fact that coffee rust and anthracnose wiped out a good part of the coffee (Mendoza, 2013[7]; Brenes et al, 2016), particularly the varieties of caturra, maragogipe and bourbon –varieties of the arabica species. Caturra constituted more than 60% of the coffee in the country, considered to be a high- quality variety[8]. As a consequence, caturra coffee plants were replaced by catimor plants; catimor is more resistant to rust, has the potential for producing larger volumes, but has a modest contribution to coffee quality. Catimor today represents more than 60% of the total coffee in the country.

The second element, mold and coffee with phenol. One hears more frequently that coffee has “severe mold” and even “phenol”. The mold is from over fermentation, be that on the plant itself, or because the pulped and washed coffee was not immediately dried, which in turn is due to rain, heat, or lack of coffee pickers. The phenol is the change in the chemical composition within the bean as an effect of drought and heat in the coffee plants, as well as the storage of wet coffee; coffee in humid environments gets dampened, generating fungi that produce the taste of mold and phenol. Generally, when cupped these coffees are classified as “undrinkable”.

Finally, withered beans, beans that even though red, have a ripe side and another speckled side; small beans also are an effect of climate change. In the last 3 cycles coffee has been observed that had a good appearance, but had small hair or fuzz that was left on the bean, which is due to lack of water. These types of affected beans are on the increase, made worse in the 2019/20 cycle due to the fact that during 2019 there were droughts of up to 30º C, and very hot early mornings, which caused uneven and misshapen maturation. If between September and October it either rained a lot, or it did not rain at all, that affected the ripening of the coffee, which, no matter how good a job is done in the wet mill, will result in insect damaged and spoiled beans. All this has affected the coffee yield and quality. Table 2 summarizes the physical defects of the beans and their possible causes

 

Table 2. Coffee defects and their causes
Physical defects of coffee Causes
Climate change Beans with brown or black coloring Lack of water during the development of the fruit
Misshapen and wrinkled beans Poor development of the plant due to drought or lack of nutrients
Beans with small and dark perforations Attack by insects (coffee berry borer or weevil)
Scarcity of resources Yellow colored bean Problem of soil nutrients
Management of farm and wet mill Shell bean Over ripened raw cherries picked up from ground
Broken/chipped/cut bean Poorly calibrated pulper
Withered bean Prolonged fermentation

 

Beans with changes in its normal coloration Prolonged storage and poor storage conditions
Beans with intense yellow caramel or reddish coloring Delay between picking and pulping
Silverskin, can tend toward reddish brown coloring Dirty fermentation tank, use of contaminated water, overheating, storage of wet coffee.
Management of dry milling Flat bean with partial fractures Coffee walked on during drying process; hulling of wet coffee
Bean with white veins Dampened after being dried
Source: based on Federacafe – Comunidad Madrid, http://cafe-noticias.over-blog.com/article-36108278.html

2.2  The “suffocating embrace” of prices

Added to this adverse environment is the so called “suffocating embrace”, which is a harmful embrace that is asphyxiating the peasantry. With the “left arm”, coffee prices go up and down, like milk when boiled, but seen over a 100 year period producer prices are decreasing in terms of the final value of coffee (Mendoza y Bastiaensen, 2003; Mendoza 2013[9]); and with the “right arm”, the prices of farm inputs are systematically rising. So, this “big embrace”, the price of coffee dropping and the prices of inputs and capital rising, is suffocating producer families. If costs of production surpass $100/quintal, and the price of coffee drop to close or equal to $100, it is difficult for coffee to receive its 3 fertilizations, 2 moments for shade management, weeding and 4 leaf sprays a year. If the application of inputs drops, that not only affects the volume of coffee, but also increases the rate of imperfect beans, and lowers the cupping score – for example, it is difficult for a bean with little fertilization to ripen properly. In addition, the catimor variety, that has more potential in terms of production volume, also is more demanding in terms of fertilizers – what has a greater yield, eats and drinks more.

This “embrace” was more suffocating in the last two years (2018 and 2019). In the 2018/19 cycle coffee prices dropped to $98 in September 2018, and to $100 in December 2018, while prices for agro-chemicals rose by 30%, as a result of the new tax policy in the country starting February 28, 2019[10]. In addition, due to the political crisis of the country, financial institutions (formal banks and micro-finance organizations) decided not to provide credit, except for Aldea Global, that instead expanded their rural credit portfolio and geographic coverage; due to that same crisis, international coffee buyers signed fewer purchase contracts, contracts that tend to allow cooperatives to get loans from the social banking sector. In other words, producer families did not have resources, which is why they applied little or no chemical or organic inputs. The effects of this are expressed now in the 2019/20 cycle in higher rates of imperfections and lower coffee quality.

Organizations are also experiencing another type of “embrace”. With the “left arm” they feel international pressure for better coffee quality, and with the “right arm” the parchment coffee (APO) that they receive from the producers is of lower quality. Between 1996 and 2010 it was just the reverse, the demand for quality coffee was less, and the producer families were providing better quality coffee, which is why it was relatively simple to sell large volumes of coffee. They were the times when the international perception of the quality of coffee in Nicaragua was good; that perception changed over the last 8 years, the coffee quality of the country is in question, correspondingly buyers are diverting their paths to other countries.

2.3  Coffee management on the farm

Even though climate change and the scarcity of resources through the “suffocating embrace” are having an impact on coffee yield and quality, coffee growing families also are experiencing structural changes within themselves. Producer families who established their coffee farms and other crops starting in 1990, after the “big war”, are getting beyond 60 years of age, which is why part of their offspring are taking on farms now divided up through inheritance.

This transition from one generation to another is facing challenges. First, farming is less diversified, it is more specialized in coffee or cattle or vegetables. This means that, in the case of coffee, families receive income practically only once a year. Secondly, a good number of the generation that are taking over farms now, inherited that culture of “coffee growers”, with the difference that now they only have 2 or 4 manzanas of coffee, and many times those manzanas are affected by rust and anthracnose. Third, with the end to the agricultural frontier, crop rotation with uncultivated areas is reduced, and with that, land has lost fertility (“it is tired”); the low application of inputs is only able to maintain production volumes, which is why the farm is less profitable for them. Fourth, the work culture “from sunup to sundown” of the older generations has ended, the new generation that grew up under the belief that “a pencil weighs less than a machete” mostly works only in the morning; and many times, erroneously interpreting what it means to be “coffee growers”, only want to “be in charge”. With only 2 mzs of coffee!

Consequently, that generation in transition that feels itself to be “coffee growers”, lack income in the months from March to October, in a context of climate changes and under the “big embrace”, have not been careful with their farms: i.e. take care to regulate their pulpers, not pulp too early nor wash too late, but respect the fact that coffee needs 12 hours of fermentation, calibrate the pulper depending on the coffee variety, being watchful over the drying…In a parallel fashion, the communities where they live seem to have lost that social warmth that encouraged them to cooperate, now they have less or nothing in their gardens (“my Mom´s green thumb”), and nearly work only on coffee, so have less reasons to exchange…The absence of that social cushion seems to put a damper on their economic life.

2.4  Coffee management in the dry mill

The dry mills receive the coffee that is the fruit of the effort of those producer families who find themselves economically, socially and environmentally asphyxiated. That is why this coffee comes in the form of shell beans, broken beans, with strident flavors, insect damaged, moldy, or healthy, clean beans with acidity and great flavor and aroma…In the dry mill they can take some actions to improve that coffee, even though their possibilities for maneuvering are reduced.

They cannot reduce the imperfection rate, they measure it, and can reprocess the coffee to achieve a certain level of quality, and with a certain number of defects that the markets demand. Likewise with the mold, even severe mold can be removed in drying with the sun; in the case that they are not able to get rid of that mold, they separate that coffee so that it does not affect the rest of the coffee, and sell it separately.  They can manage it in micro-lots and have more control over its defects, mix varieties and improve something of its quality; but nothing more. They can also keep the yield from dropping too much, if they avoid trails of coffee on broken plastic or loss of beans from moving coffee from one place to another.

They can do that, if the dry mill is managed honestly, transparently and with access to the right technology. It is common to hear workers of the dry mills say that “they switched out the coffee” of such and such cooperative, or such and such members, that “the coffee got mold in the truck because there was no patio space to unload it”; or hear managers say that “they reprocessed it twice” without the owners of the coffee being present to know if they really did “reprocess it”, and whether they did it because it was necessary, or only to earn $2 or 3 per quintal, or that the “yield was 235 lbs for 100lbs” without there being proof of the weight, and control over the movement of the coffee in the reception area to the patio, to the warehouse, to the huller, to the sack…In many cases, those rumors are unfounded, but as the saying goes, “where there is smoke there is fire.”

Also from an external perspective, it is heard that buyers are looking for scores of 84, and in the dry mill, on not finding coffee from anywhere with that score, and on not being able to improve coffee quality based on re-processing the coffee with less than 5 defects, “they send coffee with a score of 82 saying that it is 84”. This might work once, in the short term, but in the medium and long term these practices of deceit undermine good relationships with buyers.

