The Resilient Coffee initiative seeks to improve access to credit and skills, improve female participation and build climate resilience among Indonesia’s smallholder coffee producers
Keurig Dr Pepper (KDP) and non-profit Root Capital have partnered to launch the Indonesia Coffee Enterprise Resilience Initiative (Resilient Coffee) – a programme to promote sustainable economic development among Indonesia's coffee producers.
Managed in collaboration with the US Agency for International Development (USAID), the three-year project will support 14 coffee enterprises to reach 14,000 smallholder farmers in the provinces of Across Aceh, East Java, and North Sumatra to foster sustainable economic growth.
Key areas of development include expanding access to finance and credit opportunities, strengthening gender quality by equipping women with business management skills and implementing digital solutions to improve smallholder resilience to the climate emergency
“A lack of business management skills and access to credit impedes coffee enterprises from harnessing their full potential for growth. USAID’s collaboration with Root Capital and Keurig Dr Pepper will expand public-private capacity and commitment to strengthening and increasing inclusive economic growth, as well as prioritising investment in women’s economic empowerment and building resilience against climate change,” said USAID Indonesia Mission Director Jeffery P. Cohen.
“It is through the power of collective action and our long-standing USAID and Root Capital partners that we are able to invest in impactful and innovative solutions that help address the challenges facing smallholder coffee growers,” added Keurig Dr Pepper’s SVP & Chief Sustainably Officer, Monique Oxender.
Non-profit Root Capital works to strengthen prosperity in agricultural and rural communities across Africa, South America and Indonesia
by providing access to credit facilities. Founded in 1999, the organisation has since provided more than $1.7bn in loans to 770 agricultural businesses in the countries it works across.
“Root Capital has been a long-time believer in public-private partnerships to tackle the intersecting challenges facing our world,” said Willy Foote, Founder and CEO of Root Capital. “We have worked with Keurig Dr Pepper and USAID on a number of exciting projects in the past, and we are particularly excited for the potential to launch this new project working directly with the USAID Indonesia mission.”
Indonesia is the world’s fourth-largest coffee producer by volume and the second-largest exporter of specialty arabica in the world. It is also home to growing branded coffee shop market forecast to exceed 4,000 stores by 2025.
JAB Holding-backed KDP controls a portfolio of more than 125 owned, licensed, partner and allied brands, including Krispy Kream, Panera Bread, Cinnabon and Caribou Coffee. Through the Resilient Coffee initiative, KDP will be seeking shore up its coffee supply chain and strengthen its inventories, which were cited as key headwinds
for the business in mid-2022.