Hugo Restrepo & Cia (HR&C) produces culinary ingredients from hot peppers, mainly for the US-based owner of the TABASCO brand of hot pepper sauce
• Hugo Restrepo & Cia (HR&C) produces culinary ingredients from hot peppers, mainly for the US-based owner of the TABASCO brand of hot pepper sauce. (http://www.cecodes.org.co/descargas/documentos_ni/Informe_Final_RURALTER_Colombia.pdf). Thier peppers are supplied by small individual farmers, who have no domestic market for their product. The company recognized the vulnerability their suppliers faced in (1) having only one customer and (2) the fact that such a single relationship carries the risk of foreign eschange fluctuations. HR&C brought its suppliers together to form an alliance in collaboration with a local NGO and several partners with specialized expertise in technical assistance, policy matters and financial support. This alliance strebgthened the producers market power in addition to providing for higher-quality prodcution inputs and better production techniques. HR&C itself provided the market access and by increasing its exports due to higher supplier productivity, enhanced the market security for itself and for the small producers. In this effort, HR&C is addressing five of the six producer constrains and is well positioned to address the last, financial resources, through its partner relationships.
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