East Timor Agribusiness FY 13 Food for 
Progress Project
Baseline Survey
July 2015
Prepared For:
U.S. Department of Agriculture
Foreign Agricultural Service
Washington D.C.
Prepared By:
National Cooperative Business Association International 
1401 New York Avenue, NW
Suite 1100
Washington, D.C. 20005
DISCLAIMER: This publication was produced at the request of the United States Department of 
Agriculture. It was prepared by an independent third-party evaluation firm. The author’s views 
expressed in this publication do not necessarily reflect the views of the United States Department of 
Agriculture or the United States Government.
Accessibility Note: An accessible version of this document can be made available by contacting 
fas.monitoring.evaluation@usda.gov
2 East Timor Agribusiness Project Baseline Survey
Table of Contents
Executive Summary
1.0 Objectives of the Baseline Survey 
2.0 Survey Protocol and Methodology
3.0 The Project Environment 
3.1 Project Geography and Administrative Districts 
3.2 Language Groups and Survey Implementation
3.3 The Agricultural Sector within the Project Area 
3.4 Socio-economics of Project Farmers
4.0 Baseline Survey Findings
4.1 Farmers Survey 
4.2 Agro-Product Buyer Survey
5.0 Project Performance Indicators Rationalization and Validation
6.0 Amendment Options to the Project Monitoring and Evaluation Process
7.0 Data Limits and Quality Control
7.1 Date Entry and Archiving Process
8.0 Project Approach
8.1 Appropriateness of Commodity Focus
8.2 Appropriateness of Geographic Focus
8.3 Appropriateness of Target Indicators
8.4 Project Risk Factors and Risk Mitigation
8.5 Staffing and Organizational Structure
8.6 GoET Strategic Plans and Project Goals 
3 East Timor Agribusiness Project Baseline Survey
9.0 Value Chain Considerations 
9.1 Value Chain Calculation
10.0 Projected Impact of Project on Smallholder Famers 
11.0 USDA Project Exit Strategy
12.0 The Path Forward
Report Annex
Annex I: Farmer Survey Questionnaires and Dataset
Annex II: Agro-Input Deal Questionnaires and Dataset
Annex III: Project Result Indicators
Annex IV: Specific Quotes from Stakeholders
Annex V: Power Point Presentation Based on the Baseline Report
Annex VI: Baseline Survey Database 
Annex VII: Baseline Survey Form 
Annex VIII: Photo Set of Baseline Activity
Executive Summary
4 East Timor Agribusiness Project Baseline Survey
Background: In 2013, the National Cooperative Business Association (NCBA) received a grant1
from the U.S. Department of Agriculture (USDA), Foreign Agricultural Service (FAS) to 
implement an agribusiness development project in East Timor. The grant was originally funded 
through the monetization of rice in East Timor with sales revenues directed to the project. The 
original sale, together with approximately $1.9 million of Commodity Credit Corporation (CCC) 
proceeds, was projected to generate $7.2 million in revenue. Subsequent revisions by the 
funder initially lowered the rice tonnage by a value of $2 million due to the U.S. Congressional 
sequester. A final revision to the project was made in March 2014 (which changed the 
monetized commodity to soybean meal and the destination country to the Philippines). Due to 
the Congressional sequester, structural revisions of the monetization and existing market 
conditions at the time of the sale, revenues increased by $2 million over the original budget, 
making available approximately $9.23 million in total sales revenue to NCBA. 
USDA and NCBA signed the East Timor Agribusiness project grant agreement in October 2013 
and initial planning for field activities began. At that time, a monitoring and evaluation plan 
was submitted and approved by USDA as required. A brief baseline survey was executed in 
May 2014. After discussions between USDA and NCBA in November 2014, it was decided that a 
more detailed baseline survey would need to be carried out in order to more thoroughly 
document conditions within the project geography at the time of project start-up. Field 
activities for the portion of the USDA project that related to post-harvest handling and 
marketing were put on hold until the baseline survey could be completed. 
The baseline survey team arrived to East Timor in April 2015 and worked with the NCBA and 
Café Cooperative Timor (CCT) monitoring and evaluation staff to develop the survey language, 
create the database and train enumerators. Training and survey document preparation were 
completed by approximately 1 May 2015, and field execution of the survey ran through the 
following 30 days. 
Survey Methodology: The survey was split into two parts. The first part consisted of 60 
questions designed to answer production, income, technology transfer, and socio-economic 
questions at the farm level. The team completed 478 surveys, allowing for a 95.8% level of 
confidence with a 4.2% margin of error. These questions and their answers provided the basis 
on which the project’s Result Indicators (RI’s) would be measured at its midterm and final 
evaluations. 
Survey Limitations: 
1 Project Agreement Number: FCC-472-2013/028-00
5 East Timor Agribusiness Project Baseline Survey
Control Group: A control group was not included in the survey for the following reasons: 
• The use of a control group would double the size of the survey and significantly increase 
the cost. 
• The control group by definition would never benefit from the program; this would be 
ethically problematic. 
• If a control group were required, this would elevate the survey to research and would 
come under GoET regulations controlling research, ethics, publication, and data 
ownership, requiring much more cost and planning to implement. 
• As a research activity, the GoET would be involved in the survey oversight with 
additional committees and vetting processes.
• CCT staff had concerns that as this is an internal program evaluation process and is not 
publishable research.
Recall bias: The baseline survey was conducted approximately 18 months after project funding 
occurred. This delay may affect recall of individuals taking the survey. This possibility was 
considered when designing the survey but given the need to establish baseline data at the 
official project start time, project managers and USDA agreed that they would move forward 
with the above methodology in light of potential recall bias. 
Questions in the survey that were answered with “I don’t know” may be the result of recall 
issues, but more likely are the result of the individual being surveyed not wanting to provide 
personal information about farm income or other data to a stranger. Compounding this 
problem is the fact that most farmers do not have accurate measurements of their yields or 
other numerically based measurables such as number of square meters farmed for specific 
crops in specific years. 
Survey Findings: In summary, the farmer survey found that no significant activities involving 
key crops (Robusta coffee, cocoa, vanilla, cloves, black pepper, fruit – with improved genetics,
shade trees and Moringa) had occurred in all three of the project’s originally targeted 
geographies (government districts), including Lautem, Viqueque, and Baucau2
.
There were, however, indications that Robusta coffee, cloves, black pepper and shade trees 
were already being produced in significant numbers by some farmers surveyed in Aileu District. 
This district (Aileu) was not part of the original project proposal but is being proposed for 
addition to the project implementation plan by NCBA after it was realized that the monetization 
sale would yield $2 million in additional revenue. Adding Aileu District will allow the project to 
2 Approximately 67% of households surveyed indicated that they grew fruit trees. These trees were not provided 
by the project, and can be assumed to be originated from local genetic material. 
6 East Timor Agribusiness Project Baseline Survey
expand its beneficiary base from 8,000 to 10,000 farmers. No project activities have taken 
place in the Aileu district to date (as of end July 2015) pending approval from USDA. 
Cassava stands out as the one crop commonly produced by all farmers in all districts within the 
project area. Approximately 93% of all farmers interviewed reported that during or before 
October 2013, they produced cassava. It is important to note that the genotypes of cassava 
produced in East Timor are derived from local (unimproved) genetics. The USDA project will 
introduce improved genetic material for cassava that is higher yielding and more resistant to 
pests and pathogens. Improved cassava varieties were not produced in any of the project areas 
prior to October 2013. CCT will also provide a market for the new genotype, purchasing dried 
cassava chips from farmers and processing this into cassava flour, which will be sold to either 
the local or regional food and associated industries. 
The second part of the survey examined CCT technology transfer, export and market 
development activities for selected commodities prior to October 2013. The survey findings 
show that CCT had not engaged in any project activities involving key commodities prior to the 
start date. Essentially, all Result Indicators measuring CCT performance under the USDA grant 
agreement were at a level of zero. 
Recommendations: The USDA project was originally proposed to be implemented over a four 
year period. At the time this report was being prepared (July 2015), the project’s activities 
related to post harvest procurement, processing and marketing had been postponed 
approximately 6 months due to the delay in completing the baseline survey3
.
