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INTRODUCTION OF AYITIKA
AGENDA
Cocoa Sector
• Worldwide Trend
• Opportunity for Haiti
Issues and
Solution
• Problems for Haiti Cocoa Production
• Proposed Solution
Sustainability
• Ayitika’s Vision: Sector Development
• Collaboration with Ministry of Finance (Taiwan ICDF)
WORLDWIDE COCOA MARKET TRENDS
 Shortage of supply
4.00
4.25
4.50
4.75
5.00
5.25
5.50
2014 2015 2016 2017 2018 2019 2020 2021 2022
MillionsTonnesCacaoMarchand
Demande
Offre
3%/an
1%/an
- New cocoa consumers arising.
- African countries are producing
almost at full capacity.
- Big gap between supply and
demand.
- Main buyers investing to get
higher yield
Cocoa
Sector
Issues &
Solution
Sustaina
bility
WORLDWIDE COCOA MARKET TRENDS
 African trees either more than 60 years old and/or suffering from diseases
0
200
400
600
800
1 000
1 200
1 400
1 600'000tonnescacao
Années
Evolution des productions dans les principaux pays producteurs
Côte d'Ivoire
Cameroun
Ghana
Nigéria
Brésil
Equateur
Indonésie
Malaisie
Decreasing
production
WORLDWIDE COCOA MARKET TRENDS
 Price of fermented cocoa is going up
 37 % increase in 2014
The market price trend positive
Cocoa
Sector
Issues &
Solution
Sustaina
bility
WORLDWIDE COCOA MARKET TRENDS
 Demand for sustainable cocoa is increasing.
 EU show its concerns about the lack of good practices
 Holland have as a target to have 100 % of sustainable cocoa by 2025 (consumes 25 % of worldwide cocoa
production)
 Germany is strongly committed to improve the production of sustainable cocoa
 Private companies aiming 100 % of sustainable cocoa purchase by 2020
Cocoa
Sector
Issues &
Solution
Sustaina
bility
OPPORTUNITIES FOR HAITI IN THE COCOA BUSINESS
 Genetic varietal heritage of high quality cocoa if fermented [*]
 All the three main types of cocoa: Forastero (Low quality), Criollo and Trinitario are present in Haiti
CRIOLLO TRINITARIOTRINITARIO
Cocoa
Sector
Issues &
Solution
Sustaina
bility
OPPORTUNITIES FOR HAITI IN THE COCOA BUSINESS
 New players go for fermented cocoa in niche markets
 Fine and aromatic/fermented cocoa counts around 5% of the total cocoa production
7 out of the 17 fine
production countries are
located in the Caribbean
area.
Cocoa
Sector
Issues &
Solution
Sustaina
bility
OPPORTUNITIES FOR HAITI IN THE COCOA BUSINESS
 High production potentials and profitability of fermented cocoa
 Production can be multiplied by 4 within 10 years. With the fermentation of cocoa the farmers
can earn three times the average annual income
 Farmers can get between $3,000 to $8,000 per year
 Revenues estimated to be around $ 2,000 to $ 6,000 per hectare annually
 40 years of expected production and minor maintenance fees annually
Cocoa
Sector
Issues &
Solution
Sustaina
bility
WORLD TRENDS
 Shortage in supply
HAITIAN OPPORTUNITY
 Haiti can produce 4 times more, upto
20,000 tn/year within 10 years
Fit
 African trees outdated with
deseases
 Young trees, no diseases found in Haitian
cocoa trees
Fit
 Market price for fermented
cocoa going up
 Need for more income in Haitian households.
