| Fair Trade Chocolate Benefits Growers in Ivory Coast |
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The Ivory Coast is the world's largest cocoa producer
and exporter, generating 41% of the world supply.
Almost all Ivorian cocoa is grown by small farmers,
and it provides them with an important financial lifeline
in the midst of upheaval that the country has
experienced in recent years. In 1999, the Ivorian
government abandoned its system of internal price
controls for cocoa, and opened up the markets. This
initially led to predatory practices and reduced prices,
and in response, groups of farmers began to organize
cooperatives to sell and export their products jointly.
The Kavokiva farmers' cooperative was incorporated
in 1999, and five years later, it became the first in the
country to achieve Fair Trade certification. With high
quality cocoa and a good industry reputation for
reliability, Kavokiva has quickly grown its Fair Trade
sales. Root Capital recently loaned the cooperative
$250,000 to enable it to purchase more cocoa from
family farmers in the Sassandra region of western
Ivory Coast, to take advantage of this increased
demand.
Starbucks Coffee Company is a key partner for Root
Capital in ensuring sustainable supply chains for
coffee and cocoa. Starbucks has not only purchased
cocoa from the Kavokiva cooperative, but has worked
through its suppliers over the past years to implement
best practices and financial management systems at
Kavokiva, and provides loan capital for Root Capital's
cocoa portfolio. As Dennis Macray, the Director of
Business Practices for Starbucks stated, "We are
committed to purchasing cocoa that is produced and
traded in an ethical, transparent and sustainable
manner and our support to Root Capital is a critical
component in making that possible."
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| Supporting An Indigenous Permaculture in Ethiopia |
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All of Root Capital's agricultural clients
practice at
least some sustainable farming techniques, from
reforestation and soil conservation to
certified organic
farming, often as a way of reversing
productivity
declines resulting from adoption of modern
farming
practices. But the members of the Yirgacheffe Coffee Farmers Cooperative
Union, in the highlands of southern Ethiopia, don't need anyone to teach them about sustainability. Their coffee-- regarded by connoisseurs as one of the best in the world- is grown in a unique indigenous permaculture system that has sustained this land and its people for 5,000 years.
The coffee crop is native to Ethiopia, and as
a result its
cultivation has been integrated into indigenous
production systems for millenia. But it is in
the
mountainous Gedeo Zone, home to the Yirgacheffe
coffee appellation, that coffee farming has
become a
part of what has been called "the most durably
sustained land use system on the plant."
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| Helping Farmers in Tanzania While Protecting Chimpanzees |
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The Kigoma region in Northern Tanzania boasts
some of the most fertile soil in Africa, and its altitude
makes it perfect for growing high-quality, specialty
coffee. However, the region's farmers have been
hampered by their isolation, which makes it difficult to
learn about best practices, and have limited access to
water, a necessary ingredient in fermenting and de-
pulping the coffee beans. Farmers have to walk an
average of two kilometers to fetch water in local rivers,
and then carry it bucket by bucket. An innovative
partnership between Root Capital, Sustainable
Harvest, and the Jane Goodall Institute (JGI) aims to
change that, however.
With generous support from the Lemelson
Foundation, the three groups have teamed up for
the "Gombe Coffee Promotion Project," which will train
coffee farmers in the Kigoma region to process their
coffee with low water use eco-pulping technology,
resulting in coffee that will meet specialty coffee
standards-and can be sold internationally for a
premium, providing economic benefits to farmers and
an incentive for them to preserve the local
environment. Root Capital will provide long-term
loans to coffee producers in the Kigoma region (as
well as farmers in the Association of Kilimanjaro Specialty Coffee
Growers, or KILICAFE) to purchase
the more efficient coffee washing stations, resulting in
an 80% reduction in water consumption-a huge
environmental benefit in areas with water shortages,
not to mention a huge savings in labor for farmers.
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| Give a Holiday Gift that Counts |
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Starting to look around for holiday gift ideas? Please
consider giving your loved ones a present that is truly
meaningful and visit our profile on
ChangingthePresent.org. Root Capital
offers a variety
of possibilities that will speak to your family and
friends' unique interests while helping others. The
coffee devotee in your life will appreciate your gift to
support a women's coffee growing collaborative in
Nicaragua. Your beach-going friends will love your
donation in support of preserving ocean life in Mexico.
And don't forget carbon offsets for your jet-setting pals!
Once you select a gift, ChangingthePresent.org will
send a beautiful, personalized greeting card to
announce the donation in your own words. Gifts are
available in all price ranges, including stocking
stuffers. We appreciate your help in spreading the
holiday spirit by helping others.
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| NuWire Investor Ranks Root Capital #3 in Top Charities |
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This week, NuWire Investor, an online investment
magazine, released their list of the Top 15 Charities
for Investors. Root Capital ranked #3 on the list. Says
NuWire web editor Trenton Flock, "We chose our top
charities based on their effectiveness and how
tangibly the success of one's donation could be
measured. Root Capital's goal of helping rural
farmers take care of themselves, their communities,
and the habitat of their homes is so crucial. The
company does an excellent job of providing testimony
and showing the tangible results of their positive
involvement."
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Personal Perspectives |
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Gail Kaneb is the President of Breakthrough
Strategies and a Root Capital
supporter.
Passion and Creativity in Philanthropy
We were looking for an organization involved in
economic development that
- was creating new models to attack old
problems
- was staffed by dynamic people who welcome
new
ideas
- used entrepreneurship to achieve social
goals
- was developing solutions that are
environmentally
sustainable and scalable on a global level.
We found it in Root Capital.
Our family has been involved in micro finance
for
several years. Unlike traditional micro
finance, which
works very well in cities, Root Capital has
found a way
to work in rural settings. Traditional micro
finance
gives people access to local markets. Root
Capital
gives them access to global markets, in some
cases
doubling their income. By linking this
increase to the
fact that their products are sustainably
produced, Root
Capital offers traditional farmers a better
alternative
than "slash and burn" techniques.
While Root Capital's mission and approach is
what
brought us in the door, we became interested in
getting more involved after visiting their
office and
meeting the staff. Willy brought in the
entire team and
each person presented his or her part in the
initiative.
Because my background is in organizational
development, I was particularly impressed
with the
diversity and the cohesiveness of the entire
team, as
well as the degree of passion and competence
that
ran through each level of the organization.
The sense of team extends to the wider Root
Capital
community. Our involvement with Root Capital
truly
feels like a partnership. The staff seems to
enjoy
working with donors and has been very open to
our
ideas. Recently, our family has gotten
involved. When
our son was traveling in Latin America, he
stayed at an
eco-lodge that Root Capital finances in Peru.
Our
daughter has volunteered her time and shared her
marketing expertise. The more involved we've
all
become with Root Capital, the more impressed we
are.
It is hard to imagine finding a better social
and
financial return on our charitable gift.
Each loan
affects, on average, five hundred families
and the
repayment rate is almost perfect. We also
like the fact
that our money is recycled annually to make a
difference for new communities around the
world.
In the midst of a busy holiday season, I hope
you will
consider this exciting opportunity to affect
the lives of
others. As the year comes to an end and you
think
about your charitable giving, I strongly
encourage a
donation to Root Capital. There is no better
investment you can make in the livelihoods of
poor
communities and in the conservation of our
natural
resources.
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