TEN YEARS OF COFFEE IN THE AMERICAS

TEN YEARS OF COFFEE IN THE AMERICAS 2006-2016

TABLE OF CONTENTS INTRODUCTION... 1 THE PROBLEM... 2 OUR STRATEGY... 2 COFFEE PROJECTS IN THE AMERICAS... 3 FINDINGS... 4-7 The Role of Cooperatives in Risk Mitigation Resilience to Coffee Rust Food and Income Security Household Dietary Diversity Score (HDDS) Months of Adequate Household Food Provisioning (MAHFP) Diversification of Income Sources CONCLUSIONS & RECOMMENDATIONS... 7-8 Knowledge Transferred for Coffee Production Knowledge Transferred for Home Garden and Livestock Production IMPLICATIONS: WHAT S NEXT IN HEIFER S COFFEE STRATEGY... 9 MOST SIGNIFICANT CHANGE STORY... 10 APPENDICES A - D... 11-14 TABLE OF CONTENTS

INTRODUCTION Coffee is one of the most valuable and important commodities in world trade. For many families and countries in Latin America, coffee is one of their main sources of income. Coffee growing, processing, trading, transporting and marketing provides employment for many coffee communities. Additionally, it s vital to their socioeconomic status because is it responsible for more than 50 percent of their international exchange earnings (International Coffee Organization, 2014). In some countries, the government and other stakeholders are supporting policies to develop coffee farming that are based on improving the quality of coffee, particularly by developing internationally certified specialty coffees. Despite this opportunity, most of the coffee and cocoa growing areas are within the countries poorest departments, with human poverty indicators ranging from 22.8 to 15.5 and overall rates of under nutrition for children under the age of 5 and as high as 18*. There is also increasing environmental degradation in spite of the traditionally low eco-impact of traditional coffee farming. This is because more recent surges in demand for coffee have led to larger-scale production methods that require heavy use of chemical fertilizers, pesticides and other less eco-friendly techniques. 2015 Heifer Mexico/Eva Quesada From 2006 to 2016, Heifer s program in the Americas was involved with 15 coffee projects in six countries (see Coffee Projects in the Americas, Page 3). Ten of these projects have been completed, with the remaining due to close from 2016 to 2018. This study is focused on the evaluation of data from four projects** as well as key informant interviews and focal groups in several projects. The purpose of this study was to understand how the design of Heifer s intervention in the coffee sector has affected small-scale coffee farmers. The two key components of the study include: 1. An in-depth analysis of the role that partnering cooperatives have played in facilitating and sustaining strategy objectives, such as filling missing markets and risk mitigation 2. An assessment of the outcomes of the strategy for food and income security*** *Participatory Lifestyle Assessment of Green Mountain Coffee Roasters (GMCR) coffee growers by the International Center for Tropical Agriculture (CIAT), summer 2007. **Mexico (MX2263), Guatemala (GT1307), Honduras (HN1510) and Peru (PE1737), all of which have been completed for at least one year. *** A full version of the evaluation and findings accompanies this summary. 2015 Heifer Mexico/Eva Quesada 1

