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DM 2008 Project Completion Report


[12/01/2011]

To ensure accountability and to share lessons learned from the implementation of DM-funded projects with the public, we would like to ask you to fill out this Project Completion Report within three months of the completion of the funding period. Per our usual procedures, we will ask each Project Liaison to review the Report and will post it on the Development Marketplace website at www.developmentmarketplace.org If you would like to provide information that should be off the record, you may do so in section VI. Information provided in this section will be handled as confidential without public exposure. In addition, in accordance with the Grant Agreement, please attach a statement of account showing the use of the entire amount of the fund. Please also provide a one-page summary of your project, which includes 1) brief background of the issue(s) addressed by your project, 2) major achievements during the implementation, and 3) envisaged next activities and involvement of new partners. We will use this material to continue to disseminate your project idea to interested development partners.

I. Background Information
DM Project Number and Title Report Authors Name (if different from Team Leader) Funding Period Total Award Amount

6676 Using the Organoleptic Analysis of Fine Chocolate to Improve Market Access of Small-Scale Cocoa Growers in Ecuador Project Claire Nicklin May 2009 September 2011 US$200,000

II. Project Achievement and Impact


i) Now that your team has completed a full project cycle, rate and describe your projects overall success. To describe the level of success, be sure to make reference to the milestone objectives that were negotiated with your Project Liaison at the beginning of the implementation.
Overall Success Rating: Not Successful (0-49% overall accomplishment)

Somewhat Successful (50-69% overall accomplishment) Successful (70-79% overall accomplishment) Highly Successful (80-100% overall accomplishment) Beyond Expected Achievement (over 100% overall accomplishment)
Description: We met all of our objectives as set out in the original contract. We were able to exceed our original plans in terms of elaboration of a video, collaboration with additional partners, participative marketing materials development, participative mapping and presentation of scientific results.

ii) Were there any unrealized activities stated in the Project Agreement? Yes No If Yes, how did these unrealized activities affect the overall impact of the project?

iii) What were the major challenges your team faced during the implementation? What, if any, adjustments or changes did you make to your original business plan in order to overcome the challenges?
Challenges: Importing chocolate making machinery was very challenging Adjustments or Changes: We added some extra activities to fill the time while we were waiting for the machinery such as an extra training session, making the video and doing one tasting with cacao paste instead of chocolate bars. We also asked for an extension of 2 months and have continued to work for another 2 months without cost.

iv) How did the obstacles and the adjustments affect the overall success of the project?
Effect on Success: We would have had more time to actually improve the chocolate quality if we had had the machinery longer. We had only a few weeks to train the technicians in how to use the machinery before we had to start making bars. The first batch of bars had poor tempering and refinement, which are problems we still struggle with. Also if we had the bars sooner we could have attended more international fairs and had more time to work with the private sector to develop commercial relationships with the associations. We could have also had the cocoa fair earlier and perhaps had two of them during the life of the project. The delay in the bars also meant a delay in the organoleptic tasting and production of the organoleptic maps, which meant that for our 3 rd training session, we were not able to provide as much information as we would have liked to on the individual taste profile of each association We see the impact of this lack of information in the end line survey that reports that only 50% of the farmers interviewed knew the organoleptic profile of their chocolate.

v) What were the key activities of your project (column 1)? What were the most significant immediate impact of these activities and how have you measured them (column 2)? In other words, have there been changes in the beneficiarys attitude, status, knowledge, or skills? How do these outcomes address problems in the society and what are the effects of the projects outcomes on the larger community (column 3)? In other words, what development objective have you achieved?
Key Activities: Provision of chocolate making equipment to INIAP to process single region small batches of chocolate. Significant Outcomes: INIAP now has the capacity to make chocolate bars. Social Impact: Four associations have contracted the services of INIAP to make chocolates. This has led to diffusion of their chocolate to buyers, as well as increased their trust and interaction with INIAP.

