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By Martin McLendon , Allie Long and George Morgan. Brazil Malva Project. Initial contact made last year through a visiting professor
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By Martin McLendon, Allie Long and George Morgan Brazil Malva Project
Initial contact made last year through a visiting professor The problem: small villages along the Rio Solimões who produce malva and jute fibers are being exploited by a middle man who buys the fiber for close to nothing and sells it at market price for a large profit Asked to research the problems associated with the exploitation and look into possible demands made for the fiber Submitted initial deliverable with recommendations on how to enter the “green” market in the U.S. and Brazil How it Started
Spring break last year 3 of us went to Manaus to present our work and get feedback from graduate students and professors involved with PIATAM • Got a very positive response from our work but realized that we overlooked limitations faced by the villages • I.e. lack of electricity, poor health, low technology • Asked to write chapter of a book for PIATAM Trip to Brazil
Second trip to Brazil in August Asked to look deeper at the full distribution chain of producing and selling the malva Current Focus
The first phase will focus on: • Researching the complete distribution chain of producing a product out of malva • Researching ways to eliminate the power of the patrao by aggregating a product in a way that makes him redundant • Examining the formation of a cooperative and the steps necessary to get legal recognition • Contacting organizations who might be potential buyers of malva products The second phase will focus on: • Present an approved business plan to companies willing to purchase sustainable goods from these villages • Obtain a grant to cover the start up costs for villages producing malva Initial Plan- Our LOE
Communication to Brazilian companies caused numerous issues because of the language barrier Implementation was complicated because of the distance Decided to take a more consulting type role and compiled a document of our recommended steps for successfully creating a profitable business with the malva and eliminating the patrão Limitations to our Plan
1. The process of forming a cooperative and the problems associated with it 2. The distribution chain of selling malva 3. Creating business relationships with potential buyers Outline of the Document
Explained what a cooperative is and how it is formed Suggested contacting the OCB Noted the potential power struggles that can exist in villages once a cooperative is formed The formation of a successful cooperative would give the villages more economic power and would help them decrease their dependence on the patrão Cooperatives
Identified the large domestic demand for the fiber Identified the necessary start up costs for seeds and transportation Suggested forming relationships with local companies that purchase the fiber (i.e. JUTEL) The main focus of the villagers should be growing the raw fibers and transporting them to the local outlets Distribution Chain of Selling Malva
Suggested for the villages or possible cooperative to establish a spokesperson to be the main liaison between the villages and the companies Identified the importance of marketing the fiber to local companies Suggested implementing contracts to ensure they are not exploited Creating Business Relationships
We have submitted our recommendations and are waiting for feedback as to whether continued work is necessary Questions? Moving Forward?