THE PROBLEM Small-scale coffee farmers face significant variability in income, extreme weather events and disease. These variables affect the quantity and quality of their coffee, as well as coffee prices, which are also reflective of movements in the international market. Additionally, income from coffee is seasonal. As a result, coffee producing households have limited income sources for six to eight months each year. This seasonality leads to the lean months when families struggle with food insecurity, little savings and diminished ability to invest in improved production. OUR STRATEGY Heifer s coffee strategy was designed to enhance the livelihood of small-scale coffee farmers through increased coffee productivity and food security, especially during the lean months. Our strategy improved the quality of the final product and enhanced the skills and expertise of technical and management teams so that cooperatives and farmer associations successfully reached markets. We accomplished these outcomes through climate-smart agirculture that minimizes disease and soil erosion while boosting yields, soil fertility and water management. We improved how coffee is processed such as better mechanisms for washing and drying coffee beans helping farmers add value to their product and enhancing marketing, financial and entrepreneurship development. Our strategy also contributed to improved food security through product diversification by transfering livestock and vegetables seeds, and by ensuring families consumed balanced, healthy diets. Families received livestock as original placements through our programs, or through successive Passing on the Gift. All families also received training in animal management, improved food production and nutrition. Some projects included support to help farmers locally market their surplus plant and animal foods. Morover, we partnered with cooperatives to provide a well-established community-based organization to strengthen project activities and provide continuity for technical assistance, access to resources and marketing. COFFEE STRATEGY THEORY OF CHANGE OUTCOMES ACTIVITIES PROXIMAL DISTAL TRAINING Animal Management Food Gardens Nutrition Sanitation & Health Women s Leadership ASSET TRANSFER Animals (goats, guinea pigs, poultry, bees) Seeds/Seedlings Coffee Processing Mechanisms COOPERATIVE STRENGTHENING & PARTNERSHIP Governance Impact Supply Marketing Business Plan Development Promoter Training & Support Livestock Productivity Formation of Women s Groups (collective marketing) Increased Food Production for Home Consumption & Sale Protein Consumption Home Garden Production Quality of Coffee Bean Transparency & Accountability Input Supply, Fertilizer, Credit, Technical Assistance, Disease Resistant Stock M M Income (coffee & home production) Food During Lean Months Diverse & Sufficient Diet Smoother Consumption Improved Health Outcomes COOPERATIVE ACTIVITY & TRUST Access to Credit Sustained Commitment to Extension via Promoters Partnership Development Brand Development 2

COFFEE PROJECTS IN THE AMERICAS 2003 GUATEMALA (23-0604-02) Food security through product diversification Project affected by Hurricane Stan 2008 MEXICO (23-2263-02) Addressed the lean months through food security 2011 GUATEMALA (GT1327) MEXICO (MX2270) NICARAGUA (NI1622) Addressed the lean months through food security and nutrition 2014 HONDURAS (HN1519) PERU (PE1744) Food Security Livestock-crop integration for diverse incomes KEY 2006 GUATEMALA (23-1307-02) Disaster relief for hurricane-affected families Provided seeds for food production Established six coffee nurseries 2010 HONDURAS (HN1510) PERU (PE1737) Addressed the lean months through food security and nutrition 2013 MEXICO (MX5405) Income generation from coffee production Value chain development Food security HONDURAS (HN5408) Improved coffee production Strengthened cooperatives Value chain development Income generation Food security NICARAGUA (NI5413) Food Security Diverse coffee production Addressed coffee rust Food Security Disaster Assistance Seed Placement Livestock-crop Integration Addressing Lean Months Nutrition Income Generation Partnership with Keurig Green Mountain Honey Production Value Chain Development Cooperative Development 2016 GUATEMALA (GT1327) NICARAGUA (NI5413) Renovate coffee plantations Diversify production with honey Increase local honey production and sales * See Appendix A for additional project information. 3

FINDINGS The Role of Cooperatives in Risk Mitigation Cooperatives contributed to risk mitigation among coffee farmers by integrating Heifer s climate-smart agricultural practices, providing access to resources for replanting after disease outbreaks and maintaining vital services during production lulls due to coffee rust (a plant-choking fungus). A significant part of our strategy was strengthening farmers ability to survive large fluctuations in coffee production and to regain consumption, production, and eventually income levels without forcing the household to divest their assets or be forced to migrate for employment. An important indicator of resilience is farmers willingness and ability to replant coffee groves. The majority of participating coffee farmers reported accessing funds from their cooperative or their savings to replant after coffee rust affected their groves (see graph below). The diversification of agricultural commodities also contributed to the resilience of coffee farming families. When coffee production declined, more than half of farmers surveyed stated they could rely on other income generating activities to support their households (see graph below). RESILIENCE TO COFFEE RUST Funding Source Accessed for Replanting After Coffee Rust 51% 14% 36% 24% 4% 5% 2% 12% 0%.6% 5% 1% 36% 52% 33% 29% 16% 2% 3% 6% Local Cooperative Government Assistance Heifer International Farmer Savings Private Loan Mexico Guatemala Honduras Peru Income Source Used In Event of Coffee Production Decline 6% 12% 7% 14% 44% 21% 37% 35% 50% 57% 55% 51% 0% 10% 0% 0% Migrate for Employment Work as Day Labor Other Income Generating Activities*** Not Applicable Mexico Guatemala Honduras Peru * Percentages rounded to nearest decimal point. See Appendix B for exact survey results. ** Funding Source Accessed for Replanting After Coffee Rust also includes the categories: Other and Not Applicable. See Appendix B. *** Other Income Generating Activities can include, but is not limited to, honey production and selling surplus vegetables and small livestock. 4