As a result of the delays in project implementation and the mix of crops being promoted by the 
project, it is recommended that USDA and NCBA agree to adjust the timeline of the project so 
that it runs for at least an additional 18 months beyond its original end date. The justification 
for the 18 month no-cost extension includes:
• The late addition of Aileu District to the project’s implementation plan did not provide 
for adequate planning lead time.
• Most of the crops being introduced under the USDA activity are perennials and require 
three to four years to come into production. Accurate metrics on initial crop production 
will not be available until approximately four years after planting (or five years after 
project start-up). 
• Evaluating results of post-harvest processing, storage and market development activities 
by the project cannot be completed until the local supply chain is established. A 
3
Seedling production by farmers and extension/training activities were being executed as per the original project 
timeline and had not experienced the same delays that were realized by the post-harvest and market activities.
7 East Timor Agribusiness Project Baseline Survey
minimum supply chain will begin to be established approximately five years after project 
start-up (four years after planting the first perennial crop). At that point, USDA will be 
able to measure the actual volume and value of products moving into the market as a 
result of their investment. 
Selecting perennial crops such as Robusta coffee, cocoa, black pepper, vanilla, cloves and shade 
trees for the East Timor Agribusiness project lengthens the time required for USDA to 
accurately measure the outcome of their investment. Nevertheless, these crops are the best 
option to ensure sustainable development in East Timor and will deliver a higher return on 
investment with a lower risk over time, compared to many other crop choices. The proposed 
mix of perennial crops, project geographies and markets provide a comparative advantage both 
economically and agronomically. 
In an effort to improve the quality of data available for the midterm and final project 
evaluation, USDA should consider requesting CCT to create a series of monitoring plots for 
measurement of changes in yield for key crops. One of the key Result Indicators used to 
measure project success is yield (measured as kg/ha). Farmers cannot provide this information 
accurately, as they do not know the exact areas of their farms, nor do they track the kilos 
harvested per unit area. To assist the process of establishing changes in yield, it is 
recommended that the project randomly select a number of farmers in each sub-district to be 
monitored. This will require a monitoring plot sample size large enough to provide statistically 
significant findings. The sample size required will be approximately 26 farms spread across the 
14 sub-districts and distributed proportionally to the number of project clients in each sub￾district. 
Monitoring changes in yield on tree crops will not provide significant yield data until year 3 and 
beyond. This will allow the project to make side-by-side comparisons on differences in yield, 
assuming USDA grants an extension to the CCT project so that it can run a full five years. 
Annual crops such as cassava will provide more immediate results and allow evaluators to 
monitor the difference in yield for project farmers versus non-project farmers beginning in the 
first year of the monitoring plot program. 
The monitoring plot program was not included in the original project budget. Resources for this 
activity will need to be added to the budget, or taken from other (existing) line items. CCT has a 
significant number of extension agents in the field under the USDA project. These extension 
agents can be used for implementing the plot monitoring activity. 
This report makes no additional recommendations to change the Performance Indicators or 
Result Indicators in Attachment E. It is noted that many of the Performance Indicators measure 
process such as number of persons trained. Achievement of the Process/Performance 
8 East Timor Agribusiness Project Baseline Survey
Indicators does not necessarily result in successful project outcomes (as measured by the Result 
Indicators). 
Key Result Indicator Findings from the Baseline Survey: Pages 7-15, below, provide a summary 
review of the farmer/client survey findings. The full (60 question) farmer survey results are 
included in Annex I of this document. The following summary includes only the survey’s 30 
questions that relate directly to the project’s Result Indicators. The summary questions below 
do not include the 30 socio-economic questions that were part of the full survey. 
9 East Timor Agribusiness Project Baseline Survey
10 East Timor Agribusiness Project Baseline Survey
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12 East Timor Agribusiness Project Baseline Survey
13 East Timor Agribusiness Project Baseline Survey
14 East Timor Agribusiness Project Baseline Survey
15 East Timor Agribusiness Project Baseline Survey
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18 East Timor Agribusiness Project Baseline Survey
East Timor Agribusiness Project
Baseline Survey
1.0 Objectives of the Baseline Survey
The following East Timor Agribusiness Project Baseline Survey examines and documents the 
agri-production and socio-economic environment that existed within the project area (Lautem, 
Baucau, Viqueque and Aileu districts) at the time the USDA first made funding available to
NCBA and the project implementer- CCT, in October 2013. 
