Saint lucia banana comerciaization and agricultural diversification program

PONTIFICIA UNIVERSIDAD CATÓLICA DEL ECUADOR
FACULTAD DE COMUNICACIÓN, LINGÜÍSTICA Y LITERATURA
ESCUELA DE NEGOCIOS Y RELACIONES INTERNACIONALES

Sem. Theory of development and International Cooperation
Natalia Torres
Seventh Level
December, 2009

Saint Lucia Project

1. Application Form for the Action.
1.1. Title
1.2. Location(s)
1.3. Cost of the action and amount requestedfrom the Contracting Authority
1.4. Summary
1.5. Objectives
1.6. Relevance of the action
1.7. Description of the action and its effectiveness
1.8. Methodology
1.9. Duration and indicative action plan for implementing the action
1.10. Sustainability
1.11. Logical framework

2. List of Annexes (included in folder along with this file)
2.1. Analysis of the Context
2.2. SWOT analysis2.3. Tree of problems
2.4. Tree of objectives
2.5 Stakeholder analysis
2.6 Budget for the action

1. APLICATION FORM FOR THE ACTION

* 1.1. TITLE

Saint Lucia Banana Commercialization and Agricultural Diversification Program (SFA 2005)

The erosion of market protection for Caribbean bananas on the UK market since 1993 has led to contractions in agricultural output and a significantdecline in the contribution of agriculture to Gross Domestic Product (GDP). In addition, although the marketing of agricultural products, especially bananas, continues to be central to Saint Lucia’s export and economic performance accounting for almost two-fifths of domestic goods exports and 3% of real GDP in 2005, the industry’s potential has been dealt a serious setback by rising productioncosts, due to the rising cost of fertilizer and other agricultural inputs.

Over the past ten years, a number of new niche market opportunities which provide premium prices to farmers have been explored, such as Fair-Trade and Organics. The introduction of GLOBALGAP (formerly EUREP-GAP) standards and Fair-Trade has spurred renewed interest among farmers and their producer/marketing organizationssuch as the Windward Islands Banana Development Exporting Company (WIBDECO) and the Windward Islands Farmers Association (WINFA), who see this as an opportunity to increase benefits from the industry. Today, almost 95 percent of Saint Lucia bananas produced on 1500 farms (organized into 13 groups) are sold under the Fair-Trade label.

Given this scenario, and with support from WINFA, the SaintLucia National Fair-Trade Organization (SLNFTO) and the WIBDECO, it is necessary to ensure continued leveraging of niche market opportunities for both bananas and other agricultural products. Fair-trade labelling presents one such opportunity to renew competitiveness and ensure continued access to EU markets by local producers.

* 1.2. LOCATION

Saint Lucia |

St Lucia, the leadingtourist island with the highest number of all-inclusive hotels, covers 260 sq miles and has a population of 160,000. Like St Vincent, it gained its independence in 1979. St Lucia is the largest banana exporter of the four Windward Islands and the crop directly benefits about half the island's population.Since the location for this project is such a small state, the applicant will focus on the entireterritory (taking into account that the crop directly affects half of the island’s population), starting from the Saint Lucia Banana farmers community as one only target. |
* 1.3. COSTS OF THE ACTION*

EC contribution |
Minimum | Maximum |
€1,382,250 | € 2,764,500 |

* 1.4. SUMMARY OF THE PROJECT*

Total duration of the action | <24 months> |
Objectives of the action |Overall: <Increase Caribbean banana exports to 41% by 2013.>Specific: <Enable St. Lucian farmers and workers to face the rising costs of fertilizers and growing effects of climate change.> |
Partner(s) | * The Windward Islands Banana Development and Exporting Company Limited, WIBDECO (Winfresh) * The Windward Islands Farmers Association (WINFA) * The European Commission. |...