Food and Income Security In the countries surveyed, families increased the quality and consistency of their diet even while income declined. The following components of our strategy are largely responsible for the survival of families and their long-term ability to recover from coffee rust: 1) food security; 2) livestock production training; 3) an emphasis on home garden production; 4) asset transfers; and 5) the inclusion of women in the vital provisioning activities. The effect of our coffee strategy on income varied. Project participants in Honduras and Mexico were above their country s poverty line while participants in Guatemala and Peru remained below their poverty line as they continued to recover from the affects of coffee rust. There are three components of food security as defined by The United States Agency for International Development (USAID): 1) availability; 2) access; and 3) utilization (Anne Swindale, 2006). The Household Dietary Diversity Score (HDDS) and the Months of Adequate Household Food Provisioning (MAHFP) are proxy measures of household food availability and access. The HDDS results for the selected projects are most useful if the current HDDS is compared to HDDS before the intervention began (i.e. the baseline). None of the four countries collected the 24-hour recall HDDS at baseline, but Guatemala did conduct the 24-hour HDDS during the final evaluation in 2014. Two of the four countries (Peru and Honduras) conducted a seven-day recall in their baseline which allowed for a good measure of change in food security (which is the requirement that was established by the donor, Keurig Green Mountain). However, the seven-day recall is less reliable than the 24-hour recall. For Mexico, the HDDS result from a 2012 University of Vermont study was taken in an area similar to the project site and used as an estimated seven-day recall baseline. Examining the seven-day recall against baseline estimations in Peru, Honduras and Mexico shows a significant increase in the HDDS score. This is interesting because 2011 to 2012 was a pre-coffee rust peak in coffee production and market prices. Yet, HDDS scores were significantly lower than in 2016, a period when farmers were still recovering from the worst of the coffee rust losses. HOUSEHOLD DIETARY DIVERSITY SCORE (HDDS) Baseline Not Available Mexico 24-HOUR RECALL 7.7 Guatemala 6* 8.7 6.5** Mexico 9.1 7-DAY RECALL Guatemala 10.9 Baseline Not Available Honduras Peru Honduras Peru 9.5 7.78 10.4 9.9 Baseline Not Available Baseline Not Available 4 4.5i *Guatemala final evaluation, 2014 **University of Vermont- Food Sovereignty report, 2012 Honduras Baseline, 2011 i Peru Baseline, 2011 Baseline 2016 5