The East Timor Agribusiness Project has two key objectives, including: 
• Increased agricultural productivity of tree and horticultural crops through the use of 
improved agricultural techniques and technologies, increased knowledge of farmers, 
more availability of appropriate inputs and further use of financial services.
• Expanded trade of agricultural products by increasing the value of post-harvest products 
and access to markets through improved quality, increased efficiency, farmer 
procurement systems set-up, enabling processing methods and processing facility 
infrastructure development and improved marketing and market linkages. 
To measure outcomes relative to project objectives, the funder (USDA) and the implementer 
(NCBA) agreed on 30 Result Indicators (RIs) that would be tracked over the course of the 
project. The baseline survey establishes the foundation or starting point for measuring the RIs. 
To establish the baseline information, two surveys were developed. One survey, consisting of 
60 questions, was targeted towards farmers registered with the Project and Cooperative Café 
Timor (CCT), the implementing partner at the field level. This survey focused on Project 
Objective 1 – increased productivity (as noted above). The productivity survey also included 
questions for farmer groups involved in seedling production. 
A second survey, consisting of 30 questions, was targeted toward CCT. This survey focused on 
Project Objective 2 – expanding trade of agricultural products. CCT will be providing financial 
services, access to technology and know-how, as well as marketing services to project farmers. 
The CCT survey will establish the baseline/starting point from which project performance can 
be gauged over time. This survey has a sample size (n) of one as the only participant in the 
survey will be CCT. 
2.0 Survey Protocol and Methodology
19 East Timor Agribusiness Project Baseline Survey
The survey methodology was based on the best available data in a situation with very little 
existing base data. The program operational districts are by design the most neglected in East 
Timor so there is very little existing good data. 
CCT started with the East Timor National 2010 census data as the best, most appropriate base 
population numbers existing for the USDA program's 14 sub-districts. The limitations with the 
census data is that this survey was taken in 2009 but it is the most recent and most accurate 
population measure available. There is a 2015 national census occurring that should be 
available for future evaluations. The survey then took a subset of that census general 
population data, by identifying the named "rural households" within the 14 sub-districts. This 
excluded the "urban households" unlikely to be farmers and made the assumption that "rural 
households" were very likely to be farmer households. 
The next step was to use the total rural households in all 14 sub-districts to calculate the total 
number of questionnaires needed to achieve the required 95% confidence with 5% error. The 
limitation with this approach is that the survey confidence levels can only be applied to the 
overall survey population data (all 14 sub-districts combined) but cannot be applied to 
individual sub-district data. This is a very practical response as if CCT were required to have 
95% confidence 5% error for each sub-district then we would need about 400 questionnaires 
for each district, i.e., a total of 5,600 questionnaires (this was not practical within the available 
survey time and budget).
To reduce bias between sub-districts, we then stratified the questionnaire numbers required in 
each sub-district to match the percentage of total rural households found in each sub-district.
The next issue was to identify the best available farmer lists within the sub-districts so that 
these farmers could be randomly identified to be included in the survey. After full investigation,
there was no available "all of population" list of farmers with names and contacts at the 
national or local level. The electoral roles did not identify occupation, so were not usable as 
farmer lists. At the time of the survey, in the target sub-districts, the best available lists of 
farmers were already available via the USDA program/ registered list of farmers. There are bias 
issues, but the number of total registered farmer at 4,457 is a healthy 14,5% of the expected 
total farmer households in the 14 sub-districts of the survey. A significant advantage with using 
registered farmers in the survey is that they could respond to questions about the program;
that they were more easily found within the limited time frame and budget of the survey and 
were more readily agreeable to being involved in the survey. This ensured a very high 
completed questionnaire return rate. The survey farmers can also be easily followed in future 
evaluations. 
20 East Timor Agribusiness Project Baseline Survey
The randomization of farmers within each sub-district was done accurately and was easily 
replicated. The survey questionnaire completion and returns were universally very high and
repeatable. Data entry accuracy was very high with multiple checks.