Even when the dry mill is managed honestly and transparently, they can incur in deficient management and neglect the importance of being committed to coffee quality. They could order containers of coffee with 11 defects, and that in the end they are prepared with 10 defects. It could be that a lot of coffee is classified as second quality, because it has fermented beans or some other damage, but that it is recoverable as first quality coffee with timely cupping, preparing the coffee with a smaller number of defects and working on it with different preparations. These errors can be due to the fact that there was a change in personnel, and this new staff did not have enough training and coordination to be watchful over the coffee drying; or it could be due to inefficient organization, top-down with office managers, which limits the responsibility of each person and makes them dependent on doing work that only is directed from above. A form of vertical organization that takes agency away from the people doing the work digs its own grave. If dry mills only bet on volume, not quality, they mix coffee indiscriminately, not guided by the cupping scores, even worse if the container to be sold is commercial grade 79, 80 and 81. They even store coffee with different weights, without controlling the coffee yield [resulting from the milling process]

The management in the dry mills also has to do with technology. The drying is done by the sun and hundreds of people, mostly women, under an unforgiving sun. Given that workers´ pay is low, we assume that they are not thinking about coffee quality, but about that sun and the time when the day will end. The consequence of that type of drying is that the beans end up uneven and over-dried. Also, most of the dry mills work with old processing equipment (huller, densimeters, vibrating bean separators, elevators, mechanical driers and electronic bean selectors), or new equipment from cheap brands, instead of the latest generation in quality and technology.

Concluding this section, the causes of coffee yield and quality are found throughout the chain, from the farm to its roasting. A family can pick just the red beans, and even so lose  quality for not drying it quickly enough, or because of lack of space in the dry mill, it is left wet for two days. Several actors can make the effort to achieve good coffee, but the increase in temperature and drought can affect the coffee plants. You can have quality coffee, and even so damage it when the appropriate technology is missing – the latest generation. The quality is changed, not from one month to another, but in terms of years and decades. Coffee, and farming itself, is a long- term art, and involves several hands and minds.

3.    Governing coffee

In the years between 1990 to 2000, it was the cooperatives who took on the leadership in improving coffee quality in the country; they did it in a context of relative peace, slight impact of climate change, and more than anything inspired by the fair trade movement. Today the context is different, climate change has worsened, the generational transition has not found its way and the fair trade movement lost strength and became bureaucratized[11], even so, cooperatives and associations can promote the improvement of coffee quality again. How? Figure 1 shows the importance of combining a coffee farming culture with an alliance for a quality cup and principles of well-being, and processing that adds value. These three mechanisms, mediated through coordination in learning, can make a difference. These are not proposals that are pulled from the sleeve of some magician, nor just the result of data analysis and literature, they come from observing and experiencing in the field this combination that the figure expresses as the pathway.

The first pillar, differentiating action on the part of producer families. That they renovate and repopulate their coffee fields, and scale up in their treatment of coffee processing. They can recover varieties of arabica coffee with high quality potential, and grow them under agro-forestry systems, adapting their management in accordance with their variety[12]. A problem with catimor, for example, is when the producer gives it the same treatment that he gives a native variety; catimor should be picked when it is red (not speckled nor green), providing it more fermentation time than the caturra variety. To feed the soil (fertilize it), the chemical or organic input should be based on the formula resulting from the soil analysis. For the producer family to get those inputs, it must have in-kind credit under arrangements with input companies that lower their prices by volume purchasing, which is what Aldea Global does, and it works. They can experiment with coffee  processing (wet milling); for example, so as to not mix qualities in the pulping stage, they can have a water tank that serves as a separator of floater of green, empty or poorly formed beans; or manage the fermentation by coffee varieties.[13]. This requires a new culture of being coffee producers, who are motivated by a spirit of studying their realities (farms, families and communities), observing them, investigating new information, recording data, analyzing it, being guided by soil analyses and climate forecasts to manage their farms[14]; all this is more possible with the current generation, which has higher levels of formal education, and makes more use of the internet.

The second pillar, the construction of direct connections between buyers and groups of producer families, based on quality cupping scores and principles. In terms of quality, each producer turns in coffee individually, and the dry mill can manage it by group and lots, register the information and have the coffee cupped by farm, so that buyers are guided by the cupping score; a family receives payment/price based on the quality of their coffee. It is assumed that they will invest more to improve the quality of their coffee even more.

In terms of principles, Aldea Global has developed a procedure and mechanisms for providing incentives for good agricultural practices, which can inspire other organizations in the country. What does Aldea Global do? It provides awards for compliance with principles, like having an orderly farm, not using prohibited chemicals, paying laborers in compliance with the labor regulations in the country, management of honey waters, protection and conservation of nature, environmentally friendly practices, recycling containers. These awards depend on the score that each member achieves; producers with a score of 70% have access to “x” amount of award per quintal;  those that achieve 80% a bigger award, those with 90% an even bigger award, and those who achieve 100% get the “big” prize.

There can be producers who might receive a good price because of their cupping score, and not receive an award, if they get less than 70% in terms of their compliance with the principles. Even though it is more probable that a producer family with more than 70% compliance with principles would have coffee with a cupping score higher than 82. The logic is that complying with the principles is taking care of the farm and the well-being of the family, which is also going to be expressed in coffee quality and in good yields. Consequently, if buyers (national and international) and certifiers visit these producer families, and help them to establish themselves, they will be betting on the quality of family life, which leads to quality coffees in a sustainable and lasting manner.

The third pillar, the organization of the dry mill guided by values of honesty and transparency. To add value to coffee quality, the administration of the dry mill must have a counterweight in an autonomous board of directors with the capacity for supervision, and the owners of the coffee (members, cooperatives or organized groups) must have access to see the patios where their coffee is found, review their labels, be there at the moment of hulling, and review the data registry on the weight of the coffee at reception, on the patio, in the warehouse, before hulling and after hulling. With this three-way relationship of counterweights (administration, board members and owners of the coffee), the dry mill can manage micro-lots of coffee that come from different geographies of the country, and using different types of drying (natural, with honey and washed). This implies coordinating along the entire chain; for example, natural coffee implies picking only the red beans (none green or speckled), raw cherry coffee is transported that same day to the patio for drying, thus keeping the coffee from fermenting. The micro-lots of more than 50qq export coffee can be treated with differentiated qualities and respond to the demand of small roasters in the world. It also implies making use of appropriate technology (latest generation), like an industrial plant that treats coffee from its raw cherry state, thus preventing coffee from losing weight (2-3% in the fermentation and another 2-3% for the 12-13 days of drying) and conserving its quality.

These three elements of improvement are possible if a culture of learning is developed among the different actors around coffee. This is cultivating a spirit of investigating, observing, asking questions, recording information, taking notes, analyzing information and making use of the technology that todays world offers, including technology for massifying soil analyses, so that information flows to producers.  The producer family can manage catimor or maragogipe varieties if they learn how to do it in a differentiated way; coffee drying will add value if people know how their actions make a difference…Without awakening the worm of doubt that each one of us has inside us, any work will be boring, and any information will pass under our noses without us noticing; guided by questions and a procedure for organizing and analyzing information, every human person will be mobilized, taking on their task as a mission that is worthwhile carrying out.

4.    Conclusions

Failure is simply the opportunity to begin again, this time, more intelligently. Henry Ford

We began the article with the question about what is happening with coffee quality. That word quality is an aperture to agriculture and our society, it tells us on a small scale what is happening to us. And what is happening? Coffee yields and quality in the country are getting worse. What is the reason? Climate change, prices (of coffee and inputs), neglect of the farms and the not very transparent management of the dry mills, which are concentrated in few hands. The latter can be seen in light of the type of drying-hulling in countries like Guatemala and Colombia, where drying is done on the farms themselves and in grassroots organizations, without the drying and hulling being concentrated in few hands; or in countries like Costa Rica, where an industrial plant processes coffee from its raw cherry state to its hulling, with a positive effect on coffee quality.

In contrast to Colombia, Costa Rica and Honduras itself, Nicaragua has not had a State that invests in coffee growing with a long-term perspective. There has not existed an institute that studies each coffee variety, or that has laboratories for innovating varieties. The State does not regulate the weighing of coffee in commercial trading, and within the dry mills. There are no financial incentives nor human recognition for producing quality coffee. There is a need for a State that would work to position the brand of coffee of the country in the outside world, and that at the same time might work for the population to replace sugar with a good taste for coffee.

But at the same time Nicaragua has more than 30% of coffee producers organized into cooperatives and associations. Among those organizations is Aldea Global, which is committed to the use of technology and information, which it takes to the producers to manage their farms based on soil analysis and climate forecasts[15]. Also, Aldea Global is committed in the long term to improving coffee quality and yields based on technology that would help o control the temperature and humidity of the beans, and based on automated systems with sensors. These elements will guide the technical assistance provided to producer families and in the dry mills.

