In Honduras, the Hand-in-Hand Initiative supports investment in three areas:

  • Production of seeds for climate resilience, with an investment of US$56.2 million. The internal rate of return is 18% and the net present value is US$26.6 million.
  • Strengthening the coffee value chain, with an investment of US$24.3 million. The internal rate of return is 22.4% and the net present value is US$20.4 million.
  • Strengthening the cocoa value chain, with an investment of US$23.8 million. The internal rate of return is 17.4% and the net present value is US$3.17 million.

Seeds for Climate Change

This intervention has three components:

  • Ensure the conservation of national plant genetic resources through a National Germplasm Bank, with trained personnel for its operation and maintenance.
  • Increase the availability of certified seeds of improved varieties by selecting and releasing new varieties (Corn: 2 varieties, Beans: at least 1 variety, and Sorghum: evaluation 4 varieties).
  • Strengthen the national seeds system to reduce the current seed deficit in the market. Modernize the seed production programme. The PPS/SAG-DICTA provides registered category seeds to the industry for the production of certified seeds. To this end, current seed processing plants need to be remodeled and equipment upgraded. Laboratories need to be streamlined to achieve greater efficiency and technical assistance and training must be provided for producers and technicians to ensure quality control.

Building Climate Resilience in the Coffee Sub-Sector

This intervention establishes agroforestry systems, increasing carbon fixation by at least 30%. The objective is to cut 15% of greenhouse gas emissions generated during coffee processing from the treatment and handling of coffee by-products. It would boost energy efficiency and the use of renewable energy in drying coffee beans.

This intervention has two components:

  • Agroforestry systems (or SAF). The goal is to establish coffee agroforestry systems to achieve environmental sustainability and diversify producers' income through the production of wood and fruits. The result would be 4,200 renewed hectares of sustainable coffee farms with timber and fruit trees. It is estimated that at least 2,000 small producers would be implementing agroforestry systems and diversifying their income.
  • Quality improvement. This intervention would make it possible to remodel processing plants and upgrade equipment for greater efficiency, and install a treatment system to manage coffee by-products. For example, it will establish facilities for producing organic fertilizers using coffee by-products. It will create some 50 producers' groups adopting environmentally sustainable processing practices. At least 1,200 producers would gain access to markets. It would produce at least 5,000 quintals (100kg) of organic fertilizers.

Strengthening the Cocoa Value Chain

This intervention promotes the development of technologies in cocoa cultivation to strengthen the crop's production and productivity nationally. 

  • Research and validation of technologies. The goal is to develop 18 superior cocoa clones with high productivity and sensory quality, determine their level of resistance to diseases and examine the level of sexual compatibility in promising cocoa clones. Eighteen cocoa clones would be valued and validated in cocoa-producing regions, benefiting 2,140 families that work on 1,500 hectares.
  • Strengthen production and productivity. The intervention aims to renovate cocoa plantations by developing technical assistance and training program, and establishing organic certification and fair trade processes. This would reduce poverty and increase employment and food security, with an annual increase of net income by US$544/ha and creation of some 270 jobs.

Minister Laura Suazo discusses the HiH Initiative in Honduras

For the first time, an international investment forum was held in Santa Barbara, Honduras from April 26th to 29th. With the aim of promoting public and private investment in the agricultural sector, the forum provided a space for national authorities to present investment projects to corporations, multilateral development banks, and donors.