“Apoyamos” – strengthening small rural producers and cooperative networks

Dealing with difficult starting situations for small rural producers

Small producers who are members of associations seeking formalisation or existing cooperatives in rural areas face a number of challenges. The poverty rate among people in rural areas is often high, as there is little access and few opportunities to generate reliable income from their own products. Organisations must therefore be supported to create decent living conditions for themselves, their members and their families. Women and youth are particularly affected by this situation. Creating opportunities in rural areas is very important to counteract the exodus to the cities.

This is where “Apoyamos” comes in: At the beginning of the project, an analysis of the various actors in the project region is carried out and the participating organisations are selected. They are then supported for a period of three years with targeted, needs-based advice, first to strengthen their own organisation and then to network with other organisations in their territory.

Strengthening the organisations and building Networks

With the help of a diagnostic tool developed by the DGRV (SEC), the advisors determine the state of development of the organisations in various dimensions (organisational and associative, product, technical, commercial, relationship and communications, social and environmental). On the basis of this initial diagnosis, the organisations can be classified according to their level of development, the need for advice is defined and a corresponding action plan is drawn up to specifically address the needs with training, technical assistance and training courses. This involves working with MyCoop, a training programme to strengthen the management of agricultural cooperatives, developed in the framework of a partnership between the International Labour Organisation (ILO) and other organisations. An important component of “Apoyamos” is the work of building trust or cohesion of the people who make up the organisation and training in Financial Education with a rural focus: personal, family, business. Financial inclusion and, for example, access to microcredits are also addressed. Depending on the topic, seminars are given by project staff or by external consultants if there is a need for training on specific technical topics Progress is continuously monitored using the SEC tool.

If organisations have improved one or more stages in terms of organisational maturity, the next step is to support the creation of networks that follow the principles and values of the cooperative system and work together, e.g. to improve their productivity and competitiveness. The respective networks can be of regional nature (e.g. rural tourism, organisation of farmers’ markets) or aim at improving integration in value chains. The methodology developed locally in Medellín by the Colombian umbrella organisation of cooperatives CONFECOOP Antioquia and adapted by ‘Apoyamos’ to work with the networks comprises several modules, starting with the analysis of the project region, confidence building, the creation of business plans and business models using the CANVAS method and finally the construction of a larger network consisting of several smaller networks: a network of networks. The overall objective is to strengthen the economy for the common good and to sustainably improve the economic situation in vulnerable regions.

Strengths of the approach

At the end of the three-year project period, individual organisations should have reached a higher level of organisational maturity and be integrated into a network. In addition to strengthening the independence of the organisations and networks, sustainability is to be achieved by cooperating closely with allies and partners in the environment throughout the project phase to exploit synergies. These can be found at the municipal level (departments of agriculture with their own advisors) or in regional administrations or ministries or are often local chambers of commerce or universities that want to identify significant work in rural areas as part of their work with the environment (‘outreach’).

The implementation of the training programmes and individual modules of the approach, which are fully documented and supported with formats for practical work, ensures a certain degree of standardisation, which means that “Apoyamos” can also be used in other project countries after country-specific adaptations, which is one of the strengths of the approach, in addition to the systematic monitoring of progress.

Colombia: creating a corporate identity and strengthening market position

In Colombia, “Apoyamos” is being implemented by the DGRV together with its partner organisation Fundación CFA in the department of Antioquia. Two phases have been carried out so far and the third phase will be implemented between 2023 and the end of 2025.

In this phase, work is being carried out with the “Asociación Café Especial Ribera del Cauca”. It is made up of 17 members, including natural and legal persons, and is located in 8 municipalities in the western part of the department of Antioquia. Four women and two young people are part of the organisation. The main objective of the Association is to further develop its own brand of roasted coffee. Previously, all members produced and marketed their coffee individually, so the creation of a joint production plant in the municipality of Santa Fe de Antioquia, which was inaugurated in December 2023, was a great success.

By participating in “Apoyamos” and receiving support and advice from project staff, members were able to identify their capacities and opportunities for optimisation. As a result, the association has been able to make significant progress and create a corporate identity, elaborate internal rules and develop its entrepreneurial business model. It has strengthened its regional profile, representing the coffee specialities of the 17 members of the association. Joint efforts are now focused on strengthening internal processes. The marketing of speciality coffees will be improved to ensure fair and equitable prices for producers. Internal processes will also be improved to strengthen the market position in Western Antioquia.

Perspectives in Peru

In Peru, the DGRV has been working with agricultural cooperatives since 2022. Work with the “Apoyamos” approach will begin in January 2025. The special feature here is that the cooperatives to be worked with are already part of an existing and established network, the central cooperative Central Agroandina del Perú (CAAP). The associated cooperatives are involved in the cultivation of Andean grains and the breeding of alpacas. Other products include other varieties of fruit and vegetables, such as strawberries and giant corn. The project staff will therefore have more specialised profiles, to be defined according to the advisory needs identified in the initial diagnosis. Some of CAAP’s member cooperatives are located far from each other, sometimes many hours away, which can make cooperation at the central cooperative difficult in some cases such as in the context of joint purchases. CAAP already sells products from member cooperatives under the CAAPFOOD brand. In this sense, the aim is to institutionally strengthen and expand the services that the head office provides to its member cooperatives to help them achieve financial independence. The “Apoyamos”- approach will be further developed and complemented by working modules on the networks.