The fact that yields and quality are dropping is an opportunity, to paraphrase Henry Ford. Of course, Ford himself was surpassed by the Toyota industry, in spite of that, his phrase continues to have value[16], particularly seen as a society. How can coffee quality be improved “more intelligently”? Organizations (cooperatives, associations and businesses) must join efforts to organize a space for learning around coffee farms in association with other crops. Without investigation-learning, the different actors will be walking in the dark, and the producers, like oxen, will prefer their old yoke and sell coffee to traditional intermediaries, without concern about yields and quality, which means that in the long run the entire country will lose, including the producers themselves. A producer family can fill itself with passion, learn and seek their own vision, if organizations become democratic, transparent, efficient, and if together they organize information supported by technological and informational innovations, like big data and artificial intelligence (machine learning). This type of organization, like Aldea Global, having this learning infrastructure, would be able to accompany the entire coffee chain and other crops.

The old Fordist model continues guiding a good part of the coffee in Latin America, also expressed in its political structure of exclusion and inequality; so it is that we hear that “more volume, more earnings”, which lead us to coffee shops that the story at the beginning of the article talks about. Nicaragua can recover ground and position its quality coffee based on adopting a culture of learning, supported by information management and the latest generation technology. It could be that money might be a limiting factor in this, but like the history of so many innovations teach us, more important is the vision of transforming the countryside, pursuing product quality, pushed by families who are improving their lives. In this way we could hear that “the better the quality, the better our lives” which could include improving our own taste for quality coffee. It is not a matter of “adding money” and having coffee quality, it is a matter of “thinking more and running around less”, as they say in “tiki-taka soccer”.[17]

[1] Javier, Ivania and Warren are from Aldea Global (https://aglobal.org.ni/), president, vice manger and manager, respectively; René is a consultant to rural organizations and a collaborator of the Winds of Peace Foundation (https://peacewinds.org/). Even though most of the authors are from Aldea Global, we maintained objectivity in the analysis, and we added data and experiences of Aldea Global when they were needed.

[2] According to the 2017 Annual Statistics from the Central Bank of Nicaragua, the average coffee yield in 10 years between 2007 and 2017 was 11.97qq/mz; in the  2018 Annual report, a certain amount of improvement was noted between 2014/5 with 14.7qq/mz, and in the following two cycles 2015/16 and 2016/17 with 16.5qq/mz. We still do not have data for the last two cycles (2017/18 and 2018/19). For a study on the decade of the 1980s, see José L. Rocha, 2003, “Revolution in Nicaraguan Coffee Growing” in: Anuario de Estudios Centroamericanos. San José: Universidad de Costa Rica 29 (1-2).

[3] Both graphs are based on information from several coffee buyer organizations, and on data that we have followed since the 1990s, seer: R. Mendoza, 2003, La paradoja del café: el gran negocio mundial y la gran crisis campesina. Managua: Nitlapan-UCA; R. Mendoza, 2013, Gatekeeping and the struggle over development in the Nicaraguan Segovias, PhD thesis, University of Antwerp..

[4] The classification by scores is based on: Susana Gomez, “¿Cómo se determina la calidad del café?” en: QuéCafé, https://quecafe.info/como-se-determina-la-calidad-del-cafe/

[5] R. Mendoza, M.E. Gutiérrez, M. Preza and E. Fernández, 2012, “Las cooperativas de café de Nicaragua: ¿Disputando el capital del café a las grandes empresas?” en: Observatorio Social, Cuadernillo No. 13 El Salvador, http://www.observatoriosocial.com.ar/images/pdf_cuadernillos/cuader13.pdf; For English version see: https://peacewinds.org/wp-content/uploads/2020/02/Articulo-CAFENICA-Cooperativas-english.pdf ;  R. Mendoza, 2012, “Coffee with the Aroma of Coop” in: Revista Envío No. 372. Managua: UCA https://www.envio.org.ni/articulo/4558

[6] According to the International Coffee Organization (ICO), in 2018 Honduras was the seventh largest coffee producer and exporter in the world. In the last 10 years it has become the largest producer in Central America; in Latin America it is behind Brazil and Colombia. While the weight of coffee in farm production value dropped in Nicaragua, El Salvador, Costa Rica and Panama, in the case of Honduras it increased between 1980 and 2011 (G.C. Brenes, C. Soto, P. Ocampo, J. Rivera, A. Navarro, G.M. Guatemala y S. Villanueva, 2016, La situación y tendencias de la producción de café en América Latina y el Caribe. San José: IICA y CIATEJ).

[7] R. Mendoza, 2013, “Who is responsible for the Coffee Rust Plague and What can be done”, in: Envio 379, Managua: UCA, https://www.envio.org.ni/articulo/4664

[8] In terms of the effect of coffee rust and anthracnose in the region, Nicaragua was the country most affected; the neighboring country, Honduras was not much affected at all (See: Brenes et al, 2016).

[9] R. Mendoza y J. Bastiaensen, 2003, “Fair trade and the coffee crisis in the Nicaraguan Segovias. In: Small Enterprise Development, Vol. 14.2.

[10] If we add other costs to this, like labor, the situation is even more “asphyxiating.” Note that even though the price for a bucket of picked coffee is the lowest in Central America, the fact that a load of coffee (200 lbs of parchment coffee) that required 19 buckets prior to 2016, currently requires more than 22 buckets; this means that the producer families are paying for an additional 3 buckets, which increases the cost of production, which does not necessarily benefit the workers.

[11] Samanth Subramanian (2019, Is fair trade finished? The Guardian, https://www.theguardian.com/business/2019/jul/23/fairtrade-ethical-certification-supermarkets-sainsburys) analizes how Fair Trade (FLO), based on prices, is losing ground with the abandonment of the FLO seal on the part of large corporations, questioning whether fair trade is achieving what it promises, and preferring instead to organize their own seals and mechanisms to measure their social, economic and environmental impact. We have also warned from Central America about the involution of fair trade, see R. Mendoza, 2017, “Toward the Reinvention of Fair Trade, or “Hacia la re-invención del comercio justo”, en: Tricontinental, Bélgica, http://www.cetri.be/Hacia-la-re-invencion-del-comercio?lang=fr

[12] Aldea Global supports agro-forestry systems: 1,320 of its members are implementing it in 1500 mzs. There are also other organizations in the country that support these system; what is unique about Aldea Global is that they do it with the purposeof producer families improving their coffee quality.

[13] These experiments include testing the form of management common in Costa Rica, of receiving raw cherry coffee, and in a mechanized way, separating ripe beans from speckled and green ones, and then passing the uniform ripe beans directly from the pulper to the mechanical drier, eliminating fermentation. Ivan Petrich (2018, “Fermentación: Qué es & Cómo Mejora la Calidad del Café”, https://www.perfectdailygrind.com/2018/07/fermentacion-que-es-como-mejora-la-calidad-del-cafe/) explains the advantages of aerobic and anaerobic fermentation for coffee quality.

[14] For people of any age, but particularly young women and men, we have a guide to help them become students of their realities. See: René Mendoza, 2019, Jovenes y la oportunidad de construir puentes hacia el futuro. Una Guía para investigar e innovar. Managua: Nitlapan-UCA. It is also available at: www.coserpross.org . Aldea Global has information on more than 12 members with whom it works, information that anyone can access.

[15] Aldea Global is the only organization in Nicaragua that, starting in March 2020 will have their own first version of their app, to pilot providing personalized technical assistance by cell phone to 150 producers. The biggest challenge in this will not be providing that information, but using it. The app is a software progran that those 150 people will Access through their cell phones.

[16] A  2019 film “Ford vs Ferrari”, directed by James Mangold and written by Jez Butterworth, John-Henry Butterworth and Jason Keller, shows the change that Henry Ford II underwent in the competition with Ferrari. That precise moment of change: not just producing quantities of vehicles but winning competitions, illustrates the spirit we are seeking.

[17] Style of Barcelona where they pass between one another while opposing team wears itself out running after the ball, and when an opening appears, attack the goal.

Cultivating the golden bean: Volume and quality

Cultivating the golden bean: Volume and quality

René Mendoza, Fabiola Zeledón, Elix Meneces, Hulda and Eliseo Miranda[1]

Up until 2010 we buyers who were looking for quality coffee, we first would come to Nicaragua. After 2010 we no longer did, first we go to Costa Rica, then Honduras … (Coffee buyer).

In the 60s and 70s tons of people came to Nicaragua from El Salvador and Honduras looking for work, now we are the ones who go to those countries, looking for work. (Flavio Cardoza, producer).

In the dry coffee mills imperfect coffee reached double digits in this 2019/20 cycle: 10%…15%; black beans, faded, chipped, full black beans, insect damaged beans…The fungus moved from “slight” to “severe” and smelled like fish. On the farms of producer families instead of doing “three passes” (three passes of picking red and almost ripe coffee during the coffee season within 2 months), they saw themselves forced to do only two, and even only one pass, because of lack of pickers (labor), while they neglected to regulate their coffee pulper which resulted in those broken and chipped beans. What makes the coffee quality and its production drop? In this brief article we list 4 basic elements on coffee farms in Madriz, Nueva Segovia and Matagalpa, and at the end we offer some suggestions.