Cooperative Café Timor (CCT) has registered approximately 4,475 farmers (households) as 
project participants in fourteen sub-districts that are included in the districts of Viqueque, 
Lautem, Baucau and Aileu. The 4,475 CCT member households represent approximately 14.5% 
of the 30,820 householdsthat were identified in theGovernment of East Timor census of 2010 
(see Figure 1).
Figure 1
The baseline survey methodology randomly selected its interview candidates from the pool of 
4,475 CCT member households within the 14 sub-districts. The baseline survey was originally 
designed to have a minimum confidence level of 95%. To achieve this level of accuracy, the 
survey would require a minimum sample size (n) of 378 completed surveys with farmer/project 
clients. 
The actual number of surveys completed over the four districts totaled 478; this provided 99 
more surveys than required to achieve the target confidence level of 95% (see Figure 2). By 
increasing the number of surveys completed, the survey’s margin of error decreased from 5% 
to 4.2%, and the confidence level increased to 95.8%4
. 
4 Confidence level was calculated using the survey tool at the following website: 
http://www.custominsight.com/articles/random-sample-calculator.asp
5,417 
3,138 
9,403 
12,862 
2,624 
2,624 
945 
567 
 - 5,000 10,000 15,000
Aileu (3 Sub-districts)
Baucau (1 Sub-district)
Lautem (5 Sub-districts)
Viqueque (5 Sub-districts)
Households
Total Households in Project Area/ Sub-districts and 
Households Registered with CCT
CCT Households
Total Rural Households
21 East Timor Agribusiness Project Baseline Survey
Figure 2
Figure 3 illustrates the number of surveys that 
were conducted in each sub-district. The 
survey numbers (n) for each sub-district 
corresponded approximately to the relative 
populations within the sub-districts. Sub￾districts with larger populations had a larger 
sample size. 
Interview candidates for the survey were 
selected at random from the list of project 
participants (clients) provided by CCT in 14 
sub-districts (see Figure 3). Farmers on the 
client list were assigned a number, and these 
numbers were randomized using the random 
number generator at the Research Randomizer 
website (https://www.randomizer.org/). 
Survey Team Productivity
The survey team required 28 total work days in 
the field to complete the survey of 478 farmers 
selected at random from the CCT registry. This 
included five days to train the enumerators and 
field test the survey form. The team required 
five total days of in-country travel and 14 days 
to collect the survey data and enter the 
findings (raw data) into the database. 
An additional 4 days were required to finalize 
the database. The above does not include the 
time required to develop the survey, analyze 
the data, and prepare the final report or admin 
the project. 
22 East Timor Agribusiness Project Baseline Survey
Figure 3
As can be noted in Figure 4, sub-districts within the Viqueque and Lautem districts provided 
73% of all surveys, as these sub-districts, in aggregate, had larger populations than the sub￾districts located in Baucau and Aileu, which made up 27% of the survey’s targeted sample size 
(n).
Figure 4
23 East Timor Agribusiness Project Baseline Survey
Most farmers/clients registered with CCT in the four target districts are male. This fact is 
reflected in the gender balance of the survey. As can be noted in Figure 5, the randomly 
selected farmers who took part in the survey tended to be predominantly male. 
Figure 5
Overall, 13.8% of individuals surveyed were female5
. This varied within the districts, with a 
range of 7%. The highest number of female representation occurred within Lautem with 17% 
of survey participants being female. The lowest representation of women in the survey 
occurred in Aileu, with 10% female participation (see Figure 6).
Figure 6
5 Unweighted mean
24 East Timor Agribusiness Project Baseline Survey
Although the farmers who were interviewed were selected at random, the age class of the 
interviewees tended to be skewed toward the older age groups of 40 – 49, 50 – 59 and 60+ (see 
Figure 7). This tendency, for the selection of older farmers, was probably due to the fact that 
CCT client farmers tend to be older (head of household). Additionally, it may reflect 
demographic changes in rural communities as a result of younger people moving to the city 
(Dili). 
