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The decision of farmers from the tropical region of Cochabamba in Bolivia to cultivate coca instead of state-recommended alternative products. Despite national coca cultivation having been prohibited from onwards and the rapid reduction of coca plantations up to , coca is still being cultivated in the tropical region of Cochabamba. Technical and economic aspects are responsible for many farmers deciding to continue to cultivate coca and not to cultivate alternative crops. Coca cultivation is technically more adaptable and less demanding than the five alternative crops analysed in this research pineapples, banana, passion fruit, palm hearts and pepper. These require more input or capital from the producers than cultivating coca as well as more technical experience and skills on their part. In economic terms, the demand for coca leaves exceeds their supply, contrary to that of alternative crops; coca prices therefore tend to increase. This is why coca producers often obtain higher profits from cultivating coca than by cultivating alternative crops. Coca leaves can also be marketed relatively easily compared to alternative products as coca purchasers are less demanding regarding coca leaf quality, their transport is easy and cheap and there is the possibility of quick, guaranteed sales. However, many advantages listed regarding coca cultivation in relation to cultivating alternative crops conflict with coca being prohibited and the fight against its cultivation. Additional key words: alternative crops, agricultural commodities market, agrarian marketing, alternative development, comparing crop profitability. Despite a Law passed in Barrientos, restricting coca cultivation in non-traditional areas the major area of coca cultivation in this region , the total cultivated area gradually expanded from the mid s onwards, reaching its peak of around 40, ha in The government had already intervened against such expansion some years before. The Prodes in spanish, Proyecto de desarrollo Chapare- Yungas development project was implemented without success between and Law coca regime and controlled substances law was intended to reduce and control coca cultivation through a new alternative development programme based on controlling the production, transport and marketing of coca leaves, substituting coca cultivation for legal crops and controlling cocaine production and trafficking Cardozo et al. There was a massive introduction of selected crops such as pineapples, banana, passion fruit, palm for palm hearts and pepper at the beginning of the s. While the area devoted to legal crops increased reaching about 24, ha during , coca plantations in this region had become reduced to about 7, ha by Dai-Concade, ; Barrientos, Following the boom in alternative crops, farmers again began to cultivate coca from in contravention of Law so that the area covered by coca fields was around 28, ha in Numerous factors are responsible for continued coca production. This research analysed pertinent technical and economic aspects to ascertain why farmers choose to remain imbrued in the coca culture. A technical and economic comparison is made between producing and marketing coca and alternative crops to establish the most influential factors determining why farmers continue to cultivate coca. This study was based on documental and descriptive research. Quantitative secondary data and qualitative data were considered when analysing the problem. Four important aspects were considered: production, market, marketing and the benefits obtained from each crop. A question and hypotheses concerning each aspect were formulated to make analysis easier. Is cultivating coca technically easier than cultivating alternative products? Coca plant requirements such as climate, soil, necessary cultivation work and the need for inputs must be compared with the demands of alternative crops to answer this question. The coca plant makes less demand for good soil conditions and its adaptability to the region is greater than that of alternative crops. The coca plant Erytroxylon huanacu coca is a ligneous, ever green shrub which is adaptable and undemanding regarding the soil and climatic conditions of those regions where it is cultivated. It grows without difficulty on acid, shallow and slope soils typical of the humid tropics, tolerates intense shade, full sun, weathers longer dry periods and short-term parched water table. The coca plant is able to settle at altitudes up to 2, masl the Cochabamba tropical region lies at , masl and tolerates an extensive temperature range as well as high air humidity Cordep-Dai, ; SPI Consultora, ; Matteucci, sf; Pohlan, in Torrico, The tropical- subtropical region of Cochabamba is outstandingly suitable for cultivating coca in spite of high rainfall and great soil variability. This was confirmed by copious crop acreages mainly being established when regions were colonised from the mid s to the end of the s. Although coca plants do not grow and produce equally well everywhere, they provide their producers with the expected profitable yields; coca plantations can be profitably farmed for up to 60 years, depending on soil fertility and care Sanchez, Regarding