Collecting geo-referenced cocoa samples from farmers and growers association who will compete in the fine cocoa competition.

Organizing a fine cocoa competition

Getting a regional Organoleptic (taste and smell) map with flavor profiles from the cocoa samples collected.

Producing regionally distinct chocolate bars to be used as training workshops and for marketing purposes.

We not only georeferenced each Growers Association (GA), but did a participative mapping exercise, where GA members mapped out the borders of their association. This provided a more detailed map. Many of the people who attended the fairs were drawn in by the map. Also some private sector partners requested extra copies, demonstrating their valuing of the map. 100 maps were also distributed among Peace Corps volunteers in Ecuador. The map and project were presented to over 120 geography students across the country at a conference at the USFQ, there was high interest in the project and map More than 1000 visitors attended the 1st Annual Taste and Aromas of Ecuadorian Chocolate Fair. There was a lot of interest by farmers, donors and the private sector in the fair, as well as considerable media attention. VIP guests, including representatives from each GA, got to tour the new chocolate making facility. INIAP says the event raised their profile considerably among many actors, especially farmers. After receiving the results from 6 experts, it was revealed that each GA had its distinct organoleptic profile, which confirmed our hypothesis. These findings were translated to the map and blog so they are publically available and help buyers, consumers and farmers see which flavor profiles come from which regions. 11,000 bars were produced, 1000 from each GA. Of the 1000, half went back to the GA for their own internal use. Of the remaining 500, we packaged them in sampler boxes with one bar from each GA. Of those 500 boxes, 50 were sent to international chocolate makers and donors, 40 were used at the INIAP fair for tasting, 50 were distributed to important actors in the national Cacao market at the fair, 20 were given to the World

Participative mapping empowers the GAs by recognizing and valuing their knowledge. We sent 100 maps to each association and they distributed them among farmers.

We recognized one association for having the best fermentation and another for having the best attitude. This motivated the GAs by recognizing their efforts. The GAs were the expositors in the fair they each had their own stand where they provided samples of their chocolate. We had done some training on how to interact with the public, this was very empowering.

We only had to pay one taster for her organoleptic analysis, the rest were done pro-bono by esteemed private sector tasters, this led to increased project buy-in from the tasters. The farmers recognized that their chocolate is unique, not better or worse, but unique. Blind chocolate tastings were done at the third training session. Farmers reported that they learned the most from the chocolate tasting activity among all the activities done during the three tasting sessions. At the end of the training sessions 70% of the farmers were able to detect organoleptic qualities of chocolate.

Providing training for growers associations on chocolate making, tasting and marketing.

Carrying out workshops for growers associations and farmers to learn about the connection between chocolate quality and cocoa management.

Facilitating direct market linkages by participating in international fairs with accompanying public relations campaign.

Evaluating changes in cocoa quality, prices and farmers income

Bank, 35 were sent to international fairs in Brazil and London, 40 were sent to National chocolate makers and actors in the value chain, 100 were used as samples in national chocolate fairs and 75 were sold to reinvest in the project. Many have remarked on the diversity of Ecuadorian chocolate and a few chocolate makers have begun to seek new relationships with GAs based on the samples. 100% of the farmers interviewed report being able to now being able to taste and different chocolate flavors, 94% report being able to present and sell the product in the fair and know how to plan a fair. All of the associations except 1 also went to INIAP for 3 days and helped to produce their chocolate. The results were mixed on if the trainings helped GAs improve their fermentation in 4 of the 11 associations the fermentation decreased, in 4 it improved, and in 2 it was good and stayed that way, and in 1 it wasnt that good and stayed that way. 48% of farmers interviewed in the end line reported that they improved their knowledge of traceability. 63% of the farmers interviewed in the baseline report that they will apply what they learned in the workshops to improving the quality of their cocoa. We substituted sending 80 samples directly to key actors in the chocolate value chain instead of actively attending international fairs. Of the samples we sent, 8 chocolate makers said they would like to be in direct contact with specific GAs. We are still trying to facilitate those relationships. Above is stated the results in cocoa quality (fermentation), the prices for cocoa and farmers income have not changed yet, although one GA has reported that they have sold 200 bars at $1 each for an additional income of $200 to the association.

