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Fair for Life and Hand in Hand Summary Report 2019
Fair for Life and Hand in Hand Summary Report
2019
Fair for Life and Hand in Hand Summary Report 2019 1
CONTENTS
INTRODUCTION 2
PROYECT #5 11 QUEVEDO AREA: Quevedo producers association Project results 11 Impact generated
SUMMARY 12 ANNEX I 13
PROYECT #1 5 VICHE AREA: Workers association Viche’s Mill (Extranatu) Project results 5
PROYECT #2 6 QUININDÉ AREA: Soil and foliar analysis Project results 7 Impact generated
PROYECT #3 8 VICHE AREA: Viche producers association Project results 8 Impact generated
PROYECT #4 9 MOMPICHE AREA: Construction of children’s play area Project results 10 Impact generated
Fair for Life and Hand in Hand Summary Report 2019 2
INTRODUCTION
Extranatu is strongly committed to community development and social responsibility. The company is certified with the Fair for Life and Hand in Hand standards, which aim to improve the market access and better the living conditions of smallholder producers and workers on agricultural farms. In order to achieve this goal, both labeling initiatives provide several practical mechanisms. One of them is the Development Premium that is intended to finance sustainable social community projects. The Premium is paid in addition
to the sales price by Fair Trade buyers and administrated separately in a special fund. The premium money is only used for the investment in social, environmental or economic development projects.
Fair for Life and Hand in Hand Summary Report 2019 3
The sale of FFL certified products to Natural Habitats customers began in 2014. Development funds started to be used as of 2016.
In 2019, $ 80.463,75 were collected, ($ 56.314,99 from the FFL premium and $ 24. 148,76 HiH premium) which were distributed among five associations. As in other areas, the distribution was in accordance with the number of members per association. Starting in 2016, several FFL projects have already been implemented.
- In 2014, $ 46,360.35 was added to the FFL development account.
- In 2015, the accumulated balance
was $ 142,781.50 - In 2016, the accumulated balance
was $ 232,282.52 - In 2017, the accumulated balance
was $ 322,632.28 - In 2018, the accumulated balance - was $ 417.498,58. - From October 2018 to 31st August
2019 the total accumulated balance
The distribution of FFL funds was made according to the standard, a process that was audited and approved by the certification agency. The following distribution method was decided:
• 10% of the total for the association of workers of the company Extranatu).
• The remaining 90% is distributed among the associations of producers according to the number of members that each association has.
Fair for Life and Hand in Hand Summary Report 2019 4
Funds invested per association Since October 1st 2017, Natural Habitats developed the first traceability report from the FFL accounts from each association. The table below summarises the remaining funds for each association at the end of 2018 and new available balance with consideration of funds collected in 2019.
2016 Balance 2017 Balance 2018 Balance
Worker’s Association $ 28.226,82 $ 2.481,56 $ 16.004,60
Quinindé $ 139.722,75 $ 118.818,88 $ 192.300,90
Viche $ 55.889,10 $ 12.908,20 $ 10.608,61
Mompiche $ 58.429,511 $ 15.984,37 $ 25.163,11
Since 2019 a new association has been made with the area of Quevedo, whom they deliver their fruit according to the FFL Standards. The share of funds for 2019 was distributed as it follows:
Association Number of members % Corresponding income Extranatu Workers n/a 10% $ 8.046,69 Quinindé 91 71% $ 57.306,40 Viche 2 2% $ 1.259,48 Mompiche 17 13% $ 10.705,59 Quevedo 5 4% $ 3.148,70
$ 80.466,86
The final decisions on the projects were made by the members of the associations. Finally, two projects were planned for this year. The summary of the proposed activities and the progress achieved is presented in the following pages.
Fair for Life and Hand in Hand Summary Report 2019 5
PROJECT # 1 WORKERS ASSOCIATION (EXTRANATU)
Funds Available: The workers association from Viche’s Mill (EXTRANATU) is the smallest among the other associations. They received 10% from the FFL fund and they are the only association that is not formed by farmers. The total of funds available for Viche’s Mill (EXTRANATU) in 2019 was USD $24.008,21.
Project Description: Since most of the operative workers of the mill live in the surroundings of the mill the use of the fund has contributed to improve the livelihoods of the community. The current project includes:
- Donation of construction materials for the community of Chaupara to build two bus stops in front of the “Republica de Panamá School”. The materials where already purchased. The construction will be conducted by the people of the community in the month of December.
- Donation of Paint and painting materials to the Health center of Majua Community.
- Donation Of a water dispenser for the “República de Panamá” community” - Construction Materials to improve the housing of eleven workers of
Extranatu.
Bennefitiaries
Men Women Boys Girls Total 78 45 35 43 201
Fair for Life and Hand in Hand Summary Report 2019 6
PROJECT # 2 QUININDÉ AREA SOIL AND FOLIAR ANALYSIS
Funds Available: The association of Quinindé is the biggest among the other farmers associations, with 91 members. The total amount of funds available for the farmers in 2019 was USD $ 245.628,10.
