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ADB Shore up the financial aid for coffee producing families in Timor-Leste

ADB Shore up the financial aid for coffee producing families in Timor-Leste

ADB and Timorese Executive sign a three million dollar agreement to support coffee producers in Timor-Leste (Image/media MF)

DILI, july 13 2020 (TATOLI)– Asian Development Bank (ADB) express its financial aid of US$3 million backing two thousand coffee-producing families for good agricultural practices and access to finance trough agroforestry and coffee improvement program.
The ADB Representative, José Perreira said the initiative aims to boost the development of coffee sector in Timor-Leste, stressing that the support will initially focus on the identification of households and farmers, who are depending on the coffee production.

Finance Minister Fernando Hanjam said coffee is Timor-Leste largest non-oil production export.

“Coffee is an integral part of our culture and great source in our country. Community considers coffee as national identity,” Minister Hanjam said.

ADB senior specialist of Natural Resource and Agriculture from South East Asia Stefania Dina considers, coffee as national priority to reduce poverty, to improve food security and the country economy after covid-19.

Meanwhile more than 37.5 populations in Timor-Leste are coffee farmers and half of it are their lives depending on coffee.

According to her the sector operation is far from its potential in a long term, due to the production is small and unstable, quality is inconsistent, and weak management in coffee sector, thus it brings the consequence to the farmers to continue live in poverty.

She also underline the program funding from Japanese Government such as agroforestry and coffee improvement, will be implementing in six districts such as Aileu, Ainaro, Bobonaro, Ermera, Liquica and Manufahi, aim to double the country’s coffee and agroforestry production, opening the door to 270% increase in coffee exports by 2030.

The project will also support the Development plan for coffee sector approved by the government in 2019 with the duration of 11 year, with direct assist from ADB and World Quality Coffee Institution.

Government will invest $38 million to the Development plan specifically to six (6) principal areas such as surveillance and development, production and productivity, additional quality and value, access to market, domestic consume and tourism, management coordination in coffee sector.

The agreement was signed by the Ministry of Finance Timor-Leste Fernando Hanjam and the ADB Director in Timor-Leste, Sunil Mitra.

Journalist: Maya Gusmão

Editor: Julia Chatarina

Translation: Nelia Borges Rosario

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