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Zacapa-Chiquimula Smallholders' Rural Development Project

Zacapa-Chiquimula Smallholders' Rural Development Project

The project area was located in the north-eastern part of Guatemala, a region that is extremely poor and remote. There are few roads, and most are unusable during the rainy seasons. The area is mountainous and extremely rugged. Soil quality is poor and large areas are unsuitable for agriculture. Only about 24 per cent of the land is cultivated. The rest is given over to forest and grasslands. The main crops grown are maize, beans, sorghum and coffee. Over-cultivation causes erosion and environmental damage to the limited resource base.

The project’s objective was to improve conditions and incomes for farming communities in ways that could be sustained by those communities, while helping to regenerate the environment. The project targeted farmers with less than 7 ha, working to increase grain yields and develop permanent crops such as coffee and fruit in some areas previously given over to grain. Project activities included:

  • providing credit services
  • strengthening institutions supporting agricultural production
  • providing training and assistance in managing credit and finances
  • developing income-generating opportunities for women
  • strengthening marketing services in the area
  • improving animal health
  • providing training and assistance in animal production
  • providing training in soil conservation and management
  • reforesting certain areas
  • building and upgrading roads

Source: IFAD


Status: Closed

Country

Guatemala

Approval Date

07 December 1989

Duration

1989 - 1998

Sector

Rural Development

Total Project Cost

US$ 18.81 million

IFAD Financing

US$ 6.72 million

Co-financiers (International)

Plenty Canada US$ 2.29 million

Netherlands US$ 6.5 million

Co-financiers (Domestic)

National Government US$ 2.97 million

Financing terms

Intermediate

Project ID

1100000251


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