LAO PDR
AGRICULTURE
© CPC, Micka Perier
Strengthening of Lao coffee sector’s commercial
capacities - PRCC 2 Bolaven Coffee
The support program to the coffee sector and to the Bolaven Plateau Coffee Producers Cooperative (CPC) is
financed in the context of the Trade Capacity Building Program (PRCC) and builds on the intervention initiated by AFD in 1996. The project particularly emphasizes CPC and the Lao National Coffee Board (CNCL or
Lao Coffee Board) capacity and autonomy strengthening.
KEY DATA
PROJECT DETAILS
132nd out of
191 in 2013
139th out of
187 in 2013
BACKGROUND
The project aims at increasing coffee producers’ incomes and
improving the involvement of all sector stakeholders.
Objectives
The project’s objectives are divided into two components aiming at strengthening:
1)
Producers organization: the Bolaven Plateau Coffee
Producers Cooperative (CPC); and
2)
The national coffee sector inter-professional organization through the Lao National Coffee Board (or
CNCL);
The Lao coffee sector is:
Project implementation
♦
The first agricultural product of export value
for Laos (~20 000 T, 60 million USD in 2012)
♦
The Bolaven Plateau, a historical production
area (95 % of national production — 70,000 ha)
The project supports CPC and CNCL through a Central Unit
based in Pakse. The project executive agency is the Ministry
of Agriculture and Forestry with technical assistance support
from two junior experts for CNCL and CPC each and an intermittent senior expert.
♦
15,000 producer families and middlemen, 20 to
30 exporters and about 30 industrial plantations
♦
The emergence of new production dynamics in
“non-traditional” areas
♦
A strategic vision for 2020, implementation by
CNCL or Lao Coffee Board in collaboration
with the Lao Coffee Association
Since 2007 The Bolaven Plateau Coffee Producers
Cooperative (ex AGPC) groups together 56 production
units or 2,650 families (17% of all producers). Coffee is
mainly commercialized in niche markets under organic
and fair trade labeling.
CPC component:
The project aims at improving CPC’s organizational, commercial and financial capacities, allowing it: (i) to ensure superior
quality coffee production which may be exported directly to
niche markets and sold roasted in the national market; (ii) to
supply services such as technical support and credit to its
members in relation with production as well as such marketing
tools as exploring new markets and upholding the product
image; and (iii) to project an image of Lao coffee in accordance with set terms of reference and under conditions allowing for the local economy’s sustainable development.
Laos.afd.fr
Updated in:
May 2014
LAO PDR
AGRICULTURE
© CPC, Micka Perier
The project’s activities are directed toward improving the
groups’ production and, downstream, marketing professionalism.
and value in the international marketplace, assist CPC in
becoming a viable and autonomous enterprise with services paid at cost.
CNCL component:
Institutional benefits:
The project aims at sustaining the CPC and enhancing
CNCL’s viability. The CNCL will group the sector’s
agents, especially family farmers and promote the implementation of coffee sub-sector policy by the Lao Government favourable to small producers by improving coffee
promotion and capitalizing on experiences, particularly
those of the CPC.
The project supports CNCL’s development as a platform for
national discussions between the sector’s agents to:
(i) Facilitate concerted elaboration and execution of a sector strategy;
(ii) Increase the share of Lao coffee on the world market
through a unified and efficient marketing approach and impose Laos as producing country;
(iii) Introduce sustainable financing methods to highlight
Lao coffee, such as the establishment and follow-up of
« Bolaven Coffee » Geographic Indication, access to niche
markets, outlining of export norms and standards; and
(iv) Capacity building of the Government for better support
to export sectors.
IMPACT
Economic benefits:
The project will endeavor to improve Lao coffee’s image
KEY INFORMATION
Social benefits:
At the CPC level, expected benefits are the strengthened
appropriation of the structure by its members. At the sector level, the establishment of an inter-profession structure in which all agents are equitably represented is expected.
Environmental benefits:
Expected benefits include the continued promotion of
organic agriculture by CPC and CNCL’s ability to disseminate new practices that are more respectful of the
environment, particularly by meeting requirements in
agronomic research.
CONTACT
FINANCIAL TOOL : grant to the Ministry of
Agriculture and Forestry
AMOUNT: 1,46 M€ of which AFD (1.2 M€)
CPC (0.2 M€) and GoL (0.06 M€)
PARTNERS: CPC, GoL
PRESS CONTACT
Paul BELCHI, AFD Vien/ane
[email protected]
DATE ALLOCATION: 12/05/2010-30/06/2015
Laos.afd.fr
CLA 1056