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Access to markets case studies
ACOPAGRO 
ACOPAGRO is a cooperative of small-scale cocoa producers in the rainforest of Peru.
Credits: IFAD/A.Manikowska, 2007 | The Asociación de Comités de Productores Agropecuarios de San Martín (ACOPAGRO) is a cooperative of more than 420 small-scale cocoa producers living in the Peruvian rainforest. ACOPAGRO sells its production of cocoa beans to fair trade organizations in Europe at a price higher than that of the New York commodities market. The project started with financing from the United Nations Office on Drugs and Crime (UNODC) and the United Nations Office for Project Services (UNOPS), to help former illegal coca producers set up a sustainable cocoa production activity. The United Nations programme provided technical assistance, credit and organizational strengthening and supported the creation of ACOPAGRO. The initial goal of the association was merely to provide producers with technical assistance, improve the quality and the quantity of the cocoa produced and increase the incomes of small producers. Over time the cooperative grew stronger and was able to address its initial shortcomings in organizational structure and limited geographical impact. Determination, discipline and a strong leadership allowed the cooperative to break through despite fierce competition and the continuous attempts of middlemen to undermine its work. Lessons learned
| Markets and marketing opportunities The efforts made by ACOPAGRO in working towards a high-quality product for a specific market have contributed to the success of the business. ACOPAGRO formerly had five clients, but today it sells to only one. The cooperative needs to diversify to reduce risks. Organization and leadership ACOPAGRO has a very strong identity and is owned by its members. ACOPAGRO seems to want to offer the services that the local government and the state do not provide. It provides a doctor for its members and it wants to build a clinic. ACOPAGRO has invested a considerable amount in building technical expertise among farmers. Today most of them can resolve their problems without external help. Technology and innovation ACOPAGRO uses a type of cocoa that requires considerable fermentation time to acquire quality. By improving the process (using only wooden containers for fermentation) and extending the number days of fermentation from three up to seven days, they were able to produce cocoa beans of the highest quality. It introduced new cocoa varieties through grafting to improve the quality of the fruit. Business management - The commitment of ACOPAGRO's manager and his constant efforts to improve productive and processing technologies and establish new contacts to open untapped markets, as well as his generally attentive management style, are key to the success of the business. However, the manager does not seem to be transferring this knowledge to anyone who might take over if he leaves.
| Source: IFAD
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Cocoa beans are extracted from the fruit and left to ferment for about seven days.
Credits: IFAD/A.Manikowska, 2007
Specific goals of the visit were to: learn about the role of ACOPAGRO in replacing illegal productions, such as coca, with cocoa learn about how small producers manage to work together across large distances and benefit from a strong organizational structure, training, technical assistance, productive and commercial management learn about ongoing training policy and practice in ACOPAGRO learn about incentives and penalties for quality insurance learn about ACOPAGRO's strategies for accessing and keeping a place on one of the world's most competitive cocoa markets learn what conditions and strategies exist to access non-traditional markets such as organic and fair trade markets learn about the impact of the cooperative on improving the living conditions of members visit cocoa plantations certified as organic and compliant to fair trade standards observe the harvesting, delivery, processing, storage and sale of cocoa
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