INTEGRATED DEVELOPMENT PROGRAM
Economic Diversification of Coca Growing and Associated Areas is Increasingly Sustainable

USAID’s Integrated Development program helps consolidate diversified economic development in coca growing and associated areas by:

• increasing the market–driven competitiveness of rural enterprises;
• expanding access to citizens' services; and
• improving basic public services and social conditions. 

The program principally operates in the Cochabamba Tropics and Yungas of La Paz regions where most of Bolivia's coca leaf is grown, providing farmers with alternatives as they exit coca and adopt other viable sources of income.  Efforts also help build local support for control of illegal coca and prevent coca expansion to new areas.  USAID has increasingly integrated elements of its democracy, health, and environment programs into its alternative development approach, strengthening overall impact, participation, and responsiveness to local needs.  Partners include farmers, productive organizations, businesses, municipalities, and rural communities. The program supports the Government of Bolivia’s coca control and integrated development efforts, and complements other counter-narcotics programs supported by both the U.S. and Bolivian Governments.  The Integrated Development program directly supports the Bolivia Productiva, Bolivia Digna and Bolivia Democratica pillars of the National Development Plan (PND) of the Government of Bolivia.

Increased Competitiveness of Rural Enterprises

The program provides technical assistance, training, and related support to strengthen the competitiveness of key on and off-farm productive sectors, such as banana, specialty coffee, hearts of palm, pineapple and cocoa.  Efforts help thousands of farmers and many businesses produce quality products and link to national and international markets.  These activities are complemented by support for roads and bridges to facilitate market access as well as a natural resources management component to foster environmentally sustainable economic development.

Expanded Access to Citizens’ Services

The Integrated Development program supports the Government of Bolivia’s efforts to expand access to essential citizen services, such as land titling and legal services.

Improved Basic Public Services and Social Conditions

Improving basic public services and social conditions in coca growing areas has helped the Government of Bolivia reduce poverty and win allies for coca reduction.  The program funded: the construction of health posts, potable water and sewer systems; the prevention and treatment of tropical diseases; and electrification of hundreds of rural communities.  These efforts are identified in close collaboration with municipalities and communities, and support coca control.  These projects, and the participatory approach in which they are designed and implemented, have helped build trust and reduce conflict in coca growing and associated areas.

Program Impact

• The wholesale value at market destination of licit products leaving the Cochabamba Tropics increased by 138%, from $27.8 million in 2000 to $66.2 million in 2006.

• The estimated annual value of banana, palm heart, pineapple, coffee, and cocoa exports (at FOB prices) from the Cochabamba Tropics and the Yungas of La Paz reached $32 million through November 2007, a 199% increase over 2001.

• The annual value of banana exports (at FOB prices) from the Cochabamba Tropics increased from $1.7 million in 2001 to $8.6 million in 2007. Export volumes to Argentina and Chile grew from 300 thousand boxes in 2000 to 3.3 million boxes in 2006.

• Together with other counter-narcotics programs, the Integrated Development program contributed to the marked reduction of coca cultivation in the Tropics of Cochabamba, from over 43,000 hectares (106,000 acres) in 1989 to 8,300 hectares (20,500 acres) in 2006.

• From October 2006 to September 2007, 12,671 families benefited directly from the program in the Cochabamba Tropics and Yungas of La Paz, and 3,681 full time jobs were generated.

• In a period of five years, social and productive infrastructure has helped the Government of Bolivia and selected Yungas communities negotiate agreements halting the spread of coca to new areas covering 350,000 hectares (864,000 acres).

• From 2004 to December 2006 rural electrification reached about 4,400 families in the Yungas of La Paz. The project has the capacity to reach an additional 3,500 families, improving social services and business conditions.

• The program contributes to significantly higher incomes in the Cochabamba Tropics. Net annual family incomes (without coca) in the Cochabamba Tropics is currently estimated at $2,297. This is significantly higher than the national average for rural families of $1,350.

• Through September 2007, in the Cochabamba Tropics and Yungas of La Paz, more than 7,100 Km of roads were maintained or improved and 135 bridges were built. Thanks to integrated development, the Cochabamba Tropics has the best rural roads network in Bolivia.

• From 2004 to September 2007 almost 27,000 small rural holdings were incorporated into the land titling process in Cochabamba Tropics, covering 344,000 hectares.