soil and climatic conditions, the so-called alternative crops are generally more demanding and less adaptable than coca; an appropriate location must be selected for each individual crop for profitable production. Pineapples Ananas comosus L. The roots of the pineapple plant begin to putrefy on badly drained soils having more than 2, mm rainfall. The same holds true for bananas Musa paradisiaca. Such conditions in the tropical region around Cochabamba are, however, available only on a limited basis. Low-lying fields in the vicinity of large rivers are frequently inundated. Soil is also an important factor for passion fruit Passiflora edulis ; it has to be fertile, well-drained and loamysand to loamy-clay. Excessive rainfall exceeding 1, mm per year, which is not rare in the tropics of Cochabamba, may particularly harm the lower parts of the plants Corpei, ; Cordep Dai, ; Planthogar, ; Sica, The choice of location regarding soil characteristics is also very important for palm heart Bactris gasipaes HBK production. Although this plant is considered to be robust because it is able to grow nearly everywhere in the tropics of Cochabamba like the coca tree , it requires fertile, well-drained soils to be economically profitable. Infertile and badly-drained soils substantially retard palm heart growth and harvest Brenes et al. The selection of soil is even more important for pepper Piper nigrum L. High rainfall of more than 2, mm per year weakens the plants and makes them more susceptible to disease Ecuagro; Infoagro; Rizzo, sf. Not so many activities need to be carried out when cultivating coca compared to alternative crops, particularly if a plantation has already been established table 1. However, weed and pest control, as well as harvesting, do require a large work-force, especially during the harvest; this obviously leads to providing many jobs in rural areas. Such labour, mainly provided by the farmers and their families themselves, is particularly concentrated on the harvest which is carried out four times a year; appropriate weedcontrolisimplementedimmediatelyafter harvesting. This leaves farmers with comparatively long continuous periods for carrying out other economic activities. The soil is prepared in the same way in this area for nearly all crops; i. This procedure not only manures the soil with valuable mineral constituents but also decreases soil acidity. Furrows are ploughed and pits dug in these scorched fields into which the seedlings are then transplanted. Although alternative products take less time for cultivation than coca, the different cropping activities are distributed throughout the year; consequently, not much contiguous time remains for other work. The same holds true for passion fruit cultivation, the difference being that the harvest occurs only between October and July Cordep- Dai, It must be mentioned at this point that alternative products have a shorter productive cycle than coca, i. Additional manpower needs thus arise in alternative cultivation. As coca is a relatively robust plant it requires less maintenance than many other crops. Besides, coca is still cultivated according to traditional methods, i. Lower input results in lower costs, an advantage for the farmers who often have only a small amount of capital available. The costs involved in new planting do not arise until later years and those for further tools only after years. Cultivating alternative products is more costly than coca cultivation. The costs of coca cultivation are 4 times less than that of bananas and passion fruit and even 20 times less than those for pepper. Alternative crops generally require the use of more chemicals and materials for stakes, plastic bags, etc. Moreover, apart from the higher costs involved, new young plants have to be purchased in shorter cultivation cycles than for coca crops. Farmers do not need special expertise for successfully cultivating coca as the coca plants and their consumers are not so demanding. Local knowledge is gained from neighbours and learned and applied through their own work in the fields. Most farmers from the tropical region of Cochabamba emigrated from the valley and surrounding mountainous regions from the end of the s to the end of the s. As they wanted to become coca producers, they immediately began cultivating coca, although lacking knowledge at the beginning. The prospect of easy and quickly-earned profits spurred them on to learn quickly at the time. By contrast, farmers need longer training for successfully cultivating alternative products. Passion fruit, palm hearts and pepper were new crops and still are so for many farmers. As well as the buyers who insist on large quantities of good quality products, these crops are more demanding than coca plants. Farmers also do not have enough capital to comply with all technical cultivation recommendations. Coca production directly depends on the size of the cultivated area, this being decided by the demand for coca leaves, and indirectly on the demand for coca on the world market, governmental control of coca production and the fight against cocaine manufacturing and marketing. The total area covered by coca plantations in Bolivia, Colombia and Peru hardly changed between and It varies around , ha figure 1. Not until did coca plantations decrease in Colombia as a result of nationally-controlled, large-scale reductions. Coca cultivation and production became drastically reduced in Bolivia starting from the second half of the s, particularly in the tropical region around Cochabamba figure 1. The demand for coca and cocaine became considerably increased during this time as the supply of coca decreased. It can thus be assumed that the demand for coca exceeds supply at present, making additional coca production appear desirable for the farmers. However, the relationship between supply and demand is very different regarding alternative products. Supply and demand fluctuate in cycles of around 10 years table 2. Table 2 Palm hearts are usually tinned, there by considerably extending their non-perishability. According to Viscarra , 16, t of palm hearts reached the world market in ; about a quarter was imported by the United States of America and they doubled palm heart imports between and This suggests an upward trend in the consumption of palm hearts world-wide. A similar tendency has been displayed in the consumption of passion fruit which is mainly exported as concentrated juice Praedac, Based on Central Bank of Ecuador Corpei, data, around 50, t of passion fruit juice were exported worldwide in Ecuador alone increased its exports from around 5, t in to about 27, t in The biggest markets for all the alternative products mentioned are the European Union and the USA except for domestic markets where there is fierce competition amongst exporting countries regarding price and product quality. Bolivia currently only supplies these markets with palm hearts as transportation costs for edible bananas and fresh pineapples are too high and passion fruit and pepper are produced in too little quantity. The supply of alternative products from the Cochabamba tropical region has increased due to the expan sion of the area being cultivated table 3 and increased yield table 4. Pineapples, bananas and palm hearts are offered for both domestic and foreign markets whereas passion fruit and pepper are just for domestic trade. The farmers are of the opinion that the home market is already saturated with pineapples and bananas and they therefore fear that increased production could lead to price decay, although potential demand still exists in theory in the non-producing areas of Bolivia. Table 3 Table 4 Domestic consumption demand for palm hearts fresh as well as tinned is limited. On the contrary, the food industry has caused demand for passion fruit, palm hearts and pepper to be larger than supply, just as the demand for pineapples and edible bananas for export Barrientos, Apparently limiting factors leading to this imbalance are low prices for producers palm hearts and pepper and deficient productqualityregardingexportgoods pineapplesand bananas. Above all, greater efforts are required from the farmers concerning their labour and capital to ensure balance between supply and demand. The price for coca usually reacts sensitively to changes in supply whilst demand generally remains elastic. Coca cultivation became reduced from in the Cochabamba tropical region, intensifying again just before However, the price of coca has increased nearly continuously, reaching a tempting level for coca producers in recent years table 5. Two price margins exist for pineapples and eatable bananas, one being for the home market and the other for the export market. Better quality fruit belongs to the export market where higher prices are usually paid. Of the five alternative products, palm hearts and pepper were subject to a sharper price decrease from The price of pepper evolved in a similar way having already known 10 year-cycle price fluctuations. The decline in price is not currently as sharp as that for passion fruit; the production manager for EMCOPAIVI a passion fruit processing company from the Cochabamba tropical region has stated that passion fruit price will continue to drop in the future Barrientos, Table 5 Table 6 Is marketing coca easier than marketing alternative products? The alternative product market has more demand for product quality than the coca leaf market. Coca has first to be processed after being harvested before coming onto the market. This happens just after the harvest if the weather is dry; harvested crops are stored until the next sunny hours or days if it rains during harvesting day. The longer such storage lasts, the worse the quality of the coca leaves becomes, particularly in humid and unventilated conditions even if the leaves have already been dried. They lose their economic value in the worst case due to oxidation or mould. Coca leaf quality refers to size, formation, maturity, chemical transformation during storage time and cleanliness, purity and area of origin. Coca leaves from the Yungas of La Paz are preferred for chewing contrary to those of Chapare which are bought for cocaine production. Size, formation, maturity, cleanliness, degree of purity and area of origin are not as crucial for quality as chemical transformation during longer storage time caused by oxidation or fungal attack leading to coca leaves turning brown. Such brown leaves can still be sold despite this