IDH signs MoU with Vietnamese government for co-investment in sourcing sustainable coffee landscape by bring together public and private industry stakeholders
Jacobs Douwe Egberts (JDE Peet’s) and IDH have partnered with Simexco, LDC and ACOM to implement three projects to promote low-emission coffee production in Vietnam. The three projects is co-financed by IDH, JDE, other private partners, and contribution by Vietnamese farmers with a total investment of 3.6 million EUR.
IDH Regional Director Asia Landscapes Chi Tran signed a Memorandum of Understanding (MoU) with the Vietnamese national government for co-investment in sourcing areas in the Central Highlands. The partners will now cooperate through a landscape approach, bringing together multiple public and private stakeholders for transformative impact. Launch was witnessed by Vietnamese governmental bodies, domestic and international coffee entrepreneurs, associations and CSOs on 14 February.
Vietnam and IDH are working in collaboration since 2013 in order to improve the sustainability of the coffee industry by establishing Production-Protection-Inclusion (PPI) Compacts in 2019 at 3 major district (Di Linh, Lac Duong and Krong Nang) in two key coffee provinces Lam Dong and Dak Lak.
The new projects aim to promote low-emission coffee production over 30,000 hector, benefiting over 24,000 households (48,000 farmers). The projects prioritize Lam Dong and Dak Lak province. And a small proportion towards other Central Highlands provinces including parts of Gia Lai and Dak Nong. The partnership will support regenerative agriculture, including supplying coffee and shading seedlings, and soil tests.
‘JDE Peet’s is working towards unlocking the possibilities for coffee and tea farmers and industry. We are collaborating with the supply chain operators and local government to facilitate sustainable coffee production. We are also tracking and reducing the carbon footprint of our entire coffee value chain’, Mr. Do Ngoc Sy, Sustainability Manager, APAC, JDE Peet’s shared.
The projects aim to help mitigate climate change by reducing greenhouse gas emissions and removing carbon from the atmosphere, with robust accountability and verification systems for carbon insetting.
Agroforestry and intercropping systems introduced through the Landscape Program have helped them reduce carbon emission and improve incomes for smallholder farmers. Farmers also received sustainability certifications, created community irrigation systems and cut down on dangerous pesticides following implementation of the landscape approach.
Furthermore, IDH and the Department of Cooperatives and Rural Development (DCRD) of Vietnam’s Ministry for Agriculture and Rural Development (MARD) will cooperate on implementing the Scheme 1088 aimed at developing a standard large-scale agricultural and forestry sourcing area for export and domestic consumption. MARD to promote public-private partnership through the SourceUp mechanism and a landscape approach. Five large-scale sourcing areas will be established in 13 provinces throughout Vietnam, including the Central Highlands coffee sourcing area.