Figure 7
The trend of older individuals being randomly selected for interviews is evident in all of the 
districts where the survey took place (see Figure 7). 
Training of Enumerators
After the baseline survey text was completed in late April 2015 by 
the project consultant and CCT staff, a concerted effort was made to 
train the enumerators and other CCT staff in survey field protocol 
and data entry techniques. To ensure effective training, the entire 
team including enumerators, extension agents and project support 
staff and consultants spent five days at the Railaco (Ermera District)
training center operated by CCT. At that time, team members 
honed their interview skills, data entry skills, and were briefed on 
security issues and other factors that would affect field operations. 
The staff also worked with the entire survey team to verbally 
translate and describe questions in Bahasa Indonesian and Tetum 
languages. 
25 East Timor Agribusiness Project Baseline Survey
The pie chart in Figure 8 demonstrates the fact that target populations in the project area tend 
to be skewed to the 40 and above age groups. Fully 78.7% of the population surveyed fit into 
the 40 and above age class. 
Figure 8
The creation of the survey and database was a collaborative effort between the project 
consultant, the CCT Information Technology Specialist, and the CCT Monitoring and Evaluation 
Manager. The consultant worked in concert with CCT staff to ensure that questions developed 
in the survey, as well as the survey structure, directly addressed the project Result Indicators 
(RIs), as well as providing background information on the socio-economics of the target 
population within the project area. 
3.0 The Project Environment 
The following section provides background on the geographic, language, agricultural and socio￾economic setting in which the USDA project will be implemented. 
3.1 Project Geography and Administrative Districts 
26 East Timor Agribusiness Project Baseline Survey
East Timor sits at the east end of the Indonesian archipelago on the east side of the Wallace 
Line. The Government of East Timor (GoET) 2010 census showed that country has a total 
population of approximately 1.17 million. In general, the south side of the island tends to 
receive higher rainfall amounts than the north. This affects the types of crops that can be 
planted using dryland farming techniques. For the most part, irrigation is not commonly used 
in East Timor, with the exception of the irrigated rice crop. 
The USDA project will take place in the following four districts, described below.
Baucau District:
Baucau is located on the eastern part of the country, around 122 km of Dili (2.5 hours by road). 
It is the second largest city in the country with a mostly urban population of 111,694 
inhabitants (Census 2010) and an area of 1.494 km². The capital of the district is also named 
Baucau. Baucau District comprises the sub-districts of Baguia, Baucau, Fatu Maca, Laga,
Quelicai, Vemasse and Venilale. Due limited potential, the USDA project will only work in the 
Venilale sub-district, located on the border with Lautem in the southern part of the Baucau 
District. The main economic activity of Baucau is agriculture (corn, lowland irrigated rice, 
27 East Timor Agribusiness Project Baseline Survey
peanut, cassava, coconut and horticultural crops). In October 2013, CCT had approximately 339 
farmers registered with the cooperative in Venilale sub-district for agroforestry activities. 
Lautem District:
Lautem District lies at the eastern end of Timor Island. It has a population of 59.787 inhabitants 
(Census 2010) and an area of 1.702 km². The capital of Lautem is Lospalos, 248 km east of Dili, 
the national capital. Lautem comprises the sub-districts of Iliomar, Lautem Moro, Lospalos, Luro 
and Tutuala. The USDA project will work in five of the six sub-districts (excluding Moro). In the 
highlands around Lospalos, cattle and water buffalo husbandry makes up an important part of 
the agricultural economy. Slash and burn maize and traditional variety cassava in the highlands, 
followed by irrigated rice, are the primary crops grown in the district. In the lower-lying areas 
on the south coast, coconut production is common. In October 2013, CCT had approximately 
945 agroforestry farmers registered with the cooperative in the five sub-districts where the 
USDA project will be implemented. 
Viqueque District:
Viqueque is located on the south coast of the island. It borders the district of Lautem to the 
east, Baucau to the north, Manatuto to the west and the Timor Sea to the south. It has a 
population of 70,036 inhabitants (Census 2010) and an area of 1,781 km². The capital of the 
district is also named Viqueque. The Viqueque district comprises the sub-districts of Lacluta, 
Ossu, Watulari, Uatucarban and Viqueque. The USDA project will be implemented in all five 
sub-districts of Viqueque. Primary agricultural crops grown in the district include maize, rice, 
cassava and coconut. 