Project Description: This producer’s association presented a soil and foliar analysis and the purchase of organic fertilizers project that will help them to understand more their plantations, allowing them to create a better planning and increase the productivity of their plantations. The Extranatu Sourcing team is currently collecting samples from all the plantations with the participation of the farmers. The sampling will finish in the month of December 2019. The technicians of the sourcing team elaborate fertilization plans Based on the results of the analysis. Once all the fertilization plans are complete, will be socialized with the farmers, and a part of the required fertilizers will be purchased with the fare trade fund.
Fair for Life and Hand in Hand Summary Report 2019 7
Impact Generated The table below summarises the impact generated by Project #2, which was initiated by
Beneficiaries
Communities 50
Families 91
Project Results This project is part of plan that will help the farmers to increase their productivity, providing the farmers a more technical management from their plantations. The analysis that were carried out will help for the elaboration of a fertilization plan customised for each producer. This soil and foliar analysis will allow the farmers to manage better their plantations.
Fair for Life and Hand in Hand Summary Report 2019 8
PROJECT # 3 VICHE AREA
Funds Available: Viche association is the smallest among the other associations, currently has 2 members. The total amount of funds available for the farmers in 2019 was USD $11.861,35. Since September 2018, the workers association from Viche has not made use from the FFL fund. We are currently working to encourage this association to present viable projects.
Fair for Life and Hand in Hand Summary Report 2019 9
PROJECT # 4 MOMPICHE CONSTRUCTION OF CHILDREN'S PLAY AREA - Pueblo Nuevo
Funds Available The Mompiche association has increased its members, counting now with 17 associates. The total amount of funds available for the farmers in 2019 was USD $28.587,39.
Project Description The children's play area is intended to give to all the children and youth from the community a place to gather and where they can enjoy activities on an open and save space.
Fair for Life and Hand in Hand Summary Report 2019 10
Benefited
Communities 1
Women 40
Men 120
Children (Girls / Boys)
160 (70/90)
Total
Beneficiaries 320
Project Results This project has contributed to the well-being of the community. The playground has served as a safe space for children to play outside but also as a reunion point to all the inhabitants of the community with strengths the community feeling in Tres Vías
Impact Generated The table below summarises the impact generated by the Project #4, which was initiated by the producer’s association of Mompiche area.
Fair for Life and Hand in Hand Summary Report 2019 11
PROJECT # 5 QUEVEDO
Funds Available: The farmers from Quevedo joined the program in early 2019. During this period these farmers have gradually achieved all the certifications. The total of funds available for the farmers in 2019 was USD $3.148,70. The Quevedo association of producers is in the process of being formed, so it has not yet submitted any projects. A percentage of the fund has been assigned to them since they are certificated under the Fair for Life Standards and they are delivering certified fruit.
Fair for Life and Hand in Hand Summary Report 2019 12
SUMMARY In 2019, Natural Habitats supported four associations of farmers and welcomed Quevedo’s farmers association. Only two projects where developed that year:
Mompiche - Children’s play area Quinindé - Soil and foliar analysis
The areas of impact for the projects this year were social and support of smallholder farmers. The following tables show the total number of potential beneficiaries of the projects as well as the remaining funds available for each association for the next we months.
Benefited
Communities 51
Habitants 411
Women 40
Children 160
Remaning Funds Balance
Worker’s Association $ 11.935,62
Quinindé $ 243.933,45
Viche $ 11.861,35
Mompiche $ 28.587,39
Quevedo $ 3.148,70
Remaining Fund $ 299.466,51
Fair for Life and Hand in Hand Summary Report 2019 13
ANNEX I
Initial fund $ 24.051,29
Beneficiaries Detail Date amount
Administrative costs $ 43,077
Contruction materials for 11 workers and for two bus stops of Chaupara community. Painting material for the Majua Community. Water dispenser for the Chaupa School. Aug 2019 $ 12.072,59
Total Expenses: $ 12.115,66 Balance, 31 August 2019: $ 11.935,62
VICHE - Workers Association
Initial fund $ 249.607,30
Beneficiaries Detail Date Amount Farmers Last payment, 2018 project, enviromental
licences 21/11/2018 $ 360,00 Administrative cost $ 323,08 Farmers Soil & leaf analisis Aug 2019 $ 4990,77 Total expenses: $ 5.673,85 Balance 31 August: $ 243.933,45
QUININDÉ
Fair for Life and Hand in Hand Summary Report 2019 14
Initial fund $ 11.868,09
Beneficiaries Detail Date
descuento por transacciones en efectivo 6,742486957
Total expenses: $ - Balance 31 August 2019: $ 11.861,35
VICHE
Initial fund $ 35.868,70
Beneficiaries Detail Date Amount
Children playground 27/2/2019 $ 7.224,00
Total expenses: $ 7.281,31
Balance 31 August 2019: $ 28.587,39
MOMPICHE
Initial fund $ 3.148,70
Beneficiaries Detail Date Amount 0
Total expenses: $ - Balance 31 August 2019: $ 3.148,70
QUEVEDO
