UNICAFEC - Asociacion Union de Cafetaleros Ecologicos
Unicafec is a small cooperative with 368 members which is based in the small town of San Ignacio in Northern Peru on the border with Ecuador. San Ignacio has no bank and regularly experiences problems with its water and electricity supply.
The nearest commercial centre is three hours away by roads that are impassable when it rains. The town is dominated by the coffee trade and various multinationals, and small farmer organisations are based in the town along with the constant presence of middle men. These players create a fiercely competitive market.
As a response Unicafec was founded in 2001 by smallholder farmers that were interested in improving the quality of their coffee and exporting their coffee directly in order to secure better prices. Unicafec has been exporting since 2004 and Fairtrade certified since 2005.
Following the emergence of large secondary cooperatives selling Fairtrade coffee to major brands and supermarkets we refocused our efforts on Unicafec and bought our first container in 2007.
High Coffee Prices
Recent high prices have threatened the sustainability of a number of Peruvian cooperatives as pre-financing becomes scarce and allows middle men to re-assert their power. So far Unicafec members have remained loyal, perhaps recognising the added value of the services offered by their co-operative.
Fairtrade Premium
Recently, Unicafec bought land, partly paid for with Fairtrade premiums, and build its first commercial base, an office, warehouse and wet mill. Technical help was provided to maintain organic and Fairtrade certification and secondary payments were also made to farmers from premiums.
Additional Premium
We continue to support Peruvian cooperatives through payment of an additional partnership programme. Unicafec benefitted in 2010 from specific financial training to key staff and Board new members.
Services provided to members
In 2006 Unicafec established a sustainable revolving fund to provide organic fertilisers to its members to tackle productivity, soil erosion and develop coffee diseases controls. Organic fertilisers are provided to members as annual loans known internally as “credi-abonos”. Farmers pay 1% interest per month when receiving a “credi-abono” and make the commitment to return the loan (with coffee) to the organisation in the next season. The scheme also provides technical support for soil management.
Key results of the programme:
- Increase in productivity - from 12qq per hectare on average in 2006 to 25 qq per hectare in 2009
- Expansion of services to members –From 40 members in 2006 to 220 members currently
Value of fund today $80,000 USD - The fund initiated with $56,000 USD investment from different sources including Fairtrade premium, the Peruvian Coffee Network, Pro Santuario (local charity) and the Regional Environmental programme.
Coffee from women farmers
Our 2011 crop coffee is bought from 68 UNICAFEC women farmers, organised as UMPROEC “Unión de Mujeres Productoras Ecológicas” (Union of Ecological women producers).
Unicafec is actively promoting women’s participation in the cooperative by offering free membership to women farmers and additional leadership, self esteem, gender focus, and food security training.
We have agreed an additional $0.05 cent/lb premium which will support a programme for housing improvement. Members housing is poor; often cramped and single roomed with poor sanitation. Diarrhoea and parasite problems are common, as are respiratory problems arising from the ever present wood smoke.
This additional premium will, with members own funds implement new wells, toilets and more effective smoke free stoves as well a health awareness training programme.