What affects coffee production and quality

The literature is full of technical reasons. We list what we observed in this 2019/20 cycle, and what producer families commonly say, based on their own observations, as well as the staff in the dry mill.

Figure 1 shows two scarce resources and two limiting structures, which have a high impact on coffee volume and quality.

A first element is the reduction in nutrients for the coffee plants. In the 2018/19 cycle, the prices for coffee were low. In September 2018 it dropped to $98, and in December 2018 it was at $100, while the prices for agrochemicals rose, as a result of the new tax policy in the country. Not only that, but the financial institutions implemented a policy of loan restructuring without providing new loans. In other words, producer families saw their resources dry up, which is why they applied little or no agrochemical or organic inputs. This had a repercussion on coffee quality, which was seen in the current 2019/20 cycle, precisely when prices went up, reaching $123 on December 16, 2019. Consequently, producer families thinking was “I am going to receive now  the same thousand córdobas as last year; this season money is tight, in spite of the fact that prices are better than in the last cycle.”

A second element refers to the scarcity of labor. Pickers are going to coffee fields in Costa Rica and Honduras. Their argument: “They pay us better there, in addition we pick more than we do here.” Isn´t it the same coffee? Yes and no. Most of the coffee of Costa Rica is sold as specialty coffee at better prices; while Honduras has passed Nicaragua in production volume. Both countries have greater productivity, even though in Honduras it is due more to increase in area. This means that the person who picks coffee on small farms in Nicaragua, picks less in a day because the farms have less production; in addition, the price paid “per lata”[2] is low, and varies between 30 to 50 córdobas, plus food, per lata. “It doesn´t work for us,” the pickers complain. Producer families argue that they would prefer to pay all in cash (without food), but the pickers want food, and many of them pick very little, and by midday are already out of the fields and asking for their 3 meals. This situation means pickers are scarce, the consequence of this is that the coffee is not picked on time, with a corresponding loss in volume and quality.

A third element is the mentality of believing themselves to be coffee growers in mono-cropping systems. The producer families who established their farms with coffee and other crops, starting in 1990, after the “big war”, are now getting beyond 60 years of age, which is why their offspring have been taking over farms already “cut up into pieces” through inheritance. Given that in the last 15 years families have become dependent on coffee as a mono-crop, a good number of these offspring, as new family units, inherited also this culture of feeling themselves to be “coffee producers” with 2 to 4 mzs of coffee, which at the most produces 10qq export coffee per manzana, which is why they lost the culture of working “from sunup to sundown” in taking care of the farm, and no longer go out to pick coffee on other farms. Their problem is that they inherited coffee fields affected by coffee rust and anthracnose, which they have to replant now on land which is more worn out (low fertility). Consequently, that combination of feeling themselves to be “coffee producers” and at the same time not having income in the months between March and October has them “underwater” in financial and marriage crises, which is why the children are growing up without Fathers, while they neglect their farms, the regulation of their coffee pulpers, drying, diversification…

The last element is the variation in the climate. Rains were expected for December, which help the grain thicken and ripen; but it did not rain, rather the temperature increased, which is why a good part of the flowering period was lost and the coffee with little liquid did not thicken. The beans that were able to thicken did not reach their optimum level. Many beans, on being picked, pulped and washed, looked as if they had been dried for 6 days. The rains that started on January 10th were not expected, were unnecessary, their prolongation for more than 10 days damaged the roads, reduced the time for picking the coffee, and made it difficult to transport the coffee, and hindered the sun drying process.

The combination of these elements has the power of undermining plans and commitments, and above all, making the families depressed before the harvest ends.

Recovering coffee, the farm, the community

Figure 2 lists the ideas that lead us to confront the 4 elements that affect coffee volume and quality.

Some people from that generation that is now passing 60 years of age are still a good reference point. “My Dad gets up at 4am, drinks his coffee and goes out to work the farm; if in the morning he goes to town to do some task, and returns at 4pm, he still goes to the farm.” (Rebeca Espinoza, Samarkanda). If we add to that culture of dedication to work, youth dedicated to studying their realities and innovating, the families could save resources and invest them, doing their numbers, producing fertile land that would provide them product volume and quality.

If that combination responds to a long term perspective, one that avoids “cutting property into pieces” and children growing up without Fathers, and is committed to the diversification of the farm and  processing what they produce, these families could mobilize their members for activities like coffee picking on their own and their neighbor´s farm, and would attract workers from other places.

If we cultivated that work and study culture under a long term perspective, in a space of renovated cooperatives, the members of both sexes and different ages from the same community could cooperate better, and improve their collective actions, like transporting, drying and milling their coffee in their own community, selling any of their products, producing their own farm inputs, protecting and saving water, or preventing domestic violence.

Conclusion

Recovering the coffee quality that we achieved between 1996 and 2005, which the buyer refers to at the beginning of this text, is a challenge. Getting our people to stay in the country picking coffee, which Flavio observed in hindsight, is another challenge.

Both challenges are not achieved with the hundred year old ideas of the elites: “More inputs, more production”, “better price, more quality”, “investing only in coffee to buy the food for the year”, “the more members there are, the better the cooperative”, “farming is something men do”. The consequences of this cookbook, sadly reproduced by most of the farm cooperatives today, are destroyed families and farms, degraded environment, and the advance of elites expelling the peasantry from their communities.

Addressing those two challenges is possible with families that change as people, as they build a new type of cooperative, one in which families cooperate with one another to generate new technologies, organize and analyze new information, and add value to the coffee and a dozen agricultural products.

[1] The authors are part of a network that facilitates the training of cooperatives governed by their members.

[2] Lata refers to old cooking oil cans that were used to measure picked coffee beans for paying workers. The term is still used, although the measuring is now mostly done with 5-gallon plastic buckets.

Toward the Re-Invention of “Fair Trade” (updated edition)

The height of injustice is to be deemed just when you are not. Plato

Even an honest man sins in the face of an open treasure. Saying.

The VII song of the Odyessy tells how the goddess Circe warned Ulysses that the sailors of those waters were so enchanted by the song of the sirens that they went mad, and lost control of their ships. To not succumb to that enchantment, Ulysses asked that he be tied to the mast of the ship, and that the oarsmen have wax put in their ears, and ordered that if he, because of the spell of their song, would ask that they free him, instead they should tighten the knots. So it was that Ulysses and his oarsmen were saved, and the sirens, failing in their objective, threw themselves off the cliff.

Facing unfair commercial relations, Fair Trade (FT) emerged as an alternative so that people who organized might improve their lives and be a space of solidarity among different actors beyond their countries´ borders. Nevertheless, in our case study in Nicaragua and Central America, we show that the institutional structure of power relationships under the market control of elites is like the sirens in the myth, capable of seducing the FT network, turning it against its own principles, and turning solidarity into just a bunch of words, numbers and papers. How can FT tie itself up so as to not succumb to the song of the sirens, and in this way, grow, enhancing its FT alternative principles? To respond to this question we take as a given that there are exceptional cooperatives, organizations, and people who confirm the importance of organizing and cultivating global solidarity, and that there are successful cooperatives, in countries in the south as well as in the north, in FT as well as outside of it. Nevertheless, in this article we study certain practices of the FT framework that seem to indicate its involution, and on that basis we suggest its reinvention. To do so we focus on coffee, which constitutes 70% of the volume of what is sold through FT.

Pull down full article here

 

The Inherent Lens

Bias.  It’s what we as human being use to see the world around us, whether we like to admit it or not.  We see the world through the lens of our own experiences.  Sometimes that comes from things that have happened to us.  Sometimes it comes from things we’ve been told.  Often our vision comes from the way we would like to see reality, for our own benefit.  But we are born with the predilection toward bias.  Is it also true about the way we view the poor?

I received the following article from the organization, “Progress Through Business,” a non-profit located at the University of Wisconsin-Madison.  It was founded by an acquaintance of mine, John Hoffmire, whom I came to know through his advocacy in the ESOP world.  I found the subject and the data of the article provocative, and decided to include it here:

How The Rich View The Poor

The discussion over rising inequality in the U.S. has captured headlines, been featured in the November election campaign, and incited heated debates analyzing and criticizing the relationships between the rich and the poor. “Out-of-touch” and “unsympathetic” have become buzzwords used to describe the attitude of the haves toward the have-nots.

Despite this narrative unfolding in the media, the question remains whether the headlines reflect reality.

The Associated Press recently cited research saying that 1 in 5 Americans reaches affluence at one point in their lives. This 20 percent block is a far cry from the critique offered by many who want change but still provides evidence of a large disparity between the wealthy and the poor.

Some might ask how this division affects the social aspects of our society. What is the best descriptor of the relationship between those on opposite ends of the economic spectrum? The prevailing story conveyed through the media would suggest that “out-of-touch” and “unsympathetic” do accurately portray the well-off portion of the U.S. society.