MONTHS OF ADEQUATE HOUSEHOLD FOOD PROVISIONING (MAHFP) Average Percentage of Households Experiencing Food Shortage 67%* 39% 38%** 47% 20% 35% 54.7% 47% Mexico Guatemala Honduras Peru * See Appendix C for additional information. Baseline 2016 Average Months of Food Shortage Per Year 2.5* 2 3** 3 1 1 3 2 Mexico Guatemala Honduras Peru * See Appendix C for additional information. Baseline 2016 *University of Vermont- Food Sovereignty report, 2012 **Guatemala final evaluation, 2014 Honduras Final Evaluation, 2014 Peru Baseline Evaluation, 2011 Guatemala s 24-hour recall shows an increase in HDDS from the project s final evaluation in 2014 to 2016. This is remarkable because it was also a time of severe downturn in coffee production and market prices in Guatemala. In all four countries, households increased the quality of their diet (the number of food groups consumed increased) while income from coffee declined. This suggests either an increase in home production of protein, vegetables and carbohydrates, or an increase in income streams apart from coffee. Increased home production and income is likely as result of Heifer-supported livestock and seed asset transfers.* When examining the percent of households experiencing food shortages, all countries except Guatemala have decreased or stayed the same (see Appendix C for additional information). Guatemala shows an increase in dietary diversity but still struggles with food shortages during the lean months. Like with the HDDS, baseline reports were completed before the impact of coffee rust and the 2016 percentages were captured at the beginning of farmers recovery. Despite devastating loss of income, the number of households experiencing food shortages declined in three cases. * Key informant interviews with project participants across the four countries report increased home food production as a result of Heifer training and asset transfer. The lack of longitudinal data across countries prevent verification. 6

DIVERSIFICATION OF INCOME SOURCES Income Sources as Percentage of 2016 Total Income 10% > 1% 2% 6% 1% > 1% 2% 3% Crops Livestock Coffee Value of Home Consumption 33% 15% 56% 65% 59% 41% 29% 21% 8% 28% 11% 10% Wages, Remittances & Other Non-Farm Mexico Guatemala Honduras Peru * Percentages rounded to nearest decimal point. See Appendix C for exact survey results. ** The percent of income sources for Wages, Remittances and Other Non-Farm are combined above; see Appendix C for percentage per source. CONCLUSIONS & RECOMMENDATIONS Several elements of our coffee strategy stand out as fundamental successes. The importance of combining a food and income security strategy was insightful. The following components of our strategy are largely responsible for the survival of families and their long-term ability to recover from coffee rust: 1) food security; 2) livestock production training; 3) an emphasis on home garden production; 4) asset transfers; and 5) the inclusion of women in the vital provisioning activities. By increasing the capacity of local producers and diversifying household income sources, we helped create an economic structure that allowed families to not only survive but also take sigificant steps toward self-reliance. Cooperatives contributed to risk mitigation among coffee farmers through their integration of Heifer s climate-smart agricultural practices for both coffee and food production. Our strategy also helped cooperatives reduce the vulnerability of their members by attracting financial organizations that provide access to liquid assets. By further developing relationships with governments and cooperative unions, cooperatives can channel resources back to producers as they respond to disease, weather events or extreme drops in market prices. Partnering with cooperatives and established community organizations provides stability, credibility and the likelihood of sustainability. This is especially important when Heifer is only present in a community for three to five years. If cooperatives acknowledge that Heifer s support is in the best interest of its members, they will be better equipped to provide organizational support after Heifer leaves the community. Collaboration among cooperatives, cooperative unions, government agencies, nongovernmental organizations and value chain participants to develop an early warning system for disease and an insurance system for other weather-related damage will provide some protection for vulnerable coffee farmers. For Heifer to encourage growth in the coffee sector, it is important that production volatility does not force participants into continuous debt or disinvestment in productive assets, both of which would lock farmers into a cycle of poverty. The increase in homestead production and other income generating activities (e.g. honey) is important to mitigate the risks associated with seasonal coffee production. It is also important because much of the profit from coffee production is captured by actors further along in the value chain, making it difficult for producers to significantly improve their net income through the production of raw product. 7

