East Bali Cashews

Our for-profit social enterprise creates sustainable employment, bridges direct access to education & develops impoverished communities

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I confirm that I am fully aware of the eligibility criteria, and based on its description, I am eligible to apply to the CSV Prize 2017.

  • Yes, I'm eligible

Preferred language

  • English

Organization name

East Bali Cashews

Year founded

2012

Initiative stage

  • Established (the solution has passed the previous stages and demonstrated success)

Annual budget in 2017 (USD)

  • $1mil - $5mil

Number of beneficiaries impacted so far

  • 1,000 - 5,000

Organization type

  • Social enterprise

Secondary Focus Area

  • Nutrition

Headquarters location: Country

  • Indonesia

Headquarters location: City

Denpasar

Location(s) of impact

Indonesia: Desa Ban & surrounding villages

Website

www.eastbalicashews.com

Facebook URL

https://www.facebook.com/EastBaliCashews/

Twitter URL

https://twitter.com/eastbalicashews

Problem: What problem is this initiative trying to address?

Villages in East Bali rely on cashew yields and livestock to make ends meet. Unemployment is high, education neglected or unavailable and poverty related healthcare issues are common, mostly due to lack of economic means and support. Smallholder Cashew farmers sell nuts at low prices to traders who directly export to Vietnam or India for processing. This takes away value addition, potential employment and income for families from the area. Without sustainable economic development, these communities are left behind.

Solution Summary: What is the proposed solution? What do you see as its most promising aspects for creating shared value?

By offering well-paid jobs in an impoverished area where work is scarce, East Bali Cashews empowers the local villagers to lift themselves out of poverty. EBC as the first vertically integrated Cashew processing business in Indonesia keeps previously “exported” employment opportunities in the area. Farmers and employees thus escape poverty and receive access to education and healthcare services that also improve the lives of future generations and overall community development in sustainable manners. Early on in 2012 we built a pre-school at our factory where we combine education and nutrition, our preschool is the first in the region and serves employee's and others' children as a head start in life. Our farmer extension programs allow farmers in the area to improve their efficiencies and raise incomes for their families. Economic development serves as the fundament for affordable education that in return will ensure long-term employment opportunities and community improvement

Impact: What is the impact of the work to date? Specify both the social and the environmental impact of your work

EBC has given employment to more than 400 villagers in either direct production of gourmet cashew products or facilitating and supporting processes. 85% of these jobs are filled by previously unemployed local women who now have a personal source of income and access to education and professional development. Paying higher wages enables families to send children to our preschool and follow secondary education. We have been able to enroll more than 70 children and additional funding for our scholarship program for higher education has started.
More than 50 farmers now grow different crops in off season to increase incomes and build resilience.
EBC set up 13 Village Drying Centers, where smallholder famers become entrepreneurs, add value to the supply chain themselves and increased family incomes more than 30%. Abandoning follis fuel for power oven and steaming protects the environment all & water used for production is filtered and either directly reused or cleanly released to nature.

Financial sustainability plan: How is this initiative financially supported? How will you ensure its financial sustainability long-term?

EBC is still 100% equity financed but own sales revenue now account to approx. 40% of the annual budget.
East Bali Cashews received its initial financial support from private investors. In its current stage, the company receives further contributions from its investors and generates continuously growing income from international and domestic sales of gourmet cashew products. With the planned international market intensification ahead, steady product development and domestic penetration, sales income is forecasted to increase on a year-on-year basis by almost 90% in 2018. Sales profits are being invested into EBC’s operational expansion, which functions as the basis for creation of employment and community development.

Unique value proposition: What makes your initiative innovative? How does your project differ from other organizations working in the same field?

East Bali Cashews combats symptoms of rural poverty through long-term oriented employment opportunities at our full vertically. At the same time, we tackle the root cause by empowering communities and its individuals through access to educational initiatives that ensure recurring social innovation and economic development in the future.

Founding story: Share a story about the "Aha!" moment that sparked the beginning of this initiative.

In 2012, Aaron Fishman, East Bali Cashews’ Founder and CEO travelled to rural East Bali as a healthcare volunteer. He was astonished by the breathtaking beauty of the region. The volcanoes, dense jungle and rugged hillsides are home to a rich, complex culture and a vibrant community. Yet, Aaron discovered that behind the beauty, East Bali is an impoverished region of cashew farmers where education and access to healthcare are lacking and employment opportunities for women are rare. Farmers sold raw cashews to traders who shipped them overseas for processing. The social entrepreneur in Aaron saw an opportunity for a powerful venture that would bring livelihood and educational opportunities to the region. Partnering up with Nyoman Sudiarta and Made Sudarma, from the local community of Desa Ban, the first vertically integrated cashew processing business in Indonesia was born

Where did you hear about the Nestlé Creating Shared Value Prize?

  • Nestlé page or contact

Evaluation results

2 evaluations so far

1. Overall evaluation

5 - This idea rocked my world. It’s awesome! - 0%

4 - This idea seems really exciting. With a little more polishing, it’d be among my favorites. - 50%

3 - I think the idea is great, but it needs some work before it moves onto the next round. - 50%

2 - I liked it fine but preferred others. - 0%

1 - It didn’t make my heart beat faster. Needs significant revisions. - 0%

2. Innovation

5 - Absolutely, 100%! - 0%

4 - I feel really good about this - very promising - 0%

3 - This has some good elements and some areas for development - 50%

2 - This doesn’t inspire me so much - 50%

1 - This entry is weak here - 0%

3. Social and/or Environmental Impact

5 - Absolutely, 100%! - 0%

4 - I feel really good about this - very promising - 100%

3 - This has some good elements and some areas for development - 0%

2 - This doesn’t inspire me so much - 0%

1 - This entry is weak here - 0%

4. Financial sustainability

5 - Absolutely, 100%! - 0%

4 - I feel really good about this - very promising - 100%

3 - This has some good elements and some areas for development - 100%

2 - This doesn’t inspire me so much - 0%

1 - This entry is weak here - 0%

Nothing stands out! I thought it was great. - 0%

5. Potential to Scale / Replicability

5 - Absolutely, 100%! - 0%

4 - I feel really good about this - very promising - 0%

3 - This has some good elements and some areas for development - 100%

2 - This doesn’t inspire me so much - 0%

1 - This entry is weak here - 0%

6. Organizational Leadership

5 - Absolutely, 100%! - 0%

4 - I feel really good about this - very promising - 0%

3 - This has some good elements and some areas for development - 100%

2 - This doesn’t inspire me so much - 0%

1 - This entry is weak here - 0%

7. Potential for Creating Shared Value

5 - Absolutely, 100%! - 0%

4 - I feel really good about this - very promising - 100%

3 - This has some good elements and some areas for development - 0%

2 - This doesn’t inspire me so much - 0%

1 - This entry is weak here - 0%

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