However, those who question this viewpoint might pose the following queries: What about the billions of dollars donated every year to poverty-focused charities? What about the wealthy investors who have recently turned their focus to social innovation and impact investing in order to address social ills through business? Doesn’t this demonstrate a stronger interest than we might otherwise think? Or does the philanthropist merely seek notoriety through his or her contributions, and is the socially minded investor motivated by the opportunity to gain new market share or attract new customers?

So the question remains, are the wealthy truly invested in the poor and do they care?

A  New York Times blog by Daniel Goleman detailed research on social interactions between two groups of people on significantly different rungs of the social ladder. I’ll call this research “study one.”

Members of one group had a much higher income than the members of the other. Subjects of both social classes were instructed to share and communicate, with another individual, about hardships that they had experienced in their personal lives. Researchers then observed the interaction between the two individuals. The findings of the research show that the rich consistently demonstrate disinterest in the personal difficulties of the poor.

The wealthy showed less sympathy and concern as they listened to the poor recall personal trials, such as divorces and deaths in the family. Conversely, the poor tended to be as attentive to the difficulties of the rich as they were to the difficulties of their socio-economic equals.

The researchers concluded that we tend to be interested in those whom we value. Partly due to a void in material wealth, the poor tend to value social relationships. They develop “keenly attuned interpersonal attention, in all directions”. This is a trait that anyone — and everyone — could develop, regardless of financial wealth.

If the researchers are correct in their conclusions, and members of our society are only interested in those whom they value, then inattention would demonstrate that the rich undervalue the poor. Why is this? It may be that the rich judge the poor. The rich may assume the poor live a “substandard” life brought upon themselves through their own ignorant or incompetent decisions.

Wealthier members of society may assume that everyone has the same opportunities and that those whose cognitive abilities are less efficient should not receive certain advantages in society because they have not earned them. This attitude, if it exists, is undermined by research that says that many cognitive difficulties are environmentally induced. In other words, those who live in economic stress may be impaired cognitively as a result of the stress caused by consistently living in situations where their economic lives provide bitter choices.

The research, which I will label “study two,” includes an experiment performed at a New Jersey mall and is detailed in a 2013 article written by Anandi Mani, Sendhil Mullainathan, Eldar Shafir and Jiaying Zhao, all prominent university researchers. The subjects of the study were confronted with a scenario. They were told that they faced a common financial problem, such as paying for a car repair.

This problem was meant to activate real financial concerns that existed in the participants’ own lives. After thinking about how to come up with the money to make the payment, the subjects were asked to answer common IQ test questions. This research included a component that tested the respondents’ ability to answer questions correctly and quickly while under pressure. After providing a solution to paying for the auto repair, the subjects were asked to disclose their income.

The subjects were assigned either “hard” or “easy” financial situations, with an auto repair cost of $1,500 or $150 respectively.

When contemplating “easy” situations of $150 auto repairs, the poor and the rich answered the IQ test questions correctly at a very similar rate. When the auto repair cost was raised to a “hard” situation of $1,500, the rich performed about the same on the IQ test as they had during the “easy” situation. However, when faced with “hard” situations, the poor experienced a significant drop in the number of questions they answered correctly. This was in line with the researchers’ original hypothesis.

The experiment was then adjusted to include a financial reward of 25 cents for every correct response. Although the poor have a presumably greater need for the money, they still performed worse during “hard” situations than the rich, and earned roughly 18 percent less.

This seems relatively reflective of reality. The researchers go on to explain that the poor earn less not out of incompetency, but because they must allocate mental capacity to problems that are more pressing to them than to the rich.

Remember that the poor performed just as well as the rich when the stakes were low. The difficulty for the poor arose when the payment increased to $1,500, even when they had the ability to make money by answering correctly. Many expenses, which the rich consider minor, become major obstacles for the poor, requiring a significant amount of attention to address. This allocation of attention to pressing concerns may in turn prevent the poor from taking advantage of opportunities (such as earning extra cash in the above study).

Additionally, solving these problems comes at the expense of other basic needs. The researchers cite prior studies showing that the poor “use less preventative health care, fail to adhere to drug regimens, are tardier and less likely to keep appointments, are less productive workers, less attentive parents and worse managers of their finances.” According to the study, these troubling behaviors are caused neither by laziness nor incompetence but by decreased capacity brought on by the situations the poor face. This is due to the overwhelming nature of stressful situations, many of which are not nearly as difficult for the rich.

The study’s results provide key insights into the relationship between the rich and the poor. The occurrence of the types of problems discovered in study two should not elicit negative judgments from the rich but rather understanding. The wealthy could be much more interested in the poor, knowing that the personal difficulties in the lives of the poor may have more serious repercussions than situations in their own lives. The resources of the poor, financial and mental, are often already stretched to their limits.

If studies one and two are reflective of the reality of how the rich view poverty-stricken people, and I believe they are, it is a major misperception on the part of the rich to believe that the poor should always be able to recover from setbacks in the same ways as others. And if both of the above studies are true, then less-advantaged individuals’ traits of “keenly attuned interpersonal attention in all directions” are all the more impressive. Low-income individuals are able to allocate their attention to focus on other people, while the rich do not seem to have this same ability, often depriving the poor of sympathy and understanding.

The studies give us observations and a neurobehaviorialistic view of the relationships between rich and poor. But what else might motivate the lack of demonstrated concern of the wealthy for those less fortunate? Perhaps it is that the rich are so focused on gaining more wealth, status, and contact with other wealthy people that there is little incentive for them to get to know and care for the poor.

So the question arises, how can the rich turn their attention outward and toward those on the opposite end of the social ladder? One way would be for everyone to better understand the role of good fortune and the assistance they have received from others. Many have benefited from those who stand a few rungs up and a few rungs down.

We, of all social classes, could consistently be looking out for those who find upward mobility difficult and we could understand that trials and burdens are taxing, painful and often devastating for those at many points along the socio-economic spectrum, but are especially paralyzing for those at the bottom of the wealth pyramid. While those who are well off enjoy the comfort of ample financial resources, they could also strive to develop and use their own sense of a “keenly attuned interpersonal attention, in all directions.”

I say this not only on account of the poor. It seems that many in other social classes are missing out on a special opportunity. I notice at times in our society that many people lack a sense of purpose. Dedication to the poor and a willingness to act on their behalf can bring great value to the life of someone who is willing to serve.

One who certainly showed attention to those less fortunate was the late Nelson Mandela. Leading a nation out of apartheid also meant fighting a war against poverty. Partly due to his work, South Africa began a process leading toward greater development in Africa. Mandela understood that our social interactions are key tools in combating poverty. He described our duty to do our part to help those around us and across the globe when he said:

“Overcoming poverty is not a task of charity, it is an act of justice. Like slavery and apartheid, poverty is not natural. It is man-made and it can be overcome and eradicated by the actions of human beings. Sometimes it falls on a generation to be great. You can be that great generation. Let your greatness blossom.”

We could all benefit from allocating our own financial and mental resources in an outward way, paying special attention to those around us who are less fortunate than ourselves.

Adam Turville

It’s an interesting study and a sobering one.  I wonder what misconceptions others have about me….?

Sugar cane in peasant-indigenous resistance

Sugar cane in peasant-indigenous resistance

René Mendoza Vidaurre and Héctor Peña Martínez[1]

Son to his Father: old man, you are not making money on the blocks of sugar; you are just doing it to work.

Father: Yes, I was raised in this and I miss it.

Mom: And where do you think our clothes come from, this roof … and part of the food? From sweating over these blocks of sugar!

(Conversation with peasant family, Yoro, Honduras, 2017).

 

Sugar cane was domesticated 10,000 years ago on the island of New Guinea. It came to the New World based on slave labor and environmental degradation between 1425 and 1493. Slavery began to be stopped in 1807 when England prohibited the slave trade which happened through the purchase of slaves in Africa with sugar itself; at that time more than 11 million slaves had been brought in, more than half to sugar plantations (R. Cohen, “Passion for Sugar” in: National Geographic). These plantations were established at the cost of dispossessing the indigenous populations of their land. With sugar cane we see that “a lot of water has passed under the bridge” – more than water, human blood.

In Central America part of the elite continues in the sugar industry with enormous human and environmental costs (see case of Guatemala: Labrador, Villagrán, Sánchez y Alvarado, “El cartel del azúcar de Guatemala” in: El Faro 25-4-2017, https://elfaro.net/es/201704/centroamerica/20091/El-cartel-del-az%C3%BAcar-de-Guatemala.htm). In the face of this reality, peasant and indigenous families have included sugar cane in their family strategy for self sufficiency and income generation. Does sugar cane allow them to resist? Is this sugar cane, that has planted so much death, also an instrument for life? We argue that if families organize to add value to their sugar cane, they can resist dispossession, remain in their communities without being driven to migrate, and at the same time contribute to environmental sustainability. Consequently, in this article we describe the peasant perspective on sugar cane, the dispossession that they have suffered, their viability, and the challenges that accompanying these processes of repossession imply.

