Piloting bulk production of fine cacao in Nicaragua Currently, large batches of fine cacao with a consistent high quality and flavour profile are not produced in Nicaragua or any other Central American country. This leaves a very attractive export market unserved.Applicant Ingemann Supply A/S from Denmark is a trader for bulk food in Europe. Local partner is the daughter company Ingemann Food Nicaragua S.A. which core business is bee-keeping and honey production. Last year, a company belonging to the same group, bought an existing Nicaraguan company active in fine cacao. Although that company had already recruited outgrowers, the infrastructure to process the cacao beans was not yet in place.Partners want to set up a collection system to collect cacao beans at farmers gate and to establish a production facility to be able to export larger batches of fine cacao. The project will enable 450 outgrowers to cultivate the fine cacao and sell it for a premium price to the joint venture.Partners will set up a joint venture.Corporate Social Responsibility (CSR)The project will be implemented according to the CSR policy of local partner and the code of conduct based upon the OECD guidelines, the ILO declaration on fundamental principles and rights at work and the UN convention on biodiversity. All employees will receive training where the CSR policy is explained.Impact•	Employment and working conditionsAll employees will receive at least the living wage. The joint venture will offer long-term employment contracts, health insurance and 30 days of paid annual leave. Furthermore, cost for housing and meals will be covered for employees that will not be able to live at home. The joint venture is willing to pay for the education upon request. The joint venture will ensure good and safe working conditions. Staff will be trained in the correct use of machinery and vehicles.•	Innovation / Transfer of knowledge- Market: it will enable medium to large chocolate makers to produce a certain volume of gourmet chocolate.- Production method: a professionalised integrated processing methodology from harvest to shipping. Homogeneity of inputs is important, but also strict processing protocols need to be adhered to from the start of the process until shipping. Partners will process 800 kg of cacao beans in a fermentation box, while usually only 100 to 200 kg are processed in one batch.- Logistics: partners will set up a logistic infrastructure inspired by the milk collection system. During harvest time a multitude of trucks will drive along a predetermined route on a daily basis to collect all fine cacao beans.- Organisation: the processing facility will be HACCP certified. At least 150 outgrowers will become UTZ or Rainforest Alliance certified.•	Chain effectsImpact on local suppliers450 outgrowers will have a contract with the duration of 30 years for the sales of their cacao beans. The joint venture guarantees a minimum price and income for outgrowers. The income for outgrowers will increase, as the yield of the cacao trees will also increase. 150 outgrowers will be supported in getting UTZ or Rainforest Alliance certification.Impact on local customers or consumersTwo suppliers will benefit from the project. Total production is for export.•	Impact on the sectorThe joint venture will become a member of the Nicaraguan Association of Producers and Exporters and share its experience with other members of the Association. The joint venture will cooperate with the University of Central America and offer at least two internship positions to students. Finally, partners will organise at least one symposium on fine cacao production and processing for teachers and students of the University of Central America.•	EnvironmentBefore constructing the processing plant, Nicaraguan authority MARENA will conduct an environmental impact assessment. 150 outgrowers will become UTZ or Rainforest Alliance certified.•	Position of womenMore than 45% of all employees will be female. In total 20 female workers will be hired of which 14 in medium- or high-level positions. To establish a facility for the bulk production of fine cacao in Nicaragua with a capacity of 280,000 kilos per year.