The promoter an individual who acts as a community change agent and technician evolved out of Heifer s coffee strategy. A promoter can contribute sustainable project impact by offering young adults and women a respected and empowered way to stay involved in the agricultural sector and their communities (see graph below). A question about the transmission of knowledge and skills regarding improved gardens and livestock production showed lower levels of transmission from Heifer-related activities. However, the relatively large rates of other and none may reflect knowledge already present in the community (see graph below). Heifer s strategy for combining food security and income generating activities provides an important lesson for development practices. Many nongovernmental organizations and governments often focus on development strictly in terms of providing access to markets. Coffee rust illustrates how vulnerable small-scale coffee farmers can be when their well-being is predominantly based on an export-oriented monocrop. While governments may mitigate some risks to farmers through investments in research, monitoring systems, crop insurance and loans, the tools that Heifer has put in place such as agroecological management, diverse income sources and household food security are tools that communities can use to lessen the impact of a crisis and enhance their resilience. KNOWLEDGE TRANSFER Knowledge Transferred for Coffee Production 86% 65% 72% 41% 2% 12% 7% 31% 6% 22% 8% 10% 2% 9% 28% 11% 29% 31% 0% 0% Promoters Farmer Field School Government Extension Agents Other None Mexico Guatemala Honduras Peru Knowledge Transferred for Home Garden & Livestock Production 43% 67% 41% 42% 43% 45% 22% 16% 8% 10% 17% 4% 5% 15% 2% 3% 9% 3% 0% 0% Promoters Farmer Field School Government Extension Agents Other None Mexico Guatemala Honduras Peru * Percentages rounded to nearest decimal point. See Appendix D for exact survey results. 8

IMPLICATIONS What s Next for Heifer s Coffee Strategy? Our 10-year coffee study will be integrated into future strategies by: Reviewing our strategy to ensure support for coffee farmers and communities as we assist them in achieving a living income and self-resilience. Emphasis will be placed on scaling-up our work, including: working with more families; increasing productivity and profitability; improving coffee quality; and enabling cooperative and farmer-owned-and-operated organizations to access national, regional and international markets. Continuing our focus on food security and diverse production to support small-scale coffee farming families, reduce risk and eliminate the lean months. Prioritizing promoters as key agents of change, strengthening social capital and honing technical capabilities of farmer-owned-and-operated organizations. We will develop, implement and scale-up a certification system for promoters (giving emphasis to women and youth). Allying with other entities and research centers for business development, strengthening the value chain and building inclusive business. Improving wet and dry mill coffee processing to increase coffee quality and produce a distinguished product. This will target various market segments, including micro-lots, that reach peak prices in the international market. Managing risk related to pests and diseases. This is based on the findings that Heifer s work in food security and diversification reduced coffee producers vulnerability to coffee rust. Integrating current technical language in climate-smart agriculture and improved technology in future projects. 2015 Heifer Mexico/Eva Quesada 9

MOST SIGNIFICANT CHANGE STORY Coffee farmers Maria Francisca Perez and Hector Amilcar Sanchez live with their three daughters (ages 3, 14 and 10) in the community of La Vega, Santa Cruz de Rio Negro in the municipality of San Francisco de Opalaca, Honduras. They participate in Heifer Honduras coffee project VIDA CAFÉ: Improving Food Security and Alternative Marketing Sources for Organic Coffee Farming Families in Western Honduras (HN1519). The family received a cow from Heifer Honduras in June 2014 and a few months later their cow gave birth to a calf. HEIFER HONDURAS: What has been the most significant change in your life, or in your community, as a result of this project? PEREZ/SANCHEZ FAMILY: We began to see a change in our quality of life the moment we received our cow. Our daughters were happy and got involved in the care of the animal. We named our cow Blacky and its calf Star. We received training from Heifer on how to produce blocks of concentrated feed to feed the cattle in the winter. Heifer technicians have also visited us to inspect the cow and ensure she was vaccinated. We also received training on how to grow and feed grass to the cow. The technicians inspected the pasture area and the stable where we keep the cow. One of the biggest changes we ve seen is that our cow provides us with milk and curd cheese. This makes us happy because our daughters can drink milk each day and are growing stronger. This was not possbile before we received our cow. The cow also gives us extra income that we can count on. We sell milk and milk byproducts. Each day, our cow produces enough milk to make about 1 pound of curd cheese. Sometimes we keep the curd cheese for our family to eat and other times we sell it. Our cow also benefits our community by providing local access We know that having a cow is a great economic advantage for us, and we are committed to Pass on the Gift so another family in our community will have the same advantage. - Maria Francisca Perez and Hector Amilcar Sanchez Maria Francisca Perez (right back) and Hector Amilcar Sanchez (left back) with two of their daughters, and their cow and its calf. to fresh milk and cheese curd. And the money stays right here in our community. The curd cheese is so popular that sometimes we can t sell it to everyone who wants to purchase it. So far, we ve saved 200 Honduran lempiras, or about $20, from selling milk and cheese. We plan to use some of our savings to purchase our daughters school supplies and to purchase additional household and food items. We know that having a cow is a great economic advantage for us, and we are committed to Pass on the Gift so another family in our community will have the same advantage. We will pass on Star, the calf, when she is 1.5 years old and pregnant. Passing on the Gift, together with the other resources that other families have received from Heifer Honduras, represents a great step forward for our community. 10