  1. Peasant strategy

When peasant families see themselves forced to migrate, they tend to take with them some sugar cane plants, and other families even take the sugar mill. The families get to the mountains or places where they can buy less expensive land. There they start to produce corn and beans, they establish their banana plants and sugar cane, they preserve patches of forest for wood and firewood, and they raise small livestock (poultry and pigs) and 2 or 3 cows. Their strategy is to diversify and reduce risk: the forest for wood (home construction, fence posts) and firewood for the kitchen and the oven of the sugar mill; they plant corn, beans and bananas to ensure their food; they grow sugar cane that they turn into blocks of sugar for their own use (to sweeten coffee and natural juices, make honey, pastry, coconut squash, mangos with honey, fritters, corn bread, and liquor – and as young D. Mejía tells us “the recipes of my grandmother are the best with brown sugars”- and for selling it. The sale of the blocks of sugar during a good part of the year, and the sale of 2 to 3 cows a year, is cash to cover other needs (salt, soap, matches, etc) and to buy “new clothes.”

Due to their distance from the market, the idea of the peasant families is to depend as least as possible on outside products. That is why it is easier to take blocks of sugar out to sell in the towns to generate income, than bunches of bananas or corn. Taking 100 lbs of brown sugar blocks generates a little more than double the income of 100 lbs of corn. In addition, sugar is one of the crops that are least affected by diseases or insects, and once established, requires little work and can resprout year after year for more than 50 years. So it is that wooden mills and then iron mills emerged, along with the sugar cane, powered by a team of oxen, and in some communities by a motor. In some communities the blocks of sugar are the only way to connect to the market and get some cash.

 

Table 1. Transformation of brown sugar block (20 tons / mz)*
Price (L) Value (L) L / block $ / block $/lb
Sale (load of blocks) 750** 25000.0 15.6 0.67 0.22
Weeding (1 mz) 1400 1400 0.9 0.04 0.01
Guide for oxen (load) 100 3333.3 2.1 0.09 0.03
Baker (load) 100 3333.3 2.1 0.09 0.03
Team of oxen (load) 100 3333.3 2.1 0.09 0.03
Cutting cane (mz) 100 2000 1.3 0.05 0.02
Transporting cane (ton) 100 2000 1.3 0.05 0.02
Total cost 15400.0 9.6 0.41 0.14
Balance 9600 6.0 0.26 0.09
* 20 tons of sugar cane in 1 mz (0.6988 has) = 33.33 loads of blocks, 1 load = 48 blocks, 1 block= 3 lbs. ** L750/load of blocks; price varies between 700 and 1000/load. L = lempiras, currency of Honduras

Source: based on family producers of cane and with/without mill (Yoro, Honduras)

Table 1 shows its profitability. A family with sugar cane, a mill and a team of oxen could generate income of 13,533 lempiras (balance of 9,600 + 2000 transportation + 3,333 team of oxen – 1,400 for weeding). A family with sugar cane, but without a mill and oxen, that turns in their cane so that it gets processed and they get half the value in return, gets L10,500 (half of L25,000, minus 2,000 for the transportation of the cane). If that same family with a mill takes on the cost of the weeding, leading the oxen around the mill and the cooking, their income increases. Both families get more income as they produce more than 20 tons per manzana.

  1. Pressure combined with dispossession

Living in these communities for 25 to 30 years, families now feel pressure on their economic strategy (income diversification and generation), social strategy (sharecropping relations and sharing labor – mutual support) and political strategy (decisions and autonomy). The “domino effect” of the so-called agricultural frontier is being felt (see: Maldidier, Ch., 2004, “agricultural pioneer fronts, the crest of a far-reaching wave”). The land is tired and its productivity is declining, it needs to be fed, which in turn creates pressure for financial resources to buy fertilizers. Because of world sugar demand and how lucrative it is for the oligopolies, large sugar cane, african palm, rice, and extensive ranching plantations require more land and more water, and that pressure is being felt in the communities whose families at times of greater economic fragility (e.g. sickness of a relative, indebtedness, lack of water), or when the pressure suffocates them (e.g. plantations that close off the road to a community), are left with no choice but to get rid of their land. The sons and daughters who form their own homes press for their inheritance, with the consequence being that the areas per family are getting ever smaller. And the milling of the sugar cane begins to suffer from a scarcity of labor: the work of the ox guides and the cook is hard, from midnight to 9am, because the workers, with the passage of time, take advantage of other opportunities like working in sawmills, coffee fields or migrate in search of other opportunities.

Slowly the sharecropping relationships get eroded and the capacity to decide gives way to the force of the market that comes in with different consumer products, with different labor relations, with credit that finances mono-cropping, with the “deadly embrace” of expensive farm inputs and low prices for peasant products; this is when the population murmurs, “our money doesn´t go very far”. Also state law imposes taxes and restricts the use of their forest areas, while the laws do protect the sugar industry. So human groups, like an ear of corn that shells itself when it loses one kernel, cede their places and go off to other land or become workers. That is why we do not find mills close to the cities; they get farther away tas the “domino effect” intensifies. That is when the profitability of Table 1 gets complicated, because it begins to operate less frequently.

In the last 15 years this practice of establishing oneself, and being forced to migrate to the mountains, appears to be facing drastic changes. Practically speaking there are no more mountains to go to, which is why that escape valve is now being shut down. So increasingly the population migrates to the cities and leaves the country. But at the same time countries like the United States are closing their doors to migrants. The paradox is that that “domino effect” that starts from the demand for sugar mediated by oligopolies, on the one hand expels the peasant families from their land, and on the other hand, they are rejected by the metropolis. This is the second “deadly embrace.”

  1. Adding value to the product in an associative way

How can you resist for more than 25-30 years and stop the “deadly embraces?” The COMAL Network is trying one way, where the peasant families organize into associative enterprises to add value to the sugar cane, producing granulated brown sugar (See: “Eco comal, una marca campesina que cobra auge” in: Diario Tiempo, 4-8-2015).

 

Table 2. Transformation of granulated brown sugar (20 tons / mz)
Lbs Price (L) Value (L) L/lb $/lb
Granulated brown sugar 2900 8.0 23200 8.0 0.34
Crumbs (lbs) 1900 4.50 8550 4.50 0.19
Total sales 4800 31750 6.61 0.28
Purchase sugar cane (ton) 20 440 8800 1.83 0.08
Labor (hrs work) 300 20 6000 1.25 0.05
Packaging 3001 3001 0.63 0.03
Administrative costs 6683 6683 1.39 0.06
Production material 1513 1513 0.32 0.01
Total Cost 25997 5.42 0.23
Balance 5753 1.20 0.05
* 1 ton sugar cane = 240 lbs (60% granulated brown sugar 40% crumbs). Exchange rate $1 = L23.3

Source: Records of the granulated brown sugar processing plant of APROCATY (Yoro, Honduras)

In the municipalities of Taulabé, Jocón and Yoro in the last 5 years 100 peasant families that have sugar cane on their diversified farms have organized into 3 associative enterprises. With the support of international aid, they have established 3 processing plants on their farms. Even though their yields vary between 60 to 72% of granulated brown sugar, the calculations in Table 2 are encouraging, even based on the lowest yield. Let´s take a look, a member family sells 20 tons of of sugar cane at L8,800; and then, depending on the policies of the organization, that member family has the possibility of accessing part of the remainder of L5,753 that their sugar cane generated in the organization. In only 3 years, on average in these experiences, the difference of the “value added” is noticeable.

The outlook that they offer us is even more interesting. According to the table the costs are 81.8% of total sales, and to the extent that they grow in volume and yield (let´s say from 60% to 70% of granulated brown sugar), those costs drop from 81.8% to 70%, then the remainder will go beyond L10,000 and also $0.10/lb. This is the commitment of the three organizations.

Going back to the communities, specifically Laguna de la Capa (Yoro) which was already on the outer limit of the 25-30 years, the impact of the processing plant made itself felt. When the APROCATY organization began, the prices for the blocks of sugar were falling below L500/load (48 blocks), the cane fields were being lost and all the symptoms described in section 2 began to appear. “The ear of corn was beginning to lose its kernels” . The entry of the production of granulated brown sugar helped raise the price of cane and blocks of sugar to L700, 800 and even L1,000/load of blocks, because a good part of the sugar cane was turned into granulated brown sugar, which put sugar blocks into short supply. This slowly began to re-energize the production of sugar cane as part of the diversification systems of the families, promoting the consumption of an alternative product to refined sugar, and a production alternative to the human and environmentally degrading practices of the sugar industry.

In spite of the short time line of these experiences, they teach us that it is not just a matter of adding value to the sugar cane and generating profits, but learning to cooperate under associative and business rules. For example, knowing the principle of accounting identity, where the expenses of a business are accounted for separately, understanding that the more effective the organs are (board of directors, committees, assembly) the more efficient the business is that transforms and sells the products, and regulating the use of the profits so that they contribute to the sense of ownership of the members of their organization, and that at the same time allows the equity of the organization to increase. They also teach us that there are risks in the future: that the aforementioned initiative might end up promoting monocropping of sugar cane and erode the peasant-indigenous resistance strategy; that a group might take over the business; that the administration might run the organization behind the backs of the members…

  1. The challenge of accompanying these processes

To manage the risks and create conditions to make the expressed goal viable, it is important to start from the experience of the peasant-indigenous families themselves. They have learned that they are going to make the changes IF they have long term allies – in the good times and in the bad times. The COMAL Network is an expression of that commitment. That committed role, nevertheless, faces enormous challenges, three of which we will introduce here.

For centuries peasant families have counted on the organization and self sufficiency of their extended families. Getting this commitment to scale up organizationally for an effective resistance that would take them beyond the threshold of the 25-30 years implies overcoming centuries-old, deeply rooted institutions. “Yes, I was raised in this and I miss it”, the phrase from the Father quoted at the beginning of the article, means that the practices that he learned and the institutions (e.g. extended family, exclusion of women from the inheritance and from organizations) in which he was raised are going to persist, and even “will be missed.” In this dialogue, the son as well as the father ignored the fact that making blocks of sugar is profitable, as part of a diversification strategy, for 25-30 years. How to understand those perspectives in their contexts in order to accompany them is a monumental challenge for any external ally, because you have to study those realities and ask about alternatives, something difficult when we are accustomed to provide standardized solutions for any situation.

Peasant distrust toward outside actors, particularly merchants, is another institution deeply rooted because of centuries of plundering. Now that distrust is expressed as: “we will go to the meetings if they call us.” This assumes that the one calling the meeting is the external actor or a local person with the aura of being the representative of the external actor, and that they are not going to take the initiatives to call their own meeting and meet on their own. Getting the rules (statutes) and democratic mechanisms of an organization to be followed and used, as a way of “calling your own meeting”, is another challenge for any organization accustomed to going out to the communities and being “the big man” with resources in hand.

Member families in organizations with important physical investments tend to hunker down and prevent the entrance of new members. They do not allow even their sons to join the organization, much less their daughters. It will be difficult for organizations to respect their democratic mechanisms in their statutes if there are no changes in the heart of their families, changes in equity in terms of inheritances and in decision making where the mother and the offspring participate like the father. Without members that are experiencing changes in their families, it will be difficult for the organization to make progress. This is the third challenge for any ally organization.

In conclusion, sugar cane came into Latin America spurting human blood and subduing nature, a practice continued today under “modern clothing.” In the face of this, as the Mother at the beginning of this article would say, granulated brown sugar is more than the block of sugar, and the block of sugar is more than sugar cane, it is “sweat”: work and life. Behind it are peasant-indigenous families that are organized around blocks and the granulated brown sugar, while at the same time they are going deeper into their logic of “not putting all their eggs in the same basket.” Will it be possible that they might begin to express a path for transforming peasant-indigenous products as they transform their families and their organizations toward greater equity?

[1] René has a PhD in development studies, is an associate researcher of IOB-Universiity of Antwerp (Belgium), a collaborator with the Winds of Peace Foundation (http://peacewinds.org/research/) and member of the COSERPROSS cooperative; rmvidaurre@gmail.com. Hector is an agronomist, coordinator of the Technical Unit for Business Consultancy of the COMAL Network, and technician-expert in the transformation of granulated brown sugar; hpmartinez@redcomal.org.hn

There is no chocolate without organized family agriculture

There is no chocolate without organized family agriculture

René Mendoza Vidaurre[1]

Eve left the Garden of Eden over chocolate! Anonymous.

Life is like a box of chocolates, you never know what you are going to get. Forrest Gump

The exodus of the people of Israel from Egypt to the Promised Land, the Bible says, had a decisive moment when, pursued by Pharaoh and his Army, they arrived desperately to the sea, and then Moises raised his staff and the sea opened up; so they turned a page and wrote their history. The chocolate industry predicted that by 2020 they will need 30% more chocolate; nevertheless, the cacao supply does not seem to be responding to the demand. Said figuratively, the state institutions, the market and society, like Moises, are raising the staff of productivity, quality, inclusive businesses and fair trade so that there might be more cacao and Eve might have a reason to not go back to Eden, but the sea is not opening up! Why? What “staff” is needed for the sea to open? This article deals with that question.

For full article:

peacewinds.org/…/Artículo-cacao-oficial-eng.pdf

[1] René (rmvidaurre@gmail.com) has a PhD in development studies, is a collaborator of the Winds of Peace Foundation (http://peacewinds.org/research/), an associate researcher of IOB-Antwerp University (Belgium) and a member of the COSERPROSS Cooperative RL. We note that the name of the municipality “Sasha”, the Dalila cooperative, the ABC and RDA NGO, Flesh company, and the last names Konrad, Peñaranda and Peña, mentioned in this article, are ficticious. We did this to protect those identities from any inconvenience that this article might cause them.

http://peacewinds.org/wp-content/uploads/2017/05/Artículo-cacao-oficial-eng.pdf

The Need to Own It

I have written here often about some of the cooperatives with whom we work and, especially, the remarkable people encountered in these organizations.  Along the way, I have shared descriptions of some of the tools that we have shared with Nica partners (like Open Book Management and Lean principles), because many rural producers have become convinced of the need for organizational strengthening.  It should be no surprise that Winds of Peace Foundation regards these tools, and others that encourage inclusiveness and participation, as key to sustainable organizational strength.  So do many Nica partners.  But thinking that something is true does not automatically prove that it’s true.  So I decided to share some data about ownership that has recently been published.

The National Center for Employee Ownership (NCEO) has published a new study of employee-ownership in the U.S.   Now, the U.S. is not Nicaragua, and employee stock ownership is not cooperativism.  But the results cited in the report focus on enterprise ownership, owning the business and social equity of an enterprise, and that definition encompasses an entire spectrum of stakeholder models.  And this is a portion of what the study has found:

*Enterprise-owners in this dataset have 33% higher median income from wages overall. This holds true at all wage levels, ranging from a difference of $3,160 in annual wages for the lowest-paid employee-owners to an extra $5,000 for higher-wage workers.

*Median household net wealth among respondents is 92% higher for owners than for non-owners. This disparity holds true for the great majority of subgroups analyzed, including single women, parents raising young children, non-college graduates, and workers of color.

*Enterprise-owners of color in this data have 30% higher income from wages, 79% greater net household wealth, and median tenure in their current job 36% over non-employee-owners of color.

*For families with children ages 0 to 8 in their household, the ownership advantage translates into median household net worth nearly twice that of those without employee ownership, nearly one full year of increased job stability, and $10,000 more in annual wages.

The report is full of additional data which supports the organizational value of ownership; take a look at it for lots of details. But the picture being painted here is one of many colors: organizations that involve their workers as owners are more successful;  greater opportunity comes from ownership; greater participation through ownership yields greater strength and organizational growth; there is a central tendency in us as human beings to nurture and protect that which we own.

Concurrent with the publication of this groundbreaking study was the publication of Fortune Magazine’s 2017 100 Best Companies to Work For.  Of the 73 corporations recognized for their outstanding workplaces, more than half of them (35) incorporated ownership plans for their members.  It’s hardly a coincidence that many of the best companies to work for are companies owned, in whole or part, by the employees or members themselves.  (The Fortune list is traditionally weighted heavily toward technology and healthcare providers; the preponderance of ownership would presumably be even higher in a more representative sample of U.S. businesses.)

There is no mistaking the fact that Nicaraguan cooperatives are owned by their members, in at least the structural, legal sense.  But like their U.S. employee counterparts, Nicaraguan owners need the understanding of what ownership is, of what their ownership obligations and rights are, and how their success truly rises or falls based upon the members taking responsibility, collectively.  Successful ownership is not reliant upon heroes or the efforts of the few or the presence of a beneficent patron.  Success follows a basic understanding of how their cooperative works, how A+B=C, and importance of each member to the whole.

So when the third Certificate Program is convened in August, there will be modules about family strategic planning and access to markets and means of improving production and quality.  But at its core, the Program will be about ownership, seizing the opportunity for self-improvement by embracing both self and collective responsibility.  We’ll be there to help conversations about Open Books and Lean, but the days will really be about our partners’ futures, and their appetite to own it….

 

Can the youth fall in love with the countryside again?

René Mendoza Vidaurre[1]

You cannot direct the wind, but you can change the direction of the sails. Chinese Proverb

Let the wind blow and carry you where it will. Bible saying.

“Our problem, says A. Argueta, from the COMAL network (Honduras), is that our offspring do not want to know about agriculture; many times in a family of 7 only two are working, Mom and Dad.” R. Villegas, also from the COMAL network, says, “when they are little our children help us in the work, but once grown up, returning from their studies they do the numbers on our crops, and they tell us that planting corn and beans no longer works, and they tell us it is better to sell the land.” What Argueta and Villegas tell us we hear in every country in Latin America.

If this situation intensifies, it will affect world food production. Because it depends in good measure on family agriculture, which, according to ECLAC, FAO and IICA (2014, Prospects for Agriculture and Rural Development in the Americas) represent more than 75% of total production units in nearly every country of Latin America. The organization of that peasant economy, according to A. Chayanov (1925, The Organization of the Peasant Economic Unit) is based on family labor to meet their needs. From that situation, to now where youth are increasingly disenchanted with farm work, means that the peasant economy is growing old and the depopulation the rural sector is increasing.

