Local value-chains dedicated to sustainable production (coffee agroforestry business-driven clusters or CaFC): a new organizational model to foster social and environmental innovations through farm renovation

Background: Worldwide coffee production, especially Arabica coffee, is threatened by climatic change, plants diseases and vulnerability of smallholders. Meanwhile, consumers' demand for socially and environmentally sustainable products is steadily increasing, driving the engagement of stakeholders in agro-ecological and social initiatives. Here we present a new organizational model, the "Coffee agroforestry business-driven cluster" (CaFC), which aims at preserving ecosystems while offering producers a fair income. Based on an original local micro value-chain dedicated to sustainable production of high-quality Arabica coffee under agroforestry systems, the CaFC model stands out by addressing the issues around plantation renovation, a crucial process that requires considerable investments from producers. Methods: Based on a pilot project in Nicaragua, we illustrate how the operational principles of CaFC can be applied in a real setting. Using data shared by key stakeholders involved in the project, we assess the profitability of the CaFC model by comparing different scenarios and applying sensitivity analysis. We then reflect on the reproducibility of the model in other contexts, building on lessons learned from ongoing implementations in Vietnam and Cameroon. Results: For producers renovating their plantations, the CaFC model consistently outperforms other scenarios, offering high quality premiums coupled with capacity building, access to highly productive varieties that perform well under agroforestry systems and adapted credit with favourable repayment schemes. Implementation in Vietnam and Cameroon show that the model can be successfully replicated with some adaptation to local contexts. These cases also highlight the importance of mutual interests, trust and communication in enabling collaboration between stakeholders. Conclusions: The CaFC model has great potential for positive environmental and economic impact and offers strong incentives for stakeholders involved in its resulting micro value-chain. The concept was initially developed in Nicaragua for coffee but could also be adapted in other countries or even to other commodities such as cocoa