Social Issue

Indigenous communities represent 10% of the population in Latin America, although they represent 25% of the poorest population in that region. An initial survey of 3,000 families in the Ecuadorian Amazon revealed that the income per farmer ranged from $40 to $75 a month, mostly from illegal deforestation, hunting, and itinerant work.

Our Response

Runatarpuna Exportadora is an Ecuadorian company that sources guayusa from communities living in the Amazon region and it is the first company, together with its parent company Runa LLC that is making strides in commercialising this “superleaf” which contains a unique blend of caffeine and antioxidants. Runa’s product lines include speciality tea bags, bottled teas, energy drinks, and wholesale guayusa. An advantage of guayusa in the production of bottled teas is that it requires much less added sugar, as a result of guayusa having no tannins, allowing it to be a healthier alternative in this market segment.

Runatarpuna has encouraged the cultivation of indigenous guayusa trees and has entered into long-term contracts with farmers to buy fresh leaves at pre-established prices. A revenue sharing scheme has also been set up where 15% of the purchases of guayusa are destined to funds that the communities can use to invest in community projects.

Expected Social Impact

Over the next four years, Runatarpuna expects guayusa demand to increase substantially, allowing farmers to sell greater volumes and close to double their incomes as a result of their guayusa harvests. The revenue sharing scheme is also expected to provide over US$ 600,000 to fund community projects over this time period.

The loan Netri has provided should allow 250 farmers nearly doubling their incomes over the next four years.