Higher price + higher production = higher income
Fit
 Increase in demand for
organic and fairtrade certified
cocoa
 Haiti has the opportunity to set up its
production with organic and fairtrade certified
cocoa
Fit
Cocoa
Sector
Issues &
Solution
Sustaina
bility
PROPOSED COCOA BUSINESS MODEL
MarketPrice
Selling Date
PROPOSED COCOA BUSINESS MODEL
MarketPrice
Selling Date
- Organized plantation in
cocoa ecosystem, with variety
control (traceability) and
higher yield
- Optimized central
unit to leverage out
the costs
- Fermentation process
brings Haitian flavor
- Awards to farmers
base on transparent
market price
SOCIAL/ENVIRONMENTAL/ECONOMIC IMPACT
Increase revenue
of the farmers
Increase quality
of the product
Teaches farmers
the best
techniques
In profitable
years, farmers
get extra
rewards
Contribute to the
planet
Contribute to
Haitian brand
awareness
Protection
mountains from
erosion
Build consciousness
with the natural
resources of the area
Cocoa
Sector
Issues &
Solution
Sustaina
bility
ONGOING PROJECTS FOR AYITIKA
 COCOA production and sector development
 Support farmers in order to be able to crop cocoa in an efficient way. Investment needed $4200 /hectare
(aprox. 250 households willing to start cropping cocoa around 80 hectare just in Moreau)
 Technical assistance in order to successfully implement the business model
 Ayitika is a Social Enterprise who searches for its own credit lines through financial institutions
 Ayitika will provide services to the farmer such as technical support and selling the seedlings of the plants.
Cocoa
Sector
Issues &
Solution
Sustaina
bility
 Knowledge center: platform of cocoa
 Project in planning phase (400m2 land) with approx. total construction and initial running expenses at
around $300,000
 Collaboration project in the development of the knowledge center
 Laboratory of quality control
 Hub of cocoa for producers of cacao in Latin America
 Education center for farmers about the system agroforestry, PHD students (investigation), technical,
environmental awareness
 Hold conferences about cocoa to bring knowledge in the island
 Agro-tourism in Moreau (area protected by UNESCO)
 Area with rich natural resources
 Possibility to provide job for locals in the tourism sector
 Creating local awareness of the values of the area
ONGOING PROJECTS FOR AYITIKA Cocoa
Sector
Issues &
Solution
Sustaina
bility
 Investment needed to start up the cocoa production.
 US $200,000
 Land preparation and purchase
 Fermentation area (1 hectare)
DISCUSSION IN FINANCING OF THE AYITIKACocoa
Sector
Issues &
Solution
Sustaina
bility
謝謝
Merci Beaucoup
Mesi Bokou
Thank You
Moltes Gracies

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Ayitika - Presentation ministry of comerce - July 27

  • 2. AGENDA Cocoa Sector • Worldwide Trend • Opportunity for Haiti Issues and Solution • Problems for Haiti Cocoa Production • Proposed Solution Sustainability • Ayitika’s Vision: Sector Development • Collaboration with Ministry of Finance (Taiwan ICDF)
  • 3. WORLDWIDE COCOA MARKET TRENDS  Shortage of supply 4.00 4.25 4.50 4.75 5.00 5.25 5.50 2014 2015 2016 2017 2018 2019 2020 2021 2022 MillionsTonnesCacaoMarchand Demande Offre 3%/an 1%/an - New cocoa consumers arising. - African countries are producing almost at full capacity. - Big gap between supply and demand. - Main buyers investing to get higher yield Cocoa Sector Issues & Solution Sustaina bility
  • 4. WORLDWIDE COCOA MARKET TRENDS  African trees either more than 60 years old and/or suffering from diseases 0 200 400 600 800 1 000 1 200 1 400 1 600'000tonnescacao Années Evolution des productions dans les principaux pays producteurs Côte d'Ivoire Cameroun Ghana Nigéria Brésil Equateur Indonésie Malaisie Decreasing production
  • 5. WORLDWIDE COCOA MARKET TRENDS  Price of fermented cocoa is going up  37 % increase in 2014 The market price trend positive Cocoa Sector Issues & Solution Sustaina bility
  • 6. WORLDWIDE COCOA MARKET TRENDS  Demand for sustainable cocoa is increasing.  EU show its concerns about the lack of good practices  Holland have as a target to have 100 % of sustainable cocoa by 2025 (consumes 25 % of worldwide cocoa production)  Germany is strongly committed to improve the production of sustainable cocoa  Private companies aiming 100 % of sustainable cocoa purchase by 2020 Cocoa Sector Issues & Solution Sustaina bility
