At a Glance

Location: Peru

Impact Areas: Income Generation, Employment Formality

People Supported:
Rural, Women, Indigenous Peoples

Joined NESsT Portfolio:
2023

coas.com.pe

Overview

In the Junin and Ucayali regions of Peru, agriculture forms the bedrock of livelihoods for many local communities. However, in these remote areas, access to basic services and opportunities is limited, and many smallholder farmers have to turn to the cultivation of illegal crops to support their families, a practice that threatens the area’s rich biodiversity and traditional ways of life.

For over two decades, Cooperativa Agraria Sonomoro del VRAEM (“COAS” – formerly known as Asociación de Productores Agrarios Naylamp de Sonomoro) has been working to improve the lives of smallholder farmers in these regions. It equips farmers with resources to cultivate organic, Fairtrade cacao, highlighting the benefits of sustainable farming practices. COAS’ work to offer rural farmers a sustainable alternative to illegal crops is recognized and supported by the National Peruvian Commission for Development and Life without Drugs (“DEVIDA”).

Today, the cooperative supports more than 500 members – 30% of whom are from Indigenous communities – who would otherwise not have access to technical farming knowledge. As members of COAS, smallholder farmers can improve and scale their cacao production and obtain organic certification for their crops. By ensuring the cacao it sources meets international standards, COAS is able to secure premium prices for its members and contribute to improving local livelihoods.

COAS has also implemented an environmental management plan to support local farmers to conserve the biodiversity of their farms and surrounding areas. One example of this is promoting the use of organic pest-control methods that do not harm local ecosystems. Additionally, COAS plants trees in areas where trees were previously cut down. This helps prevent erosion and enhances soil quality, leading to better crop production.

Currently, 30% of the cooperative’s members are women. Together with DEVIDA, COAS actively promotes the participation of women in cacao production; to do so, it runs community engagement campaigns to reach women cacao producers and provides technical training to women hired internally in processing and selection roles. 


Results & Impact 

145

women farmers trained and supported

150

farmers from Indigenous communities trained and supported

635

smallholder farmers supported by 2025

NESsT’s significant financial assistance and continuous strategic support have had a remarkable positive impact on our cooperative’s growth. Not only have we been able to improve the lives of 512 families from Indigenous Asháninka, Nomatsiguenga, and immigrant settler communities, but it has also ensured sustainable employment for our members, including marginalized individuals like single mothers and elderly people.
— Fredy Raul Millan Montalvo, General Manager, COAS

NESsT Investment

The Lirio Fund’s investment will provide working capital to the social enterprise on an as-needed basis, allowing COAS to continue to source cacao from local producers and provide training in cacao tree planting and regeneration. The Lirio Fund will also provide COAS with a longer-term loan over three years for the construction of a new warehouse. This will allow the social enterprise to increase its purchasing and processing capacity and improve quality control, securing the income of its producers for upcoming years.

NESsT also plans to work alongside COAS to further its work in the area of gender equity, supporting the cooperative to open a small plant to produce and sell cocoa derivatives primarily processed by women.