APPENDIX - A COFFEE PROJECTS IN THE AMERICAS Country Honduras Guatemala Nicaragua Mexico Peru Haiti Project Number HN1510 HN1519 HN5408 23-0604-02 23-1307-02 GT1327 NI1622 NI5413 Project Name Improving the Sustainable Production and Food Systems of Small-Scale Organic Coffee Farming Families In Honduras (COCASAM, COCAFCAL, CARUCHIL & RAOS) VIDA CAFÉ. Improving Food Security and Alternative Marketing sources for Organic coffee farming families in Western Honduras PROMESA Coffee: Blending Hope and Hard Work for Indigenous Coffee Farmers La Voz--Poultry and Worms Project in Support of Organic Coffee Production Reactivating coffee production for small producers in the Lake Alitán basin (GM-APOCS-LA VOZ) CAFÉ SANO: Improving Food Security and Nutrition and Coffee Farm Workers' families in Huehuetenango Department, Guatemala CAFÉ SANO. Improving Food Security and Nutrition of Coffee Farm Workers' families in the Madriz Department, Nicaragua PROMESA Coffee: Finding Solutions to the Coffee Rust Epidemic in Nicaragua Timeline (Based on Latest LOA/ALOA) Start Date End Date 7/1/10 6/30/15 7/1/2013 12/31/2017 12/18/2013 6/30/2016 7/1/2003 6/30/2006 7/1/2006 6/30/2010 7/1/2011 6/30/2017 7/1/2011 6/30/2017 12/16/2013 6/30/2017 23-2263-02 Building our future I CESMACH 7/1/2008 6/30/2013 23-2270-60 Building our future II CESMACH 7/1/2011 6/30/2014 MX5405 PE1737 PE1744 HT5418 Increased Production, economic improvement, and environmental sustainability in the coffee lands of Chiapas Quality of Life and sustainable production for coffee farming families in Lambayeque and Cajamarca (COOPCAFE) CAFÉ SELVA: Women Empowerment and Food Security for Coffee Farming SCALE-UP Haiti: Food security and social transformation in southern Rural Haiti 9/18/2013 9/15/2018 7/1/2010 6/30/2015 9/1/2010 6/30/2016 7/1/2015 6/30/2018 * Heifer s initial projects with coffee farmers were primarily focused on food security and based on lessons learned to integrate the coffee crop (since it s farmers main source of income). Additional actions involving coffee were developed in projects beginning in 2013. ** Our work with Keurig Green Mountain (KGM), formally known as Green Mountain Coffee Roasters (GMCR), has not only supported coffee farming families, but also contributed to Heifer s implementation of impact monitoring since fiscal year 2011. Heifer has been an important contributor in the guidelines established by Keurig Green Mountain and it s partners. 11

APPENDIX - B RESILIENCE TO COFFEE RUST Where did your household get funds to replant after last rust? SOURCE MEXICO GUATEMALA HONDURAS PERU Cooperative 51.18% 14.29% 35.94% 23.91% Government 3.79% 4.97% 1.78% 12.12% Heifer International 0.00% 0.62% 4.63% 1.01% Own Savings 35.55% 51.55% 33.45% 29.29% Private Loan 2.37% 3.11% 16.37% 6.06% Other 7.11% 1.24% 7.83% 4.04% Not Applicable 0.00% 24.22% 0.00% 23.57% If there is rust again, where will you get the resources to replant? Cooperative 54.77% 26.59% 44.49% 44.76% Government 2.51% 5.20% 1.47% 13.97% Heifer International 0.00% 12.72% 4.04% 9.21% Own Savings 33.17% 46.82% 29.78% 21.90% Private Loan 2.51% 5.20% 13.60% 6.98% Other 7.04% 3.47% 6.62% 3.17% Not Applicable 3.02% 0.00% 0.00% 0.00% When there is a decline in coffee production, how did your household respond? Migrate to other area 5.76% 11.67% 7.39% 14.13% Day labor 43.98% 21.11% 37.35% 34.98% Other income generating activities 50.26% 57.22% 55.25% 50.88% Not Applicable 0.00% 10.00% 0.00% 0.00% 12

APPENDIX - C HOUSEHOLD DIETARY DIVERSITY SCORE (HDDS) HDDS, 24-Hour Recall Mexico Guatemala Honduras Peru 2016 Coffee Study 7.7 8.7 9.5 7.78 Comparison Not Available 6* Not Available Not Available HDDS, 7-Day Recall 2016 Coffee Study 9.1 10.9 10.4 9.9 Comparison 6.5** Not Available 4, 7.2 4.5i *Guatemala final evaluation, 2014 **University of Vermont- Food Sovereignty report, 2012 Honduras Baseline, 2011 Honduras Final Evaluation, 2014 iperu Baseline, 2011 MONTHS OF ADEQUATE HOUSEHOLD FOOD PROVISIONING (MAHFP) Average Percentage of Households Experience Food Shortage By Percentage Mexico Guatemala Honduras Peru 2016 Coffee Study 39 47 35 47 Comparison 67* 38** 36***, 20 54.7 Average Months of Food Shortage By Number of Months Mexico Guatemala Honduras Peru 2016 Coffee Study 2 3 1 2 Comparison 2.5* 3** 1***, 1 3 *University of Vermont- Food Sovereignty report, 2012 **Guatemala final evaluation, 2014 ***Honduras Baseline Evaluation, 2011 Honduras Final Evaluation, 2014 Peru Baseline Evaluation, 2011 DIVERSIFICATION OF INCOME SOURCES Income Sources as Percentage of Total Income in 2016 Mexico Guatemala Honduras Peru Crops 0.14% 10.36% 1.98% 1.23% Livestock 0.38% 5.57% 1.80% 2.66% Wages 1.85% 12.83% 7.32% 4.54% Remittances 0.13% 0.67% 0.67% 1.07% Other Non-Farm 5.76% 14.57% 3.40% 4.80% Coffee 32.64% 15.27% 55.97% 64.95% Value of Home Consumption 59.10% 40.74% 28.86% 20.75% 13

APPENDIX - D KNOWLEDGE TRANSFER Knowledge Transfer In Coffee Production In the past year, who gave you new information, technical assistance, and/or training about coffee production and management? MEXICO GUATEMALA HONDURAS PERU Promoters 65.36% 40.97% 86.07% 71.65% Field School 1.68% 11.81% 6.97% 30.65% Government Extension Agents 5.59% 21.53% 7.96% 10.34% Other 1.68% 9.03% 28.36% 11.11% None 29.05% 30.56% 0.00% 0.00% Knowledge Transfer In Coffee Production In the past year, who gave you new information, technical assistance, and/or training about improving gardens and/or livestock production? MEXICO GUATEMALA HONDURAS PERU Promoters 43.02% 22.35% 68.66% 40.61% Field School 1.68% 8.38% 4.48% 15.71% Government Extension Agents 10.06% 16.76% 5.47% 15.33% Other 2.79% 8.94% 41.79% 42.53% None 45.25% 3.35% 0.00% 0.00% 14

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