“FEST-ETC-Basquetour Conference: Leadership and Governance for Sustainable Tourism”

“Using private-public partnerships to develop sustainable agro-tourism: the São Tomé and Príncipe case study”

Mr Andrea Serpagli

Country Programme Manager, São Tomé and PríncipeIFAD-West and Central Africa Division

ESC, Vitoria, 1st July 2015

Why the Sao Tomé and Principe case-study was considered of interest for this ESC event? Because it is a

nice story about….

• Inclusive development and its (unplanned, unexpected) scaling up effects

• Private-public partnerships

• Its sustainability dimension in economic, social and environmental terms

• Inter-sectorial dimension

São Tomé and Príncipe: 1,010 Km2 / 185,000 inhabitants. A very “classic” SIDS example: isolated, exports dependant, fast

growing population and very limited resources availability

Background: how the whole story started in STP. The development of agricultural value-chains

• São Tomé e Principe: largest international cocoa exporter in 1930 (40,000 MT).

• Land reform (WB/IFAD supported) in mid-80s’: 8,000 smallholders were created.

• Price volatility of cocoa: from USD 1,300/ton in early 1998 to USD 700-900/ton till end 2001. Smallholders were abandoning their lands.

• In 2003, IFAD started the “Participatory Smallholder Agriculture & Artisanal Fisheries Development Project (PAPAFPA)” based on: (i) PPP establishment, (ii) Organisation of producers, (iii) Produce upgrading,(iv) Use of certification to access EU niche (certified) markets.

• PPPs established (cocoa): (i) 2005 between CECAB (bio-producers export co-op) and KAOKA (leading French enterprise in the EU organic chocolate market);

(ii) 2009 between CECAQ (FT-producers export co-op) and CaféDirect (UK, active on the FT liquid beverages market + GEPA (2012) leading FT organization in Germany.

São Tomé and Príncipe: Support to Organic and Fair-Trade Agricultural Value Chains

• Main value-chains targeted:

• Organic Cocoa (as from 2005)• Organic Pepper (as from 2007)• Fair-Trade Cocoa (as from 2009)• Organic Coffee (as from 2010)

• Private Partners involved:

• Organic cocoa: KAOKA (FR)• Organic fair-trade: CafèDirect (UK) +

GEPA (D)• Organic pepper: Hom&Terre (FR)• Organic Arabica coffee: MALONGO

(FR)• Organic Robusta Coffee (SLOW

FOOD)

Project achievements (cocoa only)Project achievements (cocoa only)

Communities covered:Communities covered:

Org

anic

co

coa

valu

e ch

ain

– C

EC

AB

(20

05)

Org

anic

co

coa

valu

e ch

ain

– C

EC

AB

(20

05)

Producers supported:Producers supported:

Dried beans exported:Dried beans exported:

45 – 3750 ha45 – 3750 ha

>1800 (36% women)>1800 (36% women)

> 5000 MT (since 05)> 5000 MT (since 05)

1 PPP established: with (KAOKA, 2005)1 PPP established: with (KAOKA, 2005)

Communities covered:Communities covered:

Org

anic

/fai

r tr

ade

coco

a v

alu

e ch

ain

–

CE

CA

Q-1

1 (2

009)

Org

anic

/fai

r tr

ade

coco

a v

alu

e ch

ain

–

CE

CA

Q-1

1 (2

009)

Producers supported:Producers supported:

Dried beans exported:Dried beans exported:

17 – 1729 ha17 – 1729 ha

958 (34 % women)958 (34 % women)

750 MT (since 09)750 MT (since 09)

2 PPPs established: with CaféDirect (Fair-trade -2009) and GEPA (Organic-2012)2 PPPs established: with CaféDirect (Fair-trade -2009) and GEPA (Organic-2012)

São Tomé and Príncipe: communities covered by PAPAFPA

ZONE CENTRE

ZONE NORD

CARTE DES COMMUNAUTES IMPLIQUÉES PAR LES COMPOSANTES DU PAPAFPA À LA FIN DE L’ANNÉE 2008

P.Inhame

O.Gaspar

B.Vista

T.Velho

N.Estrela

Montalegre

S.Joaquim

P.Sol

Paciencia

Abade

Pincaté

B.Monte

Fundão

P.Real

S.Rita

S.Cristo

SundyAzeitona

V.Fernanda

P.Conchas

Plancas Plancas IISaltado

A.Sampaio

A.CoimbraM.Carmo

P.Alto B.Esperança

Generosa

Rosema

S.Teresa

R.Palma

R.Funda

C.SantosCadão Gratidão

P.Figo S.B.Sucesso

P.Figo P.NEVES

M.Leite

A.MoraisCascata

J.Luis

M.Morais

Rebordelo

D.Vaz

S.Jenny

P.Fogo

J.Paulo

S.Margarida

Milagrosa

Blu-Blu

Q.Palmeiras FilipinaR.Lima

PinheiraQ.Flores

R.Nova

N.OlindaS.António

À.Izé

M.AntónioQuimpo

C.Faro

S.Januário

B.FaroA.Andrade

M.CanaO.Marim

M.SilvaCastelo

M.Belo

A.Douro

S.Cecilia

Caridade

Beira A.Vouga

S.Lourenço

Amparo1

A.João

S.Paulo

S.Francisco

A.Toldo

S.João

Soledade

M.Carroça

N.Oliveira D.Augusta

Abade

PlateauS.Manuel

S.Catarina Rio Ave

Lemba

P.Furada

S.JoãoD.Amélia

C.Açoreana

Vanguarda

M.Mário

Micondo

V.Formoso

S.Adelaide

S.Clotilde

M.Luiza

S.Manuel

P.Palmeiras

R.Peixe

P.Alegre S.