We are facing a world problem that we deal with in this article from a rural perspective. We break down the dynamics that led to this situation, we look into the specific nature of family agriculture and we provide some ideas for the youth to fall in love again with the countryside. For these points and others, taking up again the Chinese Proverb and the bible passage quoted above, we argue that it is important to change the direction of “our sails” (perspectives) as we understand the direction of the “wind.”

The conditions for the disenchantment

There are structural conditions that are conducive to this disenchantment. The first refers to the current generation of parents and children. In Europe they talk about the “neither-nor” youth; they neither study nor work. Bauman (2014, Does the Wealth of the Few Benefit Everyone?), studying the inequality, observes that the generations after the second world war, supported by redistribution policies, looked forward in order to improve; while today the “neither-nors” are the first generation that are not managing the achievements of their parents as the beginning of their career, that instead are asking what their parents did to improve, and that in this way these youth are not looking forward, but back. Some years ago in rural Latin America, parents would receive their inheritance and would go into the forest to expand their area in order to, later on, leave it to their children, and they to theirs. The inheritance was the starting point for each generation. But now the agricultural frontier has reached its limits, and there is almost no more forest to go into. So, on the one hand, the parents are not expanding their areas to leave behind, nor did they have time to inculcate their farming culture on their children, because they passed their childhood, adolescence and part of their youth studying; and on the other hand, this growing group of youth did not find work in their majors, nor did they like their parents farming, and in the case that they did, it is common to hear their laments; “Dad says that as long as he is alive I cannot raise different crops on his land”, “they do not want to leave me my inheritance because they say that ‘the pig sheds its lard only after it dies’”.

Table. Corn profitability (Honduras, 2016/17)
  Units Price (L) Value (L) Dollars
Production (qq) 24 300 7200 309.0
Costs 7040 302.1
Preparation (wd) 16 120 1920 82.4
Planting (wd) 4 120 480 20.6
Seed (lbs) 25 4 100 4.3
Fungicide (wd) 1 120 120 11.2
Fungicide (lt herbicide) 2 130 260 20.6
2 fertilizations (wd) 4 120 480 20.6
2 fertilizations (sacks fertilizer) 4 500 2000 85.8
Bend and harvest (wd) 12 120 1440 61.8
Clean 2 120 240 10.3
wd =work days

Source: based on cases of several producers in Honduras

The second condition refers to the knowledge perspective acquired by the youth. There is a boom of youth studying; in 2015, according to the UNESCO report, 98% of the youth of Latin America were studying. Going back to where their parents are, many of them do economic calculations and conclude that what their parents are growing it not profitable (see Table for corn; calculations for beans are more generous, $400/mz costs and $1200/mz income). This acquired knowledge, nevertheless, underlies a perspective contrary to the peasant economy: they take crops as a comodity isolated from the production system where it grows, and outside the logic of the family that produces it. These assumptions are in line with the perspective of big enterprise: monocropping, betting on volume based on intensive and mechanized technology, and the maximization of financial earnings.

The third condition refers to the growing gap between parents and their children. The children are caught between the love for their parents and their belief that “I did not study to go back to the fields” – by “fields” they assume backwardness. The parents feel impotent in not being able to explain their “agricultural profitability” showing their production systems and their social and economic life, surprised they recall when they encouraged their children to study, telling them that “a shovel weighs more than a pen”, and get frustrated in not being able to direct their children to the future, even worse not knowing the digital technology in which the youth move. These facts make the gap that separates them even greater, the parents grow old and the youth are at risk of falling into that old expression of “the idle mind is the devil´s workshop” in a Central America that finds it difficult to free itself from violence.

The fourth condition refers to rural organizations. It is common to run into peasant associations, stores, banks and cooperatives whose members´average age is 50. If life expectancy in the Central American countries is around 73 years of age, the paradox is that the organizations are aging while they close themselves to the youth. A mother who returned to dedicate herself to her family, after 8 years in an organization, said, “if I would have continued as a leader, I would have lost my son, because he was already on a bad path.” The logical thing would be that the family life of those who are organized would improve, but that mother says that it did not. Others look for people to blame: “the governments hassle the organizations with taxes and repressive measures, businesses hassle them through their harvest collectors or intermediaries, and aid organizations keep them busy with projects.” It could be. But the chasm between the organizations and the youth is deep.

The Specific Nature of Peasant Production

Why do they take such great pains with corn and beans? What is it that we do not understand about them? Full of millennial patience, the peasant families husk the ear of corn for us. “We plant corn, beans, chicory…because we learned it from our parents to feed our families, not to make a lot of money.” Looking at me skeptically, they continue on: ”by planting corn we eat tamales, atol, corn on the cob, baby corn, new corn tortillas, would we be able to eat all this if we quit planting corn?”, “the protein from a recently harvested corn cob is not comparable to that anemic imported corn”, “with beans we eat green beans, bean soup, cooked beans…” We understand that corn is more than tortillas, and beans are more than bean paste. “When we have corn and beans it makes us feel relieved, so we look for plantains, eggs…we go from serving to serving.” And then, “the beans that we are not going to eat we sell, likewise with the other products, in order to buy other needs and pay for the studies of our children.” And the profitability?

With weatherbeaten skin and a cold stare, they explained to us. “If we don´t plant corn, we would have to buy tortillas; we are 6 in the family and we would need 30 tortillas for each meal, that is L15; if I plant we eat 20 tortillas because the tortillas we make are thick.” Time to do the numbers: 1) 20 tortillas come from 1 lb, 3 lbs per day, 90 lbs per month, in other words 10.8qq per year, the remaining 13.2qq are for seed, chickens and pigs, from which we get between 6-10 eggs each day and 2 piglets every 6 months; 2) not planting corn, a family of six people needs L16,425 ($714) to buy tortillas in the year, another amount for atol, eggs and pork. In other words, the Table does not show that the corn is linked to small livestock, does not count the corncobs, little corn, new corn tortillas…If the peasant families subjected themselves to the “profitability calculations” of the large enterprises, they would have to go into debt, sell their land, and become farm workers to buy corn in times of scarcity at double the price or buy 90 tortillas/day at $1.90. “They say that it does not work, but it does”- the roar of the wind is heard.

The peasant cornfield includes basic grains, root plants, bananas, trees, chicory, poultry, pigs, water… Is it time to change the direction of our “sails”?

Thinking about the youth

Observing, listening and dialoguing can happen in the family, particularly if their organizations help. The Colega of Colombia cooperative shows us the way. Their members are milk ranchers and the cooperative collects and sells the milk. “We are second in world productivity, behind New Zealand,” they state. This cooperative organizes the children of the members into two groups; the little Colleagues are those under 14, and the pre-Colleagues are between 14-18 years of age. Each little Colleague is given one calf to take care of, the cooperative gives milk to the child as a provision for the calf, and the family of the child provides the inputs for raising the calf; in school they include courses on cooperation and the cooperative invites the little Colleagues to their events; so, from an early age they are cultivating the “member-rancher of the future.” The pre-Colleagues, who were able to take care of and multiply their calves, are provided scholarships for their studies, and member benefits, because they already participate in the production processes like their parents.

Youth are joining the Fe y Esperanza Rural Bank of Palmichal in the COMAL network, encouraged by their families. “My stepfather insisted that I attend the meetings, I thought that this was about old guys who do not change, then I realized that here you learn to improve.” “My grandfather is trustworthy, he told me to join the Bank because one day it would work for me, I paid attention to him, and it is true, now it is working for me.” In a few years this organization is growing in savings and loans, has efficient administration and its organs (board of directors, oversight board and assembly) meet each second Saturday of each month to discuss their numbers and opportunities. Another organization, the 15th of July (a community in Corozo, Yoro) also from the COMAL network, recognized the capacity of a young woman (D. López) who has finished her Certificate Program, and named her as President, and that organization got itself up to date with its internal and external paperwork, and finished its factory for processing granulated sugar.

These three experiences express three ways of including youth. They also tell us that, in contrast with the large businesses where you learn to do a task, in small organizations youth learn to follow their dreams with deep passion. So if an organization would dedicate 1% of its profits to provide a calf, a piglet or a contribution of 5 dollars to each son or daughter of each member, and if that organization accompanied that initiative, it would be planting its own future and that of humanity. If that is accompanied by the universities teaching the perspective of the large business sector, and also that of that 75% of producers who make up family agriculture, we would be turning the direction of our “sails”, and the youth would once again fall in love with the countryside. In this way, organizations could continuously reinvent themselves under the following expression, that D. Zuniga from the COMAL network saw in a home for the elderly in Copan: “you will be as young as your faith and as old as your doubts.”

[1] PhD in development studies, associate researcher of the IOB-University of Antwerp (Belgium), collaborator of the Winds of Peace Foundation (http://peacewinds.org/research/) and member of the COSERPROSS Cooperative. rmvidaurre@gmail.com.