Farmer to Farmer: Nicaragua

Bridge to Inclusion

Bridge to Inclusion is a 5-Year program that takes marginalized farmers, with low quality and production , and enables them to become resilient entrepreneurs and job creators by providing training, production loans and marketing services that increase inclusion in global markets. Farmer to Farmer is seeking to raise $50,000 in 2021 and in 2022 to increase the capacity of this program.

Celebrating 20 Years

Where Have We Been?

Farmer to Farmer began in 2001 with the goal to provide the opportunity of land ownership to landless farmers in rural Nicaragua. This program has been successful in bringing families out of extreme poverty, bringing them to full food security, and setting them on a path to financial stability.

20 Years of Impact

First landbank started in 2002 with 17 families
By 2021, F2F has completed 7 landbanks including 111 families and 192 members
96%+ Repayment Rate
Families Incomes Increase 85% to 154%, depending on technology used when compared to average agricultural working wage.
Financed a coffee bodega (shop), roaster and grinder. Repaid 100%.

“Now we have something to leave our children and we thank God first and ACJ for allowing us to participate in this landbank project.” Adela Gonzales Martínez

Where Are We Going?

Though our program has been successful in bringing families out of extreme poverty and into food security, we have realized that there is room for improvement.

Land ownership is not always enough to develop successful and stable farms. Problems such as poor training, limited access to capital for inputs, and poor access to good markets still plague many Nicaraguan farmers. To build a more successful program, we need to address these problems as well.

A land purchase is unlikely for the next couple years. Therefore, our focus will be to improve farm productivity and income. We will utilize a business model that helps farmers utilize good agricultural practices to improve yields and quality so that they will have access to better markets and increased profit. Our hope is that we can combine these strategies with a land ownership program in the future to provide a more complete solution for marginalized farmers in rural Nicaragua.

How Will We Get There?

Investing in our partners ACJ & APAC
Increase the capacity of the Bridge to Inclusion Program
Replicate the APAC model with ACJ through their Cocoa Initiative

The Landless Farmer

“Landless farmer”…how is that possible? A farmer without land cannot fulfill his calling. He cannot feed himself or his family. Where wealthy landlords control available property as large plantations, a farmer of humble means will struggle to exist. He must rent land from the landlord who profits from his labor. If the next year someone else offers the landlord a higher rent, the first farmer may lose his opportunity to rent that field. It’s not possible for a subsistence farmer to save money to purchase a piece of land when he’s barely able to meet current needs. To borrow money for land is usually not an option due to exorbitant interest rates. A farmer without land to work, may feel compelled to leave his family behind to go search for work in a big city, miles away. Separation contributes to family breakdown and a perpetual cycle of poverty through generations. Sadly, this is an all too familiar story for many rural Nicaraguans.

Farmer to Farmer Nicaragua and the Land Ownership for Landless Farmers program is successfully working to change that cycle by giving farmers an opportunity to purchase small parcels of land. Through Farmer to Farmer, North American businessmen, farmers, and churches have connected with farmers and organizations in Nicaragua to finance land loans and mentor farmers in sustainable farming practices. From small beginnings in 2003, the program has grown to include 7 different land banks with 110 farm families participating. At the end of 2019, 95% of the farmers in the 5 original land banks have repaid their loans. To have their land titles in hand gives them joy of ownership and hope for future security.

Néstor Cristino García and his family are typical of the producers who have benefited from this program. He says, “At the beginning, the plot had only grass (for cattle) but thanks to the technical support of ACJ, training, and my work commitment, I have managed to plant several crops such as: malanga, quequisque, yucca, corn, beans, rice, plantains, fruit trees, coffee and many other crops, which provide me with food for my family and from time to time an additional income from the sale of harvest surpluses, all thanks to the Land Bank project.”

Even with an interest-free loan from the Land Ownership for Landless Farmers program, farming isn’t easy for the Nicaraguans. Like farmers everywhere, they must deal with crop pests, livestock diseases, market availability, transporting produce and weather-related challenges. They often do the hard work of planting, weeding, and harvesting with a single tool, the machete. The land they farm is located on hillsides where previous slash-and-burn techniques have rendered the soil infertile. Sometimes it’s hard to keep believing that difficult circumstances can change. One young farmer would get discouraged but his father would remind him, “Manuelito, you are not destined to be poor.” When he eventually received the title to his land, Manuel proudly declared, “I am NOT poor!”

