Smallholder coffee farmers achieve double digit revenue growth through support from Walmart Foundation grantees
Focus on sustainable farming practices and market connectivity led to a 17% increase in yield and a 17% rise in revenue for coffee for smallholder farmers in Andhra Pradesh
NEW DELHI, India, Sept. 29, 2023, – As the World Coffee Day approaches, Indian coffee farmers celebrate improved yield and rise in revenue by embracing state-of-the-art farming methodologies and technologies. Key collaborators Precision Dev and TechnoServe, with the support of Walmart Foundation, have empowered and Farmer Producer Organizations (FPOs) by harnessing the power of technology, data, adoption of substantiable framing practices and increased market access. While Precision Dev reaches out to 70,000 coffee farmers In Karnataka and Andhra Pradesh, TechnoServe has been engaged with over 10,000 farmers across 8 FPOs.
An impact study conducted by Sambodhi, an India-based impact measurement firm, that assessed the efficacy of Walmart Foundation’s investments thus far in enhancing livelihoods and incomes for Indian FPOs, indicated that interventions by implementing partners contributed to strengthened systems and processes at the FPO level. This has led to higher revenues and profitability as well as increased representation of women at the farm level and in FPO leadership. The study highlights that participating FPOs have a higher ability to provide inputs, support sale of final produce to more varied markets, and now earn 29% higher revenues on an average than comparable FPOs. The Walmart Foundation works together with the implementing partners to strengthen the FPOs to build a sustainable coffee value chain.
PxD with Walmart Foundation’s support in coffee-producing regions of Karnataka, and Andhra Pradesh enables farmers to employ avant-grade techniques and sets high standards in coffee cultivation. PxD’s focus on digital agricultural advisory and market connectivity has facilitated increased yield and improved income for coffee farmers. Additionally, their guidance has resulted in reduced usage of pesticide.
To address limited market access and fair value distribution for smallholder coffee farmers in Karnataka, PxD together with IDH (Sustainable Trade Initiative) are working on a two-pronged strategy: engaging international coffee traders to include smallholders in their value chains and building institutional capacity with FPOs to target training programs that have benefitted over 5000 farmers and four FPOs.
TechnoServe has been working toward improving the yield and income of coffee framers in Andhra Pradesh and has reached over 10,000 farmers across 500 villages in the state. Their training programs have helped farmers adopt more sustainable agricultural practices such as pruning and mulching. Furthermore, they have assisted farmers in establishing and amplifying their financial management and ensuring transparency.
TechnoServe has supported FPOs working with coffee to set up their own post-harvest infrastructure such as wet mills, drying yards, hybrid dryers, and storage facilities. This has increased the capacity of FPOs to consistently sell larger volumes and better-quality coffee. They have worked with FPOs to educate growers about these quality parameters and assisted them in gaining market and financial access. The farmers under this program have reported 17% increase in yield and 17% better revenue from coffee. Considerable increase in the net price for their produce over the last couple of years contributed to this revenue growth.
In partnership with TraceX, TechnoServe provides traceability to coffee farmers, enabling them to earn better prices for their produce. This collaboration ensures consistency in the quality of coffee produced, enhancing farmers' access to markets, and promoting sustainability in the segment.
The Walmart Foundation is steadfast in its commitment to empowering smallholder farmers by supporting transformative digital innovation in local agricultural communities. On World Coffee Day, we celebrate the significant advancements achieved by coffee farmers in India, who have gained access to cutting-edge advisory services, training programs, and technologies. By adopting advanced techniques and market linkages, these farmers are revolutionizing coffee cultivation, resulting in remarkable improvements in sustainability, productivity, and income generation. Organizations like Precision Development, and TechnoServe are instrumental in driving this digital transformation, delivering tangible economic and social benefits, and ultimately strengthening local farming communities.
At Precision Development, we are immensely proud of our program which has only been made possible, thanks to the generous support of the Walmart Foundation. This program has been a game-changer to smallholder coffee farmers, providing invaluable, customized support to over 70,000 coffee and spice farmers in Karnataka and Andhra Pradesh who are now able to make better decisions for their crops in a timely manner. Together, we are nurturing coffee crops, empowering communities, and fostering a brighter future for farmers in India.
These farming households are cultivating a high-value commodity in coffee. By coming together via the Farmer Producing Company, they can leverage the collective to ensure better prices and value for their coffee. Over the next two years, we aim to further the benefits of collectivization for coffee farmers in the region. We are working towards helping these FPOs become market players that promote a sustainable and gender-inclusive coffee value chain. And to become platforms through which farmers can foray into new market segments and grow alongside the coffee industry.
About philanthropy at Walmart
Walmart.org represents the philanthropic efforts of Walmart and the Walmart Foundation. By focusing where the business has unique strengths, Walmart.org works to tackle key social and environmental issues and collaborate with others to spark long-lasting systemic change. Walmart has stores in 24 countries, employs more than 2.2 million associates and does business with thousands of suppliers who, in turn, employ millions of people. Walmart.org is helping people live better by supporting programs to accelerate upward job mobility for frontline workers, advance equity, address hunger, build inclusive economic opportunity for people in supply chains, protect and restore nature, reduce waste and emissions, and build strong communities where Walmart operates. To learn more, visit www.walmart.org or connect on Twitter @Walmartorg.
About Precision Development
Precision Development (PxD) is a global non-profit organization that harnesses technology, data science, and behavioral economics to build digital services that empower people to change their own lives.
We build low-cost information systems at scale to share knowledge with the world’s poorest and most disadvantaged people. Our pioneering model of digital development is implemented in collaboration with partner organizations to maximize scale, and we continuously experiment, iterate and gather evidence on impact to improve service delivery and demonstrate our value.
About TechnoServe
TechnoServe is an international non-profit with 50 years of proven results in supporting low-income communities in the developing world to create lasting prosperity by linking them to information, capital, and markets. At the core of our work are inclusive, regenerative business solutions that create living incomes, cut emissions, and protect, manage, and restore ecosystems. With a presence in almost 30 countries, we promote regenerative business through three pillars: People, Climate and Nature. Through our Regenerate 30 Initiative, we have committed to an ambitious impact by 2030 across each of these pillars. In 2022, our programs across the globe helped improve 3.1M lives.
In India, TechnoServe has over ten years of experience implementing programs focused on improving farmer livelihoods, entrepreneurship, agri-value chain enhancement, women's economic empowerment, and natural resource management. To learn more about our impact, visit our website https://www.technoserve.org/our-work/impact/