• Aileu District (Proposed for Project Expansion):
28 East Timor Agribusiness Project Baseline Survey
Aileu District lies in the highlands to the south of Dili, the national capital. It has a population of 
44,325 (Census 2010) and an area of 729 km², with a demographic density of 50.6 h/km². The 
capital of the district is also named Aileu. Aileu district comprises the sub-districts of Aileu, 
Laulara, Liquidoe and Remexio. As part of the proposed expansion, the USDA project plans to 
work in three of the sub-districts, (including Aileu, Laulara, and Remexio). With its close 
proximity to Dili, this region has benefitted from improved roads, market access and an active 
NGO community (including CCT, which has worked in the region on other, non-USDA program 
crops for more than 15 years). The soils and climate in the highlands of Aileu support a variety 
of high-value crops, including Arabica coffee, cloves, pepper and a limited amount of vanilla. 
Farmers in the district also produce rice, cassava and maize in selected areas. In October 2013, 
CCT had approximately 2,620 Arabica coffee farmers registered with the cooperative in the 
three sub-districts where the USDA project will operate. 
3.2 Language Groups and Survey Implementation
The linguistic environment of East Timor is complex. There are fifteen unique local languages 
spoken throughout the country. The official languages of the government are Tetum and 
Portuguese. Bahasa Indonesian is commonly spoken by the commercial sector in Dili and in 
border areas. Bahasa is also used as the primary language for education at the university level 
(Bahasa textbooks are a standard in higher education for East Timor’s educational institutions). 
Figure 9 shows survey results indicating the language group spoken within the household 
among project clients (within the four district target area). 
29 East Timor Agribusiness Project Baseline Survey
Figure 9
In order to manage the survey process, project staff took steps to ensure that the baseline 
survey could be translated into local languages verbally and that accurate responses from 
survey participants could be recorded. The survey was originally written in English and 
translated into Bahasa Indonesian. Bahasa is a more technical language than Tetum, and 
project management felt that training the enumerators in Bahasa would provide the clearest 
definitions and answer options for the survey. 
To execute the survey, enumerators who received training in survey implementation were 
paired with CCT extension agents who had local knowledge of the farmers, communities and 
agriculture within each of the sub-districts included in the survey. Care was given to match 
enumerator language skills with extension agents’ language skills so that they could speak 
directly to the farmer in the language used within the household. In some cases, only the 
extension agent could speak the local language. In these cases, the written Bahasa survey 
questions would be verbally translated into Tetum for the extension agent by the enumerator. 
The extension agent would then translate the question into the local language for the farmer. 
Answers were translated in reverse and recorded (in Bahasa). 
After five days of survey training in Bahasa, the enumerators, along with project management, 
verbally explained each question and answer in detail to the extension agents in Tetum (during 
a formal training session). This was done to provide a level of familiarity with the questions to 
the extension agents and give them an opportunity to ask for clarification on questions as 
needed before they went into the field. 
Each afternoon, after the survey information was taken from the farmer, the enumerators 
would return to the regional base to enter the raw data into their laptop databases. This 
30 East Timor Agribusiness Project Baseline Survey
process was directed and overseen by senior project management daily while in the field. The 
raw data was inserted into a dual language database that provides information in both Bahasa 
and English. 
Figure 10 illustrates the diversity of language by district. As can be noted, in Viqueque, the 
dominant language is Makasae, followed by Tetumterik and Naueti. In Lautem, Fataluku (a 
Papuan language spoken in the islands of New Guinea) is predominant; however, some villages
also speak Makalero and other less common languages. 
Figure 10
Figure 11
31 East Timor Agribusiness Project Baseline Survey
Figure 11 shows the geographic complexity of languages in East Timor and the project area. To 
ensure quality of future mid-term and final surveys carried out by the USDA project, CCT 
management will need to recruit enumerators with language skills specific to the project area. 
