J. H Whittaker’s signed to the Cocoa & Forests Initiative since 2018.
Since then, it has been committed to implementing interventions in its supply chain that fulfil the 3 CFI commitments. In Ghana, Whittaker's sources from 4 cocoa cooperatives in the Central and Western regions. They are committed to developing these cooperatives through the implementation of interventions and actions that improve farmers’ livelihood, protects, and restore forest and improve rural life. This report provides update on the progress made by J. H. Whittaker’s on its commitment to the Cocoa & Forests Initiative in Ghana.
Cocoa farming serves as the primary source of livelihood for most residents in our rural communities. However, because cocoa is a seasonal crop, farmers often face financial hardships during the off-season and are compelled to take loans from purchasing clerks and other private individuals. These loans are frequently secured using their farms as collateral, and if they default, they risk losing their household's main source of income.
Madam Mary Teiko, a 50-year-old cocoa farmer (sharecropper) from Sowodadiem- a small community in the Assin North district- experienced this firsthand when a loan her husband had taken was defaulted, putting their farm at risk.
Two years ago, as part of the iMPACT project, Agro Eco introduced the Village Savings and Loans Association (VSLA) model in several communities within the Assin Fosu municipality. This initiative allows groups of 15 to 30 individuals to collectively save for a year and access monthly loans at a 5% interest rate to support their livelihoods. Agro Eco supports these groups by providing secure savings kits and passbooks to track transactions. At the end of each cycle, members receive payouts (share-outs) based on their shares, along with profits from interest and fines.
In many of our smaller communities, new initiatives often take time to gain trust. People usually wait to see results before participating. Madam Mary was among the first to join the inaugural VSLA group in Sowodadiem, named "Nyame Wo Tumi." She shared, "We've heard stories of people absconding with people's money, but having worked with Agro Eco (through iMPACT) for a long time, (they always bring good programs), I decided to give it a try," said Madam Mary.
After one year of saving, Madam Mary received GHC 1,550.00 during the share-out. She used GHC 1,200.00 to reclaim her husband's farm, taken as collateral, and the rest to pay for her child's Senior High School registration fees and to invest in her vegetable farm. "Through the susu (VSLA), I've been able to do something meaningful for my family. I now recommend VSLAs to everyone I know. I rejoined when we restarted this year, and I'm now saving to start a small trading business," stated Madam Mary.
Madam Mary's experience is representative of many members in VSLA groups established by Agro Eco across all iMPACT project areas.
Expanding this intervention to other farming communities holds great potential for improving finances and livelihoods.