An amazing change of mindset and attitude is happening for these farmers. Farmers are eager to learn from training sessions and meetings with mentors. It’s been exciting to see them take initiative in starting new projects, trying different farming methods, and seeking more markets. They have built homes on their parcels of land and tapped into water sources. Their families have enough food to eat and surplus to sell. Their children are attending school and families are active in local churches. In some land banks, roads have been improved and small stores have opened. Land ownership has made many positive changes possible in these rural communities.

To quote Geraldy Blandon, former partnership manager at Partners Worldwide: “What started as a project to guarantee food security through the access of a piece of land became the foundation of a tremendous opportunity to develop a value chain proposition…which will bring a fair price for the farmer’s products by accessing the international market, reach levels of specialization and certification labels to maximize the quality and yield, build local organizational structures in the rural communities, increase income and much more.”

“The Landless Farmer” by Mrs. Lynn Wielenga

A Season of Transition: Part 3

Farmer to Farmer began in 2003 with much enthusiasm and optimism. Through the Land Ownership for Landless Farmers Program, families were successfully being brought out of extreme poverty. However, there have been many challenges as well. A major challenge for the farmers is lack of access to capital and markets. For this reason, Farmer to Farmer will be adding emphasis on rural business development alongside our land ownership program in the coming years.

This is part three of a three-part blog series detailing the early success and challenges of the Land Ownership for Landless Farmer Program and the reasons for expanding our programs to include rural business development.

Optimistic Beginnings and Signs of Success
Threats and Challenges
Adapting Our Focus & Bright Hope for the Future

Adapting Our Focus

Recognizing that the landbank farmers also face challenges of access to capital and markets, Farmer to Farmer and our partner organizations are working towards a more complete program to help alleviate poverty in rural areas of Nicaragua. The Land Ownership for Landless Farmers Program will still be a major objective of Farmer to Farmer, but we are also adding a new Rural Value Chain Development Program. Through this program we are developing rural agricultural value chains, so that marginalized and poor farmers have better inclusion in local, domestic and international markets. We are investing in wealth-creating enterprises and projects that provide products and services such as agricultural and business training, access to capital and access to markets to marginalized farmers.

With our partner Asociación Cristiana de Jóvenes (ACJ), we are helping to finance and develop a cocoa nursery and processing facility. The goal is to produce seedling trees to increase planted acreage of cocoa in the area and then once the trees are bearing to purchase raw cocoa from the farmers, ferment and dry it so it is ready for transport to markets.

With our partner Acción Médica Cristiana (AMC) we have two pilot projects. First, through the Seed Fund we are lending for inputs so that farmers can increase yield and quality. Loans bear interest and are typically a year or less. Second, we are establishing a business plan for AMC to establish a business where they purchase a variety of products from the farmers, take them to local town markets and resell them.

Bright Hope for the Future

Adding an emphasis on value chain development is a challenge, but one that will bring great rewards. Building up the rural agricultural business infrastructure will help farmers be more profitable. This will in turn help future landbank projects to be more successful. Right now, we are establishing these business projects and once they are operating well, we hope to purchase land for a new landbank. We hope that this can take place next year in 2020 or in 2021. Throughout the future, we see the two programs complementing each other very well.

We are extremely grateful for the progress that has been made over the last 16 years. Through the program 110 families have been helped through the Land Ownership for Landless Farmers Program. We pray that we can greatly increase this number in the future. We praise God for his blessings for the farm families, our partner organizations, and Farmer to Farmer and we pray for His wisdom and guidance as we continue to fight poverty in rural Nicaragua.

How You Can Help

First of all, please pray for wisdom and guidance for the new rural business development program. We know the need, but finding the best solution is always difficult, especially in rural Nicaragua. Second, learn more about our values and approach on our website https://f2fnicaragua.org/ to understand how we view poverty an how we aim to alleviate it. Third, prayerfully consider joining Farmer to Farmer. Visit Nicaragua with one of the upcoming trips. Finally, we need financial donations. We are striving to build up our capital to be able to invest in new rural businesses and we also hope to start a new land purchase in 2020 if it is God’s will. Visit https://f2fnicaragua.org/donate/ to learn about the various ways you can support us financially.

A Season of Transition: Part 2

This is part one of a three-part blog series detailing the early success and challenges of the Land Ownership for Landless Farmer Program and the reasons for expanding our programs to include rural business development.

