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Cacao and Coffee 101. Success Strategies for Small Farm Holders. Episode 5. New Models of Ownership and Corporate Governance.

Dear adorable coffee-chocolate lovers:
After some days of stay-working recess for the occasion to celebrate “Teacher´s day”, we have returned with our material for this weekend. We have been bold and courageous to consider the whole picture that we have been describing for a month. For us, the primacy of any financing structure is tied to the ownership of the deal-making. Moreover, our priority is to keep the land of the small landholders intact. That means we do not want the farmers to lose their land if they have access to credit. Our proposals of today are guided by the immense desire to provoke a thoughtful reflection about all the risks related to farming cacao and coffee in the context of global warming and climate change. Properly. But we have also acknowledged that without proper technical assistance, without the correction of the upstream part of the global value chain (from the generic commodity to differentiation of the beans using AOC), and without proper access to capital, the farmers will never be able to raise their conditions of living, and the cycle of poverty will continue. Coffee and Cacao are meant to provide good conditions of living to all the participants of the global value chain: upstream production farmers, midstream processors, and downstream retailers. All of them are on the same boat while facing climate change. All of them depend on the good quality and flow of the beans from the upstream production section, too. We envision that solidarity, donor or low-pricing capital support for the tropical belt nations, and goodwill could become the philosophy behind the financing facilities that will be required for small farmers to grow.

Find the material for your masterclass this weekend. Do not forget to follow the link URLs provided in slides 18 and 19. Proceed to read each of our slides thoroughly and think about all the issues involved in climate green finance for small farmers of the tropical belt. It is a long way to go to change their quality of life. However, with the correct guidelines, right financing structuring, proper risk management tools, with the aid of agri-finance companions, I am sure that it will help enormously to all the participants of the upstream section of the global value chain of cocoa and coffee. For us, the correction of the value proposition of the farmers from a generic bean to a value-added differentiation terroir based on an AOC or Appellation d’Origine Contrôlée (Protected Designation of Origin) is the only path left in commercial terms to raise the value of the beans.

We kindly ask that you return next Monday, the 29th of June 2026, to review our strategic reflections on this chapter.
We encourage our readers to familiarize themselves with our Friday master class by reviewing the slides over the weekend. We expect you to create ideas that are or are not strategic reflections. Every Monday, we upload our strategic inferences below. These will be discussed in the next paragraph. Only then will you be able to compare your own reflections with our introspection. We always give our students a couple of days to prepare well before our final reflection.

Strategic reflections on this episode.
These will be in the section below on Monday, the 29th of June.

Illustrative and non-commercial GIF image. Used for educational purposes. Utilized only informatively for the public good. Source: Public Domain

Announcement. Our next episode will be about the new customer segments that the upstream small farmers should consider when facing their lovely beans with an AOC ( protected designation of origin ). You will see the shift of potential consumers under different scenarios. The diversification of new niches is expected.

Musical Section.
This saga is committed to elevating traditional musical instruments and their respective musicians over digitally produced sounds. This saga is dedicated to the chamber orchestras. 
Today, we have chosen the Grammy Award-winning Kremerata Baltica https://kremeratabaltica.com/orchestra. This orchestra was founded by Gidon Kremer in 1997, and it is considered to be one of Europe’s most prominent international ensembles. Enjoy!

Thank you for reading http://www.eleonoraescalantestrategy.com. It is a privilege to learn. Blessings.

Illustrative and non-commercial GIF image. Used for educational purposes. Utilized only informatively for the public good. Source: Public Domain

Sources of reference and bibliography utilized for today´s inferencesThe bibliography is listed on the last slide of the reference reading material. Click the respective URL to trace them.

Disclaimer: Eleonora Escalante paints Illustrations in Watercolor. Other types of illustrations or videos (which are not mine) are used for educational purposes ONLY. All are used as Illustrative and non-commercial images. Utilized only informatively for the public good. Unless otherwise stated, I do not own any lovely photos or images.

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