There is a large proportion of producer weavers who are widows either because of tsunami or long period of political conflicts. They earn approximately US 55 cents per day. This, generally, is worth 15% to 30% of the household income. Pekerti hopes to work with Save the Children to implement new technologies, methodologies and approaches to business with the view to increase incomes. Finally, with the prevalence of Pandan plant (Pandanus tectorius) growing locally and plentiful traditional production skill, target beneficiaries are ready to receive and benefit from assistance.
This project is aimed at gaining a better livelihood and Pekerti’s program is assisting these marginalized producers to increase their efficiencies whereby daily incomes will increase by 100% to 150%. The program will also help open a project shop and form a women’s cooperative.
To achieve the program’s goals, Pekerti has requested from Save the Children Aceh funding for US$134,212.00 to incorporate new technologies, business training, mentoring to producers and assist in opening more profitable markets. This funding is assisting 325 women weavers in Pidie form 13 working groups that will achieve economies of scale, giving meaningful collective business to unaffiliated women, it will also lift their incomes by up to 150% and have a follow on effect of industry best practice to the wider industry of up to another 2500 women.
After nine months implementation, the “Pidie Pandan Women’s Empowerment Program”, has recorded project impact and positive outcomes. The positive outcome that have achieved on the project stage 1 as follows:
- Production cost reductions of 73%
- Increase in local wholesale price of standard product of 20%
- Value adding and new product development is seeing producers gain a daily income increases
- Increase product sales and market access not only in project area but also to other places like to Banda Aceh.
- By March 25th the shop turn over was 29,499,000 Rupiah with and average sale of 159,454 per customer or US $ 17.70. This is a very high retail customer price even in terms of a Western consumer standard.
- The Project also was able to increase staff and beneficiaries skill on business reaching in total 239 women on a constant basis by the end of the project from the original 323 beneficiaries who distribute into 13 groups
- Formation of a women’s cooperative “Seuke Aceh that was born into a legal entity on the 28th of February 2008.
Beside the success that the project has had, several crucial problems also arose in the project. For that reason, Yayasan Pekerti continue this project with Save the Children to a second stage. The program is to continue the stage 1 project, those are to strengthen Seukeu Aceh Coops, expand value chain, value adding, retail outlets, government support and assistance, industry quality standards and branding as well as more membership to a single industry cooperative. This will provide an institution or organization that as a center of information, collective marketing, training and activities done collectively to strengthen the position of small pandan women producer in doing their activities.