Optimistic Beginnings and Signs of Success
Threats and Challenges
Adapting Our Focus & Bright Hope for the Future

Threats and Challenges

While the successes have been notable and significant, they have come with many challenges, some of which have been due to factors beyond our control and some due to our underestimating the complexity of the situation. Therefore, meeting the goal of repayment in 10 years has been a challenge. There are a variety of reasons for this.

One very significant challenge beyond our control was a result of the “No Payment Movement” in 2007-2008. After the election in 2007, there began a movement among our farmers to stop repaying loans to banks and NGOs. They thought that the government was going to forgive or repay the loans for them and give them the land. Some of the farmers even went to the local government to request that we leave them alone. Thankfully, the government backed us and told the farmers that they made a contract and had to repay. They were also told to not let that opportunity go as we were charging 0% interest, which is an amazing deal by Nicaraguan standards. This was a very difficult time, but it was a good lesson for the farmers, and we were able to come through it, with not much damage other than delayed payments.

There are two challenges that the farmers face that we did not fully understand or appreciate at the beginning. First, lack of access to investment capital and inputs delayed farm development and profitability. Landbank farmers tend to rely on either coffee or cocoa for their primary cash crop. These crops take 3 to 4 years before they start to produce. Sometimes farmers were still planting and establishing these perennial crops in their 5^th to 8^th years of the program because they didn’t have the funding to do it all at the beginning. This delayed profitability and ability to repay with in the expected timeline. Second, landbank farmers generally lack sufficient access to markets to sell products at fair prices. Landbank farmers often have a difficult time getting product to market because of lack of transportation, lack of sufficient volume, or quality certifications that larger farmers have access to. They often have to rely on greedy middlemen, who end up taking most of the profit.

In short, though land ownership has been effective in helping families out of extreme poverty, it has not always been enough to bring them into full inclusion in the marketplace. They continue to be on the margins of the current marketing and financial systems, which restricts their ability to grow and develop further.

How You Can Help

A Season of Transition: Part 1

Optimistic Beginnings and Signs of Success
Threats and Challenges
Adapting Our Focus & Bright Hope for the Future

Optimistic Beginnings

Farmer to Farmer began in 2002 with a lot of excitement about helping landless farmers have the opportunity to purchase land. Hopes and expectations were high that farmers would become food secure and profitable quickly and that land loans could be repaid within a ten-year time frame. Land payments would be placed into a revolving fund so that new land purchases could be made, and more farmers served. The initial funding goal was to raise $90,000 to purchase land for the program. This goal, with the help of generous donors and some matching funds, was easily achieved and greatly surpassed. This was a great provision and confirmation that God was blessing and working through this project.

The first landbank, La Esperanza, was started in 2003 in La Dalia, Matagalpa with our partner organization Acción Médica Cristiana (AMC). Not long after this, we started a second landbank, El Progresso, with AMC. At the same time with our partner, Asociación Cristiana de Jóvenes (ACJ), we were starting two landbanks near Boaco: El Peneil, and Milagro de Dios. In 2005, the Mombachito landbank was started near Boaco with an organization that has since closed down. Overall, in the first four years, 68 families, in 5 landbanks began their journey to food security and land ownership.

Signs of Success

In the early years two things stood out as indicators of success. First, the food security of the farm families was increasing. Food security can be defined as having enough, healthy food during all seasons of the year. Among the extreme poor in rural Nicaragua, food insecurity is common and through the Land Ownership for Landless Farmers Program this problem was diminishing. Second, almost all of the farmers’ children were being enrolled in school. Through participation in the program families now had the ability to purchase school supplies and the stability needed to be able to send their children to school.

After several years, a change was beginning to take place in the mindset or worldview of some of the farmers. For many of our landbank farmers there was an attitude of despair and hopelessness at the beginning. Now, as they were developing their own land, the attitude was shifting to one of hope. They were beginning to understand their role as stewards of the creation and that they now can affect change in their lives and circumstances. This was made very plain to us when, receiving his land title, one farmer, Manualito, proudly declared “I am not poor.”

Another milestone was reached in 2012 when AMC started its third landbank, Nuevo Jerusalen. This landbank was partially funded using money from the revolving fund. This was a great first step in our goal to reuse money from land repayments to help another group of farmers. In 2015, AMC started a fourth landbank, La Bendicion, also partially funded from the revolving fund.

