In June, PUR Projet is launching an innovative pilot project in Amazonia: “Finca a la media”. The aim is to help farmers to increase their production area through the support of a local rotating financing system, while addressing the needs for ecosystem restoration.
Signature of the Impact Investing contract with the cooperative Oro Verde
“Finca a la media” could be translated as “half and half farm”. The concept is to partner with farmers to co-finance the installation of a cocoa plot in dynamic agroforestry systems. The project operator provides 50% of installation costs, especially in the form of plant material, organic compost, or technical assistance, while the farmer provides the other half, mainly as labor and tools.
Then the objective of the project is to create a virtuous circle of self-sustaining financing, integrating more and more producers with no need to raise additional funds. Indeed for 7 years, half of the income from production is used to finance the installation of new plots for other farmers in order to broaden the number of beneficiaries. Ultimately, at the end of this 7-years period, the producer becomes the exclusive owner of the plot.
On the Rio Huayabamba, in the Peruvian Amazon, where canoe is the only means of transportation available
The design of this model is the result of a long-standing cooperation between PUR Projet and its local partners (cooperatives, foundations, farmers), each bringing complementary expertise to the project. In the end, trees and crops diversification have emerged as the two pillars to meet this dual challenge.
Grey Lozano, Project Coordinator at PUR Projet, with farmers of the valley visiting the project area
The launch of the project has been positively welcomed by farmers of the valley and the first volunteer farmers participate in this pilot of 105 hectares. With this project we bring together all dimensions of sustainable development: environment, social, economic development, community empowerment, knowledge sharing and promotion of peace in a region historically affected by the illicit cultivation of coca.
For now, the project is still at the pilot stage and a lot remains to be done. Nevertheless, the view of reforested plots on the banks of the Rio Huayabamba, 10 years after the start of our first project, invites us to dream for the future.
Reforested parcel in the San Martin region, which has been recognized as a UNESCO World Biosphere Reserve in 2016