III. Ancillary Achievement


i) Dissemination of your projects outcomes and findings plays a key role to attract funding and implementation partners to take the project to the next level. Were you successful with disseminating your projects information during the project cycle? Yes No If Yes, please specify how and with whom you have shared the knowledge with.
There was wide media coverage of the project and in particular of the fair we held at INIAP PIchilingue in July 2011. As a result, the main scientist of INIAP now says he has been recognized by cacao farmers in the provinces who say they saw him on the TV and would like to make some chocolate at INIAP. Before there was not this kind of recognition or interest in INIAP on the part of farmers. The scientist offers to process 1 kilo of chocolate for free out of friendship for small scale farmers, which is also an important impact of the project: INIAP now also feels closer and more connected to farmers. A list of press coverage for the fair:

http://www.elcomercio.com/pais/campesino-conoce-sabores-buen-cacao_0_524947611.html http://www.elcomercio.com/agromar/chocolate-fino-asociaciones-feria_0_521947954.html http://solnacientenews.blogspot.com/2011/07/primera-feria-nacional-aromas-y-sabores.html http://www.pastazaaldia.com/index.php?option=com_content&view=article&id=366:i-ferianacional-de-aromas-y-sabores-de-cacao&catid=25:ultimas-noticias&Itemid=28 http://www.magap.gob.ec/mag01/index.php?option=com_content&view=article&id=1408:iniaprealizara-la-i-feria-nacional-de-aroma-de-cacao&catid=56:com-boletines&Itemid=153 http://www.telegrafo.com.ec/index.php?option=com_zoo&task=item&item_id=10354&Itemid=16 http://www.fedecacao.com.co/cw/index.php?secinfo=18&Noticia=2796 http://www.revistabuscandolanoticia.com/agricolas.html


ii) How has your relationship with the original partners, as specified in the final proposal, evolved?
INIAP and CYD, despite some problems with the project coordinator, have strengthened our relationship and continue to work closely together. As a result of the success of the project, INIAP will fund a full time new technician to work in the new chocolate lab. They are also investing more funds into expanding the lab into a training center and investing in more machinery and getting the sanitary registration for the chocolate bars. The relationship with the 10 original growers associations expanded to 11 during the course of the project. USFQ provided an additional GIS course for the project team and we continue to work closely with them, including participating in a GIS conference that they recently held.

iii) Has your organization allied with new funding, implementation, or in-kind partners and/or do you have any prospective partners to carry on the project beyond the DMs funding period?

Yes No If Yes, specify the name of the partner, type of the organization, type of partnership, and monetary amount of support. Partners Name Type of the Org Private sector chocolate maker Type of Partnership (financial, implementation, in-kind) In kind provisioning of chocolate making training and technical support. Amount Funded or Committed (in US$)

TCHO

IV. Future Business Plan


i) Have you prepared a business plan for the coming year? Yes No If Yes, please list key activities planned for the coming year and tell us who will support the activities.
INIAP has calculated the cost of production and the capacity for chocolate making at the lab.

ii) Do you have any concerns about continuing this project for the next couple of years? Yes No If Yes, what are the concerns and how do you plan on addressing them?
We will not be continuing the project in its current form. There has been interest from the Ministry of Agriculture to scale up the project to 50 new associations. The associations themselves are also paying INIAP to make new bars.

V. Other Comments/Information Update


i) What advice would you give to a new DM winner to help them be successful in implementing their projects? Any tips on setting realistic milestones, overcoming bureaucratic obstacles, leveraging the PL and other DM resources, reaching target beneficiaries, establishing effective partnerships, or anything else?

ii) Do you have any comments or recommendations on the overall process and support provided by the DM Team and Project Liaison? Feel free to add any other information you would like to bring to our attention.
In order to really foment innovation there needs to be room for more flexibility in terms of changing activities and the budget. The local team in Ecuador including the laison, Gabriela Acosta, as well as the media specialist Cristina Medina and the National Representative Loli Arribas were incredibly supportive and helpdul.

iii) If your contact information has changed, please provide us with the new information. Contact Name: Title: Organization: Primary Email Address: Secondary Email Address: Organization's Website Phone: Fax: Address: Postal Code:

VI. Confidential Report


Please provide, if any, sensitive comments or requests in the box below. Information provided in this section will be handled as confidential and will not be publicly posted on the DM website.

VII. Project Expenses Report


Please attach an expenses report for entire DM-funded implementation period as an Appendix to this report. Please report on the DM funding only.

VIII. One-Page Project Summary


We would like to create a one-page summary of your project so that we can share your projects idea and achievement with our development partners. There is no set format for the summary; however, please be sure to include 1) a brief background of the issue addressed by your project, 2) major achievements during the implementation period , and 3) anticipated next steps and involvement of new partners. You may attach the report as an Appendix to this report. Thank you for your time to fill out this report. It was truly a great pleasure to serve your team in the past year. Please keep us posted on your new achievements and challenges. We wish you every success in your activities.

Small-scale cocoa farmers in Ecuador are the curators of an enormous treasure of fine flavor varietals. However, they often do not value these varietals because the market does not pay a premium and they are disassociated from the end product. Likewise, fine chocolate makers are often confused by the mix of varietals and qualities of cocoa emerging from Ecuador, which causes the lack of a relationship between quality and price. The production of chocolate bars that are differentiated by cocoa variety and post-harvest techniques can serve as calling cards to fine chocolate makers to get to know the different varietals in Ecuador as well as empower growers association to produce better quality coca and negotiate more effectively with buyers. This Project originated from a desire of many cacao growers to be able to taste and analyze their own chocolate, not just rely on client reports. To that end, sophisticated equipment that can produce relatively small batches (30 kilos) of chocolate was purchased for INIAPs Experimental Station in Pichilingue, Ecuador, so that cacao growers associations would always have access to chocolate making facilities. We also wanted to showcase the large diversity of cacao flavors that exist in Ecuador, due to genetic as well as environmental factors, something that is often referred to as terroir. The idea of terroir is that flavor is not just about the biophysical properties of a crop, but also the intangible elements of a place and its people and practices. Thus, in addition to the making of 11,000 chocolate bars, the project also worked closely with the associations to produce maps of their territory, reconstruct oral histories, and create a marketing identity with their own slogan and logo that reflects their identity. The result is a set of 11 bars with unique and delicious tastes and aromas, and farmers who are aware and empowered by their local identity. The bars are used as samples for fine chocolate makers and consumers around the world to know the diversity of Ecuadorian cacao and work directly with the growers associations that interest them. Moreover, the project increased the awareness of growers associations of the connection between cocoa quality and chocolate taste through training sessions on production and post-production issues, as well as traceability. 8

The associations are now contracting INIAP to make additional bars that they are selling at local fairs and distributing to international chocolate makers as samples. New associations are also interested in contracting INIAP to make more bars. We expect that this will lead to more stable and profitable market relationships between Growers Associations and buyers in the short and medium term.

Annex I. All Project Expenses for DM Tenure


Planned Actual Difference Expenditure Expenditure (Actual Sub-Totals Sub-Totals Planned) (USD) (USD)

1 2 3 4 5 6 7

Items Personnel Materials and Equipment Training Travel Evaluation/Information Dissemination General Administration/Overhead Other Total Expenses

Please provide explanation below for the following if applicable: - Any difference between actual and planned expenses greater than +/- 10% - Details for all other expenditures.

For Internal Use Only


Approved by Project Liaison (Type) (Signature) Received by DM Team (Type) (Signature)

Date

Date

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