As we stand near the close of 2019, in the five original landbanks nearly 95% of the 68 families have repaid and most of them have their land titles in hand or are in the final stages of the legal title process. The two newer landbanks with AMC are progressing nicely and repayment is occurring at a much faster rate than with the original landbanks.

Next week we will look at various challenges that the farmers face and challenges that Farmer to Farmer and our partner organizations face in serving them. Part 2, A Season of Transition: Part 2 – Threats and Challenges will be posted next Thursday, November 21.

How You Can Help

A Deeper Look At Poverty

We View Poverty Differently.

We believe that poverty is less about a simple lack of material things and it is more about broken relationships (with God, ourselves, others and the creation) caused by our sin. A proper understanding of the true nature of poverty is absolutely necessary for any alleviation effort. This video from the Chalmers Center is an excellent, concise description of poverty.

This video was produced by the Chalmers Center. Farmer to Farmer takes no credit for this, though we do implement its principles into our programs. Please visit https://chalmers.org to learn more about poverty and the best alleviation strategies. The do excellent work and are a wonderful resource for anyone working to alleviate poverty anywhere in the world.

A Dream Come True

A story of God’s blessing through hardship and difficulty. This is the story of Santiago Cruz, a member of the land bank “The Blessing” at AMC, in his own words.

“My name is Santiago Alejandro Cruz, I´m 43 years old, married to Fátima del Rosario Luna of 37 years old, together we have 5 children.

I came to land bank “The Blessing” on April 28th, 2011. Before being a member of this land bank, I lived in the community El Granadillo # 2. My wife was a member of a group of women benefited by AMC in a fund project revolving with pigs, I went to work on other farms to earn the support of my family. I personally felt uncomfortable because I lived with all my family in the house of my mother-in-law and sometimes in the house of a sister-in-law. The desire to have my own house was big and much more to have a farm, since I did not think it was convenient to go out for many days to work in other farms and leave my family.

One day my wife was informed that AMC was promoting access to land for families without resources and my family was one of them, so I investigated the application process through my wife who was already close to AMC.

Receiving the notification that we would be given the opportunity to be partners was a great joy for my family. We did not think about it and we came to the land bank, we made a plastic house, we went through the land and everything was grass, the only thing that was there was the opportunity to work it.

The first days were hard, we did not know anyone, and we had almost nothing to eat. The house did not protect us well from the conditions, much less in winter. However, my wife and I promised not to miss this opportunity and fight, because we believe in a God who gives us strength.

Santiago (in red) with his son and his crop of annatto (achiote).

I proceeded immediately to work the plot, we planted cassava (yucca), and basic grains, these were the items that sustained us at the beginning. Today our plot of 2.68 mz has bananas, annatto (achiote), cocoa and fruit trees; this has helped us to have secure nourishment.

Three years ago, my wife was diagnosed with a serious illness, which affected us in all aspects, to such an extent that we requested help in different places to buy medicine. We got frustrated because we thought that we would not be able to make our payments for the land in the stipulated time. My wife’s family knows the desire we have to inherit a house and a working farm to our children, and they helped us to cancel our loan.

Today I am happy and relieved to have no debt, everything that will be produced will be earnings, in addition to seeing how my wife has considerably improved her health.

I can only thank God and AMC for helping us to make our dream come true, to have a house of our own and a farm as a means of work.”

This story was originally written in March 2019. Since this has been written, Santiago’s wife has still been struggling with her health conditions and at times has seemed to only narrowly escape death. Her situation is still difficult so please continue to pray for healing for her.

2020 Fundraising Campaign

Overview

Farmer to Farmer would like to thank everyone who has supported us over the years. We are in a time of transition in the Farmer to Farmer program. Land Ownership for Landless Farmers has been our primary work since 2003. We are now initiating a Rural Business Development Program to complement the Land Ownership program. We are also in the final stages of our first landbanks and are beginning to consider new landbank purchases. In order for us to expand our programs and make this transition effective we are initiating a new fundraiser with a goal to raise $250,000 by December 31, 2020. Please prayerfully consider how you can support this effort. Thank you. DONATION OPTIONS

Operational Budget ($50,000)

We plan to allocate $50,000 to operating funds. Currently the operational budget for Farmer to Farmer is roughly $50,000 per year. Most of this funding is used to support our LCI partners: Asociación Cristiana de Jóvenes (ACJ) and Acción Médica Cristiana (AMC). They use the funds to pay agronomist and business promotor salaries and conduct farmer trainings. A small portion of these funds go to pay Partners Worldwide for their services and to support our Partnership Manager: Geraldy Blandón.