A.Douro

Willy

P.Baleia

Sta.Josefina

A.Belas

M.EstorilP.Pian

R.Douro P.Laranjeira

A.TelhaSantarém

B.Entrada

S.José

F.Dias

Sta Teresa

Piedade

P.Maria

BénficaFormosa

S.Carlos

S.JoséMargão

V.Alegre

Queluz

M.Macaco

S.F.Mongo

M.Café

Canavial

V.Braga

S.LuziaS.Clara

Caldeiras

U.B.PraiaU.B.Velho

Guegue

C.DiasS.Clotilde

P.Conchas P.

M.Forte

Fortunato

Alphabétisation

M.Alegre

Cacao Biologique

Poivre Vanille

U.Budo S.

F.Mantero

Amparo2

Malanza

FIC

Poisson frais sous glace

ZONE SUD

PRÍNCIPE

S.J.dos Angolares

Ió Grande

R.Palma Praia

P.Pesqueira

Mulundo

Maianço

Praia M. Alves

Praia Lapa

Picão

Saudades

Cacao Qualité

Conde

Uba Cabra

P.Nazaré

The Business Model utilised in STP

The instrument : the PPP

Public (IFAD + local Government) – Private (EU enterprises + local producers) Partnerships: a very effective way to involve poor smallholders in developing sustainable agricultural value chains and win-win solution for all parts involved:

Ability to ensure long-term viability: PPPs implemented prove to be a viable instrument for long-term undertakings such as the development of agricultural value-chains;

Effectiveness in sharing and mitigating risks linked to: (i) market access (in terms of: demand, practices used), (ii) non-compliance with produce quality and standards, (iii) size and consistency of supplies , and (iv) access to technology;

Ability to well combine different contributions aiming at a common goal: public investors provide investment resources, while private partners provide: know-how and specialised technical assistance, market access and knowledge/contacts along with some financial support;

Ability to facilitate work within ethical schemes: this ensures use of: (i) viable production/processing/trade practices; (ii) fair trade terms (based on agreed minimum stable prices, pre-negotiated contracts, advance payments of products); (iii) premiums for communities’ development; (iv) fairer distribution of wealth generated.

The impact of the work on agricultural value-chains

The video: Saved by chocolatehttps://www.youtube.com/watch?v=LH0zveHAQ2w&feature=youtu.be

The approach used to develop an agro-tourism value-chain in STP

The strategy: Make use of lessons learned and win-win approaches utilised for developing the primary sector during last 20 years.

(a) Continue to make use of sustainable/ethical approaches;(b) Use private actors as a driver of the sector’s development: creation of a PP platform rounding up public sector (local/national institution, IFAD/GEF, the EC, local and international NGOs) and private (tourist operators, eco-lodges, restaurants, national Association of Biologists, National Guide association) actors;(c)Link up previous national investments and assets (the Obo and Principe National Park, local NGOs, local tourist facilities and operators etc) with new (IFAD and GEF) investments;(d)Pursue the process linked to quality and excellence followed to value agricultural products inherent quality features (through certification, niche markets, use of GIs) also for developing the tourism sector (using certification, linking up eco-lodges and more traditional catering facilities, utilizing Slow Food “presidiums” to value local recipes and foods); (e) Networking local cultural heritage, pristine natural resources, past and ongoing interventions to enhance tourist capture.

The instruments

The PP platform

•Legally established end of 2014;•Rounding up: farmers’ organizations, National Guides Organization, National Biologist Association, local NGOs, one International NGO and leading organic certifier (ICEA), eco-lodges, hotels, restaurants, national Tours Operators, regional (Camera de Lembá)/national (Ministry of Tourism)/international institutions;•Acting based on a “sustainability chart” created “ad hoc” in the context of the IFAD/GEF intervention;•Aiming at enhancing local, inclusive and sustainable tourism development in STP and abroad and promoting country’s image internationally;•Support park/forests protection and restoration of degraded areas.

The first “tourist package”

•Piloting it in the Lembá District: major producing area of organic cocoa, with well established institutions (including CECAB), functioning eco-facilities, concomitant donors’ interventions (EC, IFAD and GEF), prominent cultural and natural endowments (both inland and along coasts);

•Merging consolidated achievements with new challenges: the work on the bio-cocoa value chain (through the “cocoa-route”) and on the Obo National Park with a still unstructured local tourist industry and the recently started local work of Slow Food;

•Aiming to build up an inclusive, sustainable, certified and quality national tourism industry•Promoting it via international circuits (Northern EU tour operators) and high profile events (such as EXPO 2015).

THANK YOU