Young Mountain Tea (YMT), supported by Frontier Co-op, a supplier of spices and herbs, and USAID, has established a farmer-owned tea processing facility in Kumaon, India. As part of the Safe Processing in Cooperative Enterprises (SPICE) project, this facility incorporates advanced technology to enhance processing efficiency. USAID’s role through the Cooperative Development Program (CDP) has been instrumental in addressing technological and infrastructure challenges, aiming to boost earnings for farmers and promote sustainable practices in the Indian tea industry.
This facility will be collectively owned by smallholder farmers, 90% of whom are women, who will benefit from ownership stakes, receive about five times the standard commodity rates, and earn dividends from the processing operations. The facility is expected to initially support 500 farmers, with potential expansion benefiting up to 6,000, thereby driving economic growth, enhancing soil health, and mitigating local climate change impacts.
According to the YMT, Kumaon tea, grown at 4,000-6,000 feet, will “redefine the Indian tea industry” by focusing on farmer equity, regenerative agriculture, and high-quality teas. The new farmer-owned processing facility will help overcome the high costs that have previously limited farmers’ earnings and is designed to be a model of sustainable development.
“The support from Frontier Co-op and USAID has been vital to launching the Kumaon Tea factory and expanding the pipeline of gender-diverse farmers to entrepreneurs. With women making up 90% of Kumaon Tea’s farmers, they’ll be able to earn five times normal commodity rates for their harvest and receive additional income through their collective ownership in the factory – a milestone we couldn’t have accomplished without this partnership.”
In addition to India, Frontier Co-op also partners with cooperatives and collectives in Sri Lanka and Guatemala through the SPICE development project.
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In Guatemala, Frontier Co-op has partnered with FEDECOVERA, a second level cooperative of 42 local coops representing 33,000 farmers growing cardamom, allspice and turmeric. The collaboration focuses on building their capacity to include steam pasteurization, grinding and sterile handling— increasing the price obtained for their crops.
“Our longstanding partnership with Frontier Co-op has been instrumental to bringing better opportunities for Guatemalan small-scale growers in the spice sector,” Gabriela Delgado, Marketing & Logistics Manager at FEDECOVERA. “This support has provided social, economic and agricultural benefits to our cooperative members and their families, providing pathways to economic empowerment for the 100K people in our community.”
In Sri Lanka, Frontier Co-op is working with Small Organic Farmers’ Association (SOFA), an association of over 3,500 spice, tea, coconut and herb farmers in Central Province, to conduct agricultural extension trainings. This training helps farmers adopt best practices in farming, handling, and processing, and is already resulting in improved crop yields, claimed by the Frontier.
“Frontier Co-op is committed to serving people and the planet, helping meet economic needs while also creating positive social and environmental impacts in communities around the world. This partnership with USAID is an extension of our legacy in sourcing organic, sustainable and high-quality spices and a natural next step as we continue to center and support smallholder cooperative farmers around the world.”
Frontier Co-op will continue to fund community and business building projects that will enable smallholder farmers’ long-term resilience and participation in the regenerative supply chain.