The economics of pest and production management in small-holder cocoa: lessons from Sulawesi

This article examines pest control and production management methods used by farmers in Sulawesi to improve cocoa bean quality and increase income from cocoa. Strategies investigated include those directed at increasing the number and size of cocoa pods, those aimed at reducing hosts for pest transmission, two input-intensive approaches, and the alternative of doing nothing beyond harvesting mature cocoa pods.

Value chain assessment: Indonesia cocoa

This report identifies the constraints and growth opportunities for the Indonesian cocoa value chain and proposes potential solutions to these constraints for future investment in cocoa. A desktop analysis provided information on both the global and Indonesia cocoa value chain. Interviews with key value chain participants informed the rest of the analysis, while focus groups were held to validate initial findings. The authors propose three key areas to address growth constraints: increasing productivity, improving quality and increased investments for local value addition.

Integrating smallholder cocoa farmers within quality-driven supply chains: learning from the PRIMA project

This report assesses the effectiveness of the PRIMA project in improving cocoa quality and the innovative approach used in establishing a quality driven supply chain with direct benefits to South Sulawesi smallholders. Interviews and questionnaires with a range of industry participants informed the report. The core component of the report details PRIMA project activities and how effective they were.

Global markets, farmers and the state: sustaining profits in the Indonesian cocoa sector

This paper discusses the institutional settings along the cocoa supply chain in Sulawesi. It explains how the Indonesian cocoa sector has seen rapid expansion under free-market conditions, followed by declining profitability due to pest infestations compounded by market imperfections. The complex needs of farmers in the face of pests and disease, sustainability concerns and quality decline are not being satisfied by informal mechanisms that facilitated earlier expansion. The author claims that the government has, for the most part, been a passive actor throughout these developments.

Linking farmers with markets: the case of cocoa.

Cocoa smallholders generally have limited contact with markets, leading to little awareness of product suitability, quality or choice of crop. This paper examines the characteristics of cocoa industries in Indonesia and Papua New Guinea, discusses key issues for improvement and sustainability of the industries, and describes research and development initiatives aimed at improving smallholder incomes. For Indonesia, the paper explores the Sulawesi cocoa industry.

Understanding farmer engagement in the cocoa sector in Sulawesi: a rapid assessment

The establishment of new and interactive models for knowledge transfer in the cocoa industry requires an understanding of current farmer engagement. This study focused on understanding the social context of farmer engagement in Sulawesi. Results are based on interviews with a range of stakeholders and cocoa industry associated organisations over a 12 day period. The information is a high level overview as was intended given the short time frame of the field work. The report summarises previous extension approaches and the outcomes of these programs (e.g.

A value chain assessment of the cocoa sector in Indonesia

The competitive advantage of Indonesian cocoa production has been threatened by poor and inconsistent quality. This report includes a desktop analysis to identify the key issues impacting on the cocoa value chain and details proposed interventions to benefit cocoa production, quality and smallholder income. Field visits were undertaken to identify the issues facing smallholders and potential collaborators for intervention.

Assessing the impact of oil prices and interest rate policies: the case of Indonesian cocoa

Cocoa plays two major roles in the Indonesian economy, providing important export earnings and a source of employment for millions of rural smallholders. This research uses an Econometric Model to analyse the factors responsible for the Indonesian cocoa demand and to assess the impact of oil prices and interest rate policies on cocoa exports and production. It uses data from 1983 to 2002 and divides the cocoa production regions into four provinces: South Sulawesi, West Sulawesi, Central Sulawesi and East Java.

The impact of fertilizer subsidy and export tax policies on Indonesia cocoa exports and production

This paper examines factors that influence Indonesian cocoa exports and uses an econometric model to assess potential policy impacts. Results identified export price, cocoa production growth, exchange rate and time trend as significant influences on cocoa exports (R2 = 0.9473). The author concluded that a fertiliser price subsidy could be expected to increase Indonesia cocoa exports and production for cocoa smallholders.

Final report: sustainable cocoa enterprise solutions for smallholders (success) alliance-Indonesia

This program focused on improving the quantity and quality of smallholder cocoa production in Sulawesi, West Papua, North Sumatra and Bali as well as strengthening global cocoa value chain partnerships. Monitoring and evaluation data was collected through the program as well as through independent research and evaluations. The program had six categories of activity: Farmer Field Schools (FFS), Farmer Organisation, Communications Initiative, Farming as a Business, Side-grafting and Bio-control.


All photographic images on this site were taken by the Collins Higgins Consulting teams during the EI-ADO project activities. Reproduction should note their source as Collins Higgins Consulting.
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