The baseline survey staff was fortunate in that many of the enumerators who were hired to 
work on the project were originally from Lautem and Viqueque districts (before going to Dili for 
university studies). This connection was an important asset the team brought in both terms of 
language and connection to the local village elders and village chiefs in geographies where 
personal security for the survey field staff was a very real concern. 
Extension agents’ local knowledge was also a valuable asset when reaching out to local 
government administrators and village leaders. The extension agents contacted village and 
district leadership before field work began and informed them that they would be working in 
the district on the survey. The day before entering a village, the extension agents would 
contact the suco chief (ward chief) and let them know approximately when they would be 
arriving on a specific days and which farmers they would be asking to interview. The extension 
agents would then call the interview candidate and request an interview time and location. If 
the farmer did not have a cell phone or could not be reached, the ward chief would notify the 
farmer as to the extension agent’s interest in meeting with them. This system proved to be 
very effective in both reassuring administration and village leaders that the survey was being 
done in a transparent manner and proved to be time-efficient for the enumerators and 
extension agents working in the field. 
3.3 The Agricultural Sector within the Project Area
Figure 12
32 East Timor Agribusiness Project Baseline Survey
Subsistence agriculture is the primary economic activity in the project areas. Nearly 94% of all 
farms surveyed had a total cultivated area of two hectares (4.94 acres) or less, see Figure 12. 
The baseline survey examined the number and percent of households that produced crops that 
were being included under the USDA project. This list of crops is included in Figure 13. The vast 
majority, 92.7% of all households surveyed, historically produced local genotype cassava. 
Figure 13
The majority of households surveyed (67.2%) also produced local genotype fruit trees. This 
category could include a wide variety of products, including but not limited to, mango, jackfruit, 
papaya, starfruit, guava, coconut and banana. 
Figure 14
33 East Timor Agribusiness Project Baseline Survey
Cassava is a staple food crop in East Timor. The survey asked households if they produced any 
of the crops that will be included in the USDA project. The primary crops are considered in 
Figure 14, and the secondary or lesser-grown crops that will be promoted by the project are 
examined in Figure 15. 
Survey results found that 97.8% of the farmers interviewed in the Venilale sub-district of 
Baucau produced cassava on their farms. This cassava consisted of local varieties. The USDA 
project will introduce improved varieties that are more resistant to disease, produce higher 
yields and have better post-harvest handling properties. Figure 13 also shows that fruit tree 
production had a range of 45%, with 89% of the farmers in Aileu growing fruit trees and 44% of 
farmers in Lautem. Cloves were produced only in the proposed district of Aileu, with 28% 
(Figure 14) of farmers reporting production of this crop. No cloves were produced by farmers 
interviewed in Lautem, Viqueque or Baucau. 
Figure 15
34 East Timor Agribusiness Project Baseline Survey
With 28% of the farmers already producing coffee in Aileu, 
the USDA project will not be promoting coffee in this 
district, but will promote black pepper, vanilla, cloves and 
fruit trees. 
Moringa, cocoa, vanilla, black pepper and Robusta coffee 
were absent in farms located in Baucau, Viqueque and 
Lautem (Figure 15). Aileu farmers produced these crops in 
varying amounts, some of which have been introduced by 
NGOs operating in the district over the past fifteen years 
(since independence). 
Cassava planting density is recommended at 1 meter squared, using 25 cm. shoots. This equals 
a plant population of 10,000/hectare. Figure 16 shows that the typical farmer in Lautem plants 
about 837 square meters, or about .08 hectares of cassava. The survey found that fruit trees 
are most common on Viqueque farms (Figure 15) with an average of 44 trees/household and 
least common in Lautem, with 30 trees/household. 
Figure 16
Figure 17 examines the proposed Aileu District only. The Aileu data shows that on average, 
farmers interviewed produced 47.7 clove trees, 42.9 black pepper vines, 33.6 fruit trees and 2.6 
vanilla plants on their farms. If the proposed expansion into Aileu is approved, the USDA 
project will build on these numbers to improve household incomes in the district. 
Moringa
Moringa, native to parts of 
Africa and Asia, contains 13 
species which are found in 
tropical and subtropical 
climates. The leaves and high￾protein seeds are a highly 
nutritious food for both people 
and livestock. The trees can be