Land Ownership for Landless Farmers Program ($100,000)

With 5 out of 7 landbanks about to be completed, Farmer to Farmer and our partners are beginning research and planning for new landbank projects. We seek to raise an additional $100,000 to be ready to use for the purchase of a new landbank. Extra money is needed now as land prices have increased significantly since most of our land purchases were made over 10 years ago.

Rural Value Chain Development Program ($100,000)

We plan to allocate $100,000 to invest in rural business initiatives. With Asociación Cristiana de Jóvenes (ACJ)we are planning to invest in a cocoa business, which includes a processing facility and a cocoa nursery. This business will generate income in two ways. First, it will provide grafted cocoa seedlings to local farmers. The second and primary source of income will be from the fermentation and drying of the raw cocoa so it can be ready for transport. With Acción Médica Cristiana (AMC) we are in the research and business planning phase of a general marketing project as well as a pilot project lending money for inputs to farmers.

Goal for Sustinability

Farmer to Farmer and our partner organizations in Nicaragua have been discussing our organizational sustainability. We are discussing ways to produce income streams and not rely as heavily on donations. The Rural Value Chain Development Program is our first step to increase sustainable revenue for the future as it will investing profit generating enterprises. I will expand on this in a future blog post.

Donate

Or click here to go to our donation page to see what other options are available.

Our Approach

The Need

Of nearly 1.7 million people living poverty in Nicaragua, 70% of them live in rural areas. Landless farmers are some of the most vulnerable people to extreme poverty and food insecurity. Farmer to Farmer seeks to address two primary economic needs: lack of access to land and lack of agribusiness infrastructure.

Our Approach

Building Long Term Partnerships

Farmer to Farmer takes a long-term approach to poverty alleviation and rural development. As a group of North Americans trying to help in Nicaragua it is imperative to develop strong, trusting partnerships with local Nicaraguan institutions. These institutions carryout the day to day work in the field. The long-term nature of these partnerships is important because it allows us to study and understand the underlying causes of poverty in the areas that we are serving. It allows us to adapt and deploy appropriate strategies as we all learn and grow in our understanding. We strive utilize strategies that are consistent with a Biblical worldview, that respects the dignity of those being helped, that celebrate work and stewardship, and that promote the preeminence and Lordship of Christ and His redemptive work on earth. We seek to continue working with our partner organizations to learn from both our mistakes and successes and adapt our programs as neccesary.

Farmer to Farmer operates as a Business Affiliate of Partners Worldwide. Partners Worldwide is the organization that helps bridge the cultural, language, legal, and financial gaps when working abroad. We utilize their Partnership Model.

Rural Development Programs

LAND OWNERSHIP FOR LANDLESS FARMERS PROGRAM

Many farmers in rural Nicaragua do not own their own land. Many rent or work for large landowners. This is often a poor deal for the landless farmers and more like sharecropping for African Americans after the Civil War. It is a system that they can rarely get out of.

Farmer to Farmer seeks to provide access to the opportunity of land ownership by providing low-interest loans to purchase land through the Land Ownership for Landless Farmer Program. Participants of this program have 10 years to repay the loan and also receive training on biblical worldview, stewardship, agronomy, animal husbandry, and business management. Upon completion of the program farm families are food secure and have a much greater income and financial security than when they were landless.

RURAL VALUE CHAIN DEVELOPMENT PROGRAM

Over the years we have realized that providing access to land is not enough. Many of these farmers, as well as small farmers that own land, do not have access to credit markets, markets for inputs, or markets to sell products at a fair price. Therefore they have difficulty being profitable and productive and this makes repayment of a land loan difficult.

Farmer to Farmer seeks to increase access and inclusion in markets for poor and marginalized farmers by investing in NGOs or companies that will use funds to develop the agricultural value chain in their region. Their work should utilize for-profit strategies that provide farmers with some or all of the following: business and agricultural training, access to capital, access to inputs, and access to local and international markets for sale of farm products.

You can support Farmer to Farmer through the Partners Worldwide website. Please choose “Nicaragua: Farmer to Farmer” from the dropdown menu.