quality-reducing change in colour, albeit at a lower price. The product rarely has to be rejected due to quality loss; product wastage is consequently very low. Regarding the alternative products, much more attention is paid to quality compared to coca; however, pineapples and bananas are sold on domestic markets as long as they are eatable. Home market customers are less demanding whilst only fruit of a certain quality is accepted for export. Size, degree of maturity, cleanliness, health condition, colour and weight are examined. The same also holds true for palm hearts and passion fruit which are mainly purchased by the catering industry. Small, broken, dried or oxidised palm hearts are mostly rejected, just like immature and burst passion fruit which are usually thrown away. Pepper is not homogenous and is often impure if prepared manually by the producers themselves; this and fungal infestations caused by unfavourable storage reduce the value of pepper on the market. The product completely loses its economic value if mouldering is extreme, which is not uncommon in the humid tropical region of Cochabamba. Public means of transport such as taxis, small or large trucks as well as buses are used for longer distances in areas having roads; transport cost per bag varies depending on coca price and transportation distance. Prices range from 3 to 10 Bs per bag within the production area Barrientos, One hectare yields around 2. Transporting coca leaves into the big cities, such as Cochabamba or Santa Cruz, costs about twice as much as transporting them within the production districts where leaf weight and relatively small volume simplifies transport. Coca plantations are also established where no roads are present due to this advantage. A country road as close to the cultivated fields as possible is necessary for transporting leaves to market for all alternative products except for pepper. Transport costs vary depending on product weight and volume and the distance to the market. Transporting the yield from one hectare of pepper or palm hearts costs less than that of one hectare of passion fruit, bananas, pineapples and even coca. A small or large truck is needed for these products except for pepper to make transport profitable. Selling coca leaves is not difficult as the demand for them is still larger than supply; there are sufficient purchasers at the farm-gate as well as in primary and secondary markets. Coca was mostly sold on farms in the tropical region of Cochabamba during the coca boom mids to the end of the s. As the largest part of such production went to manufacturing cocaine, the purchasers collected the coca leaves directly from the producer and paid in cash, even in advance. The coca was nearly always sold individually; common sales or something similar did not exist because it was not necessary. The alternative products are sold on farms, at the market and in the food industry. Passion fruits usually have to be taken to the processing industry by the producers themselves. Pineapples and bananas taken to the packaging centres for export are sold by the crop associations, thus not on an individual basis; the same happens for passion fruit and palm hearts which go to the food industry Barrientos, Alternative product demand was low and irregular during the mids to the end of the decade, with exception of traditional pineapples and edible bananas intended for the home-market. Food industry demand, particularly for palm hearts and passion fruit, increased from the beginning of as it did for pineapples and bananas for export. However, orders were irregular, making producers insecure and distrustful. Payment on credit also contributed towards this, particularly regarding pineapples and bananas for export and passion fruit and palm hearts for industry. The time interval for final payment varied from weeks for pineapples, 0- 16 weeks for bananas and weeks for passion fruit, palm hearts and pepper Barrientos, Cultivating coca was very profitable during the coca boom. Coca prices fell for a short time following national control being taken of both coca and cocaine production and trading and the reduction of coca plantations; however, they rose again when supply decreased. Coca cultivation is still currently the most profitable activity in the tropical region of Cochabamba. Annual capital expenditure can be exceeded by approximately fold with the yield from one hectare. The need for capital only being available to farmers on a limited basis becomes considerably reduced once a plantation has become established. Tables 7 and 8 show the annual volume of sales per hectare is much lower for alternative cultivations than for coca. Table 7 Table 8 Most established plantations were only possible until today due to national subsidies because this has been the only way the farmers have been able to make a profit. However, this is not the case with all alternative cultivations. Farmers must increase crop yield and improve product quality to make a considerable profit in banana-, passion fruit-, pepper- and particularly palm heart-cultivation or they will not make a profit, as is the case at present with palm heart cultivation. Coca cultivation is technically easier than that of the alternative