Success Story: Farmers and ASKA Partners Benefit from Improved Cocoa Quality
Frans Mangitung is a 46 year old director of UD Tunas Jaya who is commonly known as Mr. Ceng. He is the owner and manager of one of the largest local cocoa consolidators and exporters in West Sulawesi.
UD Tunas Jaya has been a partner in AMARTA’s Sulawesi Kakao Alliance (ASKA) program since December 2007 providing improved market access and transparency to cocoa farmers through a series of small up-country buying stations throughout West Sulawesi. UD Tunas Jaya’s willingness to purchase cocoa beans from farmers based on transparent quality practices, and its commitment to establishing buying stations in ASKA training areas is one of the key reasons why ASKA approached UD Tunas Jaya as a partner. Currently, UD Tunas Jaya has a total of 10 buying stations, with nine of these located across Polewali Mandar and Mamuju Districts. Each buying stations is served by five to six staff members who assist in quality testing, payment, and packaging beans purchased from farmers and local traders.
Aside from competitive pricing, UD Tunas Jaya has developed several marketing strategies to attract both smallholder farmers and local traders, such as offering rewards and lucky draws for farmers who sell export quality cocoa or farmers who are able to increase their productivity. Mr. Ceng also provides additional transportation/collection for farmers who want to sell to UD Tunas Jaya, but were hindered by limited transportation facilities or poor access to the buying stations.
According to Mr. Ceng, in 2008 purchases were different than previous years. The overall quality of beans farmers sold to UD Tunas Jaya has dramatically improved. Also, the moisture content of cocoa beans sold to UD. Tunas Jaya was significantly lower, with 7-10% moisture content. Whereas in previous years, most farmers sold their beans wet with an average moisture content above 20%. Similar improvements also occurred in bean size. The beans are now more uniform and meet export standards, and have lower mold and waste content. Total purchases from UD Tunas Jaya have increased by 86%. In 2007, the total volume of cocoa purchased was only 7,000 tons; however in 2008 it increased to 13,000 tons of dry beans. According to Mr. Ceng, UD Tunas Jaya sells its cocoa to other larger exporters such as PT Cargill and PT Olam Indonesia.
“The ASKA program is very good, because it deals directly with farmer’s needs in cultivation and in relating cocoa bean sales to quality. The benefits and advantages were felt, not only by farmers, but by their partners as well. We expect that Sulawesi cocoa can be competitive in the international market, both in terms of production and quality,” noted Mr. Ceng.
WCF thanks AMARTA for contributing this story.