Business Overview

The cooperative of San Gabriel purchases grains directly from local producers and sells them within the community at a competitive price.

Basic Grain Sales - San Gabriel, Nicaragua

Economic Challenge

San Gabriel, located in a municipality with high poverty rates, is no exception. Despite a young and active population, very few community members have the ability to purchase their own land so a majority are forced to work for other land owners for daily rates. San Gabriel is located in a region of Nicaragua that has been very impacted by drought, significantly decreasing agricultural production and making a stable income increasingly difficult. Furthermore, due to lack of resources, farmers in San Gabriel typically have to sell their harvests to intermediaries at a low price.

Business Solution

The Business

The recently established Cooperative in San Gabriel is launching a grain purchase and sale business. The business will purchase grains produced withing the community at a better price than that given by intermediaries. Grains will be stored and sold within the community at a lower price than community members would typically pay at nearby markets. Crops to be pruchased and sold include beans, corn, rice and oil.

Next Steps

1: Create purchasing agreements with producers
2: Partner with local Cooperative to purchase more grain

Page Last Updated: October 23, 2017