products. The experience gained by the farmers in a short time is completely sufficient for cultivating the unassuming coca plant. Reduced supply combined with slightly rising demand results in high prices, making the coca market the most attractive one for farmers at present. In theory, the entire production could be sold quickly and at a good price. The alternative products are affected on the market by the demand for quality, decreasing prices and strong competition, contrary to coca. Coca leaves are easy to market, returning a high profit which is substantially attained with less effort compared to most alternative products as demand exceeds supply and most buyers in the production areas purchase directly on farm. Coca leaves are also easier to transport and there are no quality and quantity restrictions. Coca cultivation is without a doubt the most profitable cultivation in the tropical region of Cochabamba at present. There is much to be said for it; only a small amount of investment capital is needed at the same time as little agricultural experience, not much land and little investment of time; however, the amount annually invested in the crop is returned several times. Many farmers thus risk their time, money and even their liberty by facing the threat of arrest because of being involved in illicit coca cultivation; however, making quick and easy money counts for more for these farmers, at least compared to possible alternatives. The state development programme must ensure the best conditions for producing and marketing legalproductsaccompaniedby capitalinvestment, experience and infrastructure for successfully substituting coca plants by alternative crops. There is thus no product directly competing with coca, the coca market is not saturated and attainable profits are high. If coca were not the raw material for cocaine it might not be the ideal crop for farmers in the Cochabamba tropical region. Antezana, O. Cochabamba Bolivia. Encuesta a agricultores y expertos sobre los cultivos alternativos a la coca. First results of the empirical analysis. Bonn Germany. Doctoral thesis. University Friedrich-Wilhelms, Bonn Germany. Cifras y datos del desarrollo alternativo en Bolivia. Product profile: sour passion fruit concentrate. Coca in numbers. Oportunidades inexploradas de negocios. La pimienta. Proyecto Concade, Cochabamba Bolivia. Amazonas Brazil. Manejo integrado de plagas MIP en el cultivo de banano. El cultivo del tembe en el Chapare. El cultivo de la pimienta. Acuerdo de competitividad de la cadena del banano. Palmito: noticias y comercio internacional. Ocampo, L. La Paz Bolivia. Chapare - Mito y realidad. Maracuya passion fruit. Estudio de mercado de frutas del Chapare. University of Bonn, Bonn Germany. World drug report Bolivia coca cultivation survey. La cadena productiva de palmito. Services on Demand Journal. Methodology This study was based on documental and descriptive research. Results and discussion Is cultivating coca technically easier than cultivating alternative products? The coca plant makes less demand for good soil conditions and its adaptability to the region is greater than that of alternative crops The coca plant Erytroxylon huanacu coca is a ligneous, ever green shrub which is adaptable and undemanding regarding the soil and climatic conditions of those regions where it is cultivated. The alternative crops require lower manpower than coca Not so many activities need to be carried out when cultivating coca compared to alternative crops, particularly if a plantation has already been established table 1. Coca cultivation demands lower input than that of alternative crops As coca is a relatively robust plant it requires less maintenance than many other crops. The farmers have more experience in cultivating coca than alternative crops Farmers do not need special expertise for successfully cultivating coca as the coca plants and their consumers are not so demanding. Demand for coca is greater than its supply Coca production directly depends on the size of the cultivated area, this being decided by the demand for coca leaves, and indirectly on the demand for coca on the world market, governmental control of coca production and the fight against cocaine manufacturing and marketing. The prices for alternative products have dropped by contrast with coca prices The price for coca usually reacts sensitively to changes in supply whilst demand generally remains elastic. The alternative product market has more demand for product quality than the coca leaf market Coca has first to be processed after being harvested before coming onto the market. The sale of coca leaves is faster and more secure than that of alternative products Selling coca leaves is not difficult as the demand for them is still larger than supply; there are sufficient purchasers at the farm-gate as well as in primary and secondary markets. Is cultivating coca more profitable than alternative crops? Conclusions Coca cultivation is technically easier than that of the alternative products. References Antezana, O. All the contents of this journal, except where otherwise noted, is licensed under a Creative Commons Attribution License. How to cite this article.
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