  • 7. OPPORTUNITIES FOR HAITI IN THE COCOA BUSINESS  Genetic varietal heritage of high quality cocoa if fermented [*]  All the three main types of cocoa: Forastero (Low quality), Criollo and Trinitario are present in Haiti CRIOLLO TRINITARIOTRINITARIO Cocoa Sector Issues & Solution Sustaina bility
  • 8. OPPORTUNITIES FOR HAITI IN THE COCOA BUSINESS  New players go for fermented cocoa in niche markets  Fine and aromatic/fermented cocoa counts around 5% of the total cocoa production 7 out of the 17 fine production countries are located in the Caribbean area. Cocoa Sector Issues & Solution Sustaina bility
  • 9. OPPORTUNITIES FOR HAITI IN THE COCOA BUSINESS  High production potentials and profitability of fermented cocoa  Production can be multiplied by 4 within 10 years. With the fermentation of cocoa the farmers can earn three times the average annual income  Farmers can get between $3,000 to $8,000 per year  Revenues estimated to be around $ 2,000 to $ 6,000 per hectare annually  40 years of expected production and minor maintenance fees annually Cocoa Sector Issues & Solution Sustaina bility
  • 10. WORLD TRENDS  Shortage in supply HAITIAN OPPORTUNITY  Haiti can produce 4 times more, upto 20,000 tn/year within 10 years Fit  African trees outdated with deseases  Young trees, no diseases found in Haitian cocoa trees Fit  Market price for fermented cocoa going up  Need for more income in Haitian households. Higher price + higher production = higher income Fit  Increase in demand for organic and fairtrade certified cocoa  Haiti has the opportunity to set up its production with organic and fairtrade certified cocoa Fit Cocoa Sector Issues & Solution Sustaina bility
  • 11. PROPOSED COCOA BUSINESS MODEL MarketPrice Selling Date
  • 12. PROPOSED COCOA BUSINESS MODEL MarketPrice Selling Date - Organized plantation in cocoa ecosystem, with variety control (traceability) and higher yield - Optimized central unit to leverage out the costs - Fermentation process brings Haitian flavor - Awards to farmers base on transparent market price
  • 13. SOCIAL/ENVIRONMENTAL/ECONOMIC IMPACT Increase revenue of the farmers Increase quality of the product Teaches farmers the best techniques In profitable years, farmers get extra rewards Contribute to the planet Contribute to Haitian brand awareness Protection mountains from erosion Build consciousness with the natural resources of the area Cocoa Sector Issues & Solution Sustaina bility
  • 14. ONGOING PROJECTS FOR AYITIKA  COCOA production and sector development  Support farmers in order to be able to crop cocoa in an efficient way. Investment needed $4200 /hectare (aprox. 250 households willing to start cropping cocoa around 80 hectare just in Moreau)  Technical assistance in order to successfully implement the business model  Ayitika is a Social Enterprise who searches for its own credit lines through financial institutions  Ayitika will provide services to the farmer such as technical support and selling the seedlings of the plants. Cocoa Sector Issues & Solution Sustaina bility
  • 15.  Knowledge center: platform of cocoa  Project in planning phase (400m2 land) with approx. total construction and initial running expenses at around $300,000  Collaboration project in the development of the knowledge center  Laboratory of quality control  Hub of cocoa for producers of cacao in Latin America  Education center for farmers about the system agroforestry, PHD students (investigation), technical, environmental awareness  Hold conferences about cocoa to bring knowledge in the island  Agro-tourism in Moreau (area protected by UNESCO)  Area with rich natural resources  Possibility to provide job for locals in the tourism sector  Creating local awareness of the values of the area ONGOING PROJECTS FOR AYITIKA Cocoa Sector Issues & Solution Sustaina bility
  • 16.  Investment needed to start up the cocoa production.  US $200,000  Land preparation and purchase  Fermentation area (1 hectare) DISCUSSION IN FINANCING OF THE AYITIKACocoa Sector Issues & Solution Sustaina bility

Editor's Notes

  1. Forateros Trinitarios Criollos
  2. Forateros Trinitarios Criollos
  3. Forateros Trinitarios Criollos
  4. Forateros Trinitarios Criollos
  5. Ayitika has already been supported by kolfaci (KOREA) $20,000 year