The growth of international specialty coffee markets has increased the demand for high-quality coffee production at origin, offering opportunities for smallholders to engage in product upgrading and potentially increase the farm-gate price of their coffee. This paper examines smallholder farmer engagement in specialty coffee production across the islands of Sulawesi and Flores.

The islands of Sulawesi and Flores are among the key Arabica coffee producing regions of Indonesia. In this paper, Hartatri et al. explore the effect of livelihood strategies on decision making processes of smallholder coffee farmers in South Sulawesi and Flores and how they affect farmer engagement with the growing specialty coffee market. The author's assumption is that the way coffee production is inserted within social and agro-ecological systems will affect the willingness of farmers to engage in quality upgrading initiatives.

This paper examines opposing land use strategies in cacao agroforestry in Sulawesi by using data on species richness of nine plant and animal taxa, six related ecosystem functions, and socioeconomic drivers of agroforestry expansion. Data was collected around Toro village in the Kulawi valley in four forest and 12 agroforestry plots. Findings reveal that transformation from near-primary forest to agroforestry had little effect on overall species richness, but reduced plant biomass and carbon storage by around 75 per cent and species richness of forest-using species by around 60 per cent.

This paper studied the relationship between tree age, nutrient dynamics and cocoa yield to determine which resources may limit cocoa yield. The study involved surveys of 14 cocoa agroforests in Central Sulawesi, including soil characterisation and analysis, and pod sampling for yield estimates, bean weight and carbon/nutrient analysis. Soil carbon nutrient levels did not change over the timeframes of 8 and 15 years and there was no relationship between soil carbon/nutrient levels and bean weight or carbon/nutrient levels.

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.

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.

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.

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.

Cashews are a major crop throughout eastern Indonesia, with an estimated 300,000 smallholders involved in the production. However, a significant proportion of these smallholders are at or below the poverty line. This report outlines—from a supply chain approach—potential strategies to improve the incomes of smallholder cashew farmers in eastern Indonesia as part of a supply chain. The proposed strategies cover the areas of processing, agronomy, variety research, pests and disease, nutrition and soil management, and intercropping.