Peru Cacao Alliance Phase II Quarterly Progress Report: Year 4 (April – June 2020)

The Peruvian government declared a state of sanitary emergency on March 16, which included a quarantine order that was still in force in 3 of the 4 regions where PCA was active. As a result, all team members worked remotely, and the organization held regular internal meetings and meetings with partners to develop alternative strategies to reach producers. The PCA was able to organize online conferences, including the Hablemos de cacao series, and provided remote technical assistance to producers through telephone calls and WhatsApp messages. However, the organization was unable to meet its quarterly goals as set forth in the Year 4 Annual Work Plan due to the limitations on in-person activities. Despite these challenges, the PCA continued to support its member organizations and producers, and made significant progress in facilitating market access and promoting differentiated cacao products. The PCA facilitated purchase agreements with 32 end buyers, including ICAM, PRONATEC AG, and Compañía Nacional de Chocolate, among others. The organization also assisted in the sale of 2,275.7 MTs of cacao, with 1,594 MTs being organic and 738.7 MTs being conventionally grown. The average premium over the NYSE cacao price was $416, and the average price for organic cacao beans was $2,721/MT. The PCA also made significant progress in addressing the standstill due to COVID-19. The organization provided technical assistance through the "Passion for Cacao" radio program, which focused on harvest and post-harvest processes for cacao. The PCA also supported its SCMs and producer organizations in navigating the process of requesting and receiving government authorization to access cacao-farming areas. In addition, the PCA implemented innovative capacity-building initiatives to address the needs of its SCMs and farmers. The organization hosted remote trainings using online platforms such as Zoom, Facebook, and Google Meet, covering topics such as biosecurity, harvest and post-harvest processes, and how these efforts improve product quality. The trainings reached a total of 235 participants, including 161 men and 74 women. The PCA also revised the Good Manufacturing Practices (GMP) Manual and the Hygiene and Sanitation Plan (HSP) developed by Cooperativa Agroindustrial CP CACAO. The organization will validate the efficacy of these manuals once it is able to visit the cooperative in person. The PCA is also working with the PCA communications team on a general GMP and HSP guide for SCMs. The PCA's efforts to address the challenges posed by the COVID-19 pandemic have been significant, and the organization continues to make progress in facilitating market access and promoting differentiated cacao products. The PCA's commitment to supporting its member organizations and producers has been essential in ensuring the continued success of the cacao value chain in Peru.