Connecting sustainability standards with national palm oil regulatory frameworks
We gained approval for national interpretations of the Roundtable for Sustainable Palm Oil (RSPO) principles and criteria in Guatemala, Honduras and Nicaragua. Nicaraguan smallholder organizations formalized and Honduran smallholders took steps to title their land. In Honduras, we launched decent work and gender baselines and training, and the government ratified the sector’s zero deforestation agreement.
Increasing farmer ownership and inclusion in coffee supply chains
In Honduras, CONACAFE partnered with us to implement the national gender strategy. Capucas Cooperative partnered with us to use blockchain technology to create a fair value distribution pilot for 200 producers and we signed an agreement with Molinos to carry out a carbon measurement pilot for 100 farmers in 2022.
Building capacity in the sugarcane supply base
The MAS-CAÑA pilot concluded and Solidaridad signed a new partnership with Grupo Pantaleón, scaling smallholder productivity efforts in Mexico. PanameriCaña implemented four efficient production of sugarcane certificate courses for technicians in multiple mills. Participants were trained in good agricultural practices, gender inclusion and fair labor practices.
Integrating farm management systems
The livestock programme in Nicaragua grew from 130 to 180 producers adopting good practices, disseminated through farmer field schools and promoter initiatives. Farmers create an annual management plan that helps them to apply vitamins, dewormers and vaccines in time, provide better infrastructural conditions, use smaller paddocks and improved rotation, and other practices.
Improving livelihoods through agroforestry
Nicaragua’s cocoa programme saw a 48.3 percent increase in hectares under climate-smart management practices. Producer families and cooperatives have increased their RA standard compliance by 38.4 percent, and they have improved wages by 16.2 percent. 38.5 percent of producer families improved their income from cacao bean sales and other products obtained from their agroforestry systems.
A deep dive
Results across four areas
Solidaridad implements programmes in four integrally interconnected result areas: at the farm or producer level, at the business level, at the policy level, and at the market level. All with the overall goal of building resilient communities through sustainable supply chains.
Most Significant Changes
Forging an enabling policy environment in Central America
We have worked on the development of an appropriate mix of mandatory, voluntary, national and international measures that will lead to business respect for the environment and for human rights in Central America and across all regions.
IMPROVING THE PERFORMANCE OF CENTRAL AMERICAN PRODUCERS
This year, we continued working on the development, testing, and implementation of more than 30 tools and models in consortium with public and private partners. We work with farmers, workers and private sector technicians in the field to improve practices through farmer field schools, workshops, learning exchanges and other inclusive education initiatives.
PROMOTING SUPPORTIVE BUSINESS ECOSYSTEMS
In 2021, nearly 5,800 producers received new or improved services from 28 service providers Solidaridad supported, including coffee, cocoa, livestock and oil palm cooperatives, private technical assistance providers, government providers (such as Instituto Nacional Agrario, INA, in Honduras) and promoter groups.
Sustainability made easier
Innovation is the key to success for any organization and vital for growth, but for Solidaridad, it is also the only way to solve some of the imminent and persisting problems we are facing.
Organization & Governance
A strong base for fundraising and visibility
Nurturing our organizational strengths
Central America and Europe collaborated to link individual donors to meaningful projects, leading to over 100,000 euros invested in agricultural economic development and women’s empowerment in Honduras and Guatemala. Solidaridad Central America, Mexico and the Caribbean established and nurtured important partnerships.
The actual directly contracted income in the region in 2021 is 45% higher than was the previous year for the region. This is caused by other incomes related to the new entity in Mexico that currently provides services to sugar mills and qualifies as non-restricted income. This income stream forms part of the plan to increase the non-restricted revenue to generate reserves for the organization.
Income from Solidaridad entities maintained historical levels and was implemented according to plan.
Total indirect expenses increased mainly in Employee expenses due to internal restructuring and operational strenghtening; a new finance manager was hired during 2021 and three finance staff were replaced/hired.
The increase in financial income is caused by fluctuations in exchange rates.
The full audited annual statements of 2021 can be found below: