Full Stream Coffee Farmers Empowerment Program in Rural Areas

We believe in increasing farmers' wellbeing by increasing their knowledge about crops handling and applying direct fair trade principles

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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

Narakopi

Year founded

2016

Initiative stage

  • Growth (the pilot has already launched and is starting to expand)

Annual budget in 2017 (USD)

  • $1k - $10k

Number of beneficiaries impacted so far

  • 10 - 50

Organization type

  • Social enterprise

Secondary Focus Area

  • Nutrition

Headquarters location: Country

  • Indonesia

Headquarters location: City

Bekasi

Location(s) of impact

Indonesia: Desa Dewata, Desa Minanga

Website

http://narashakti.org/narakopi/

Problem: What problem is this initiative trying to address?

Isolation from information and marketing access are the main problem that we try to solve. In the rural areas in Indonesia with limited infrastructure, information and marketing access play significant roles to develop the social and economic aspect in the community. Without them, it'd be hard for them to increase their capability and be more independent to manage their own crops and commodity. We believe the only way to solve poverty in the underdeveloped rural areas is by having the same opportunity to be connected.

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

We believe education is the most powerful weapon, so it is very essential to equip farmers with information that they need to improve their coffee quality, thus, we create farmers facilitating program. In the future we want to collaborate with government and academics to create a full stream system that would be more efficient and effective.
With the lack of marketing access, there's high dependency between farmers and middlemen. The most common problem is the uncertain price. Therefore, together with farmers, we created more transparent, consistent, and democratic pricing scheme.
In addition, by marketing it as single farming coffee, we believe it could level up the coffee and provide customer with unique characteristic along with high traceability and credibility coffee.

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

More advantageous and democratic pricing scheme and applying direct fair trade principle to enhance farmers wellbeing. Farmers could increase their quality of coffee beans and double up their earning by applying best practice with our pricing scheme.
Increasing the farmers’ capability to manage their own crops by endorsing the role of community cooperation.
Increasing public awareness of Dewata and Minanga Village as reputable coffee producers in Indonesia.

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

Here's the detail of our financial source up until know:
1. Individual donations or gift: 64%
2. Loan: 4%
3. Earned income: 32%

For the long term, we plan to split up our activities into two upstream activities that more focus on creating social impact and downstream activities that more focus on business unit. With each category, we try to find more suitable funding. So, for upstream activities we try to seek grants, donations, and corporate contributions and for downstream activities, we seek for loans and investments. With our growing sales, we are confident that we wouldn't rely solely on outside help to support us financially.

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

We're working on full stream process, we're directly assisting farmers and also helping them to find market access. This concept isn't new but still in Indonesia there aren't many to do this. We plan to collaborate with academics and local startup to involve fitted technology to improve and optimise the quality and quantity of coffee beans harvesting.

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

After being community facilitators in both villages for approximately one year, we observed the problem that occur in Minanga and Dewata Village. Sulawesi is one of the largest coffee producing province in Indonesia with internationally renowned Toraja coffee variety. But unfortunately compare to the agricultural potential, coffee farmers are still living in substandard condition. The common problem are the difficulty of marketing because the distribution is dominated by middlemen and the lack of information access. Looking at the economic value and the increasing demand locally and internationally, we saw high potential and we were driven to be a part of solution by opening market and information access as wide as possible to improve the quality of coffee and applying fair trade principles and promote them by applying the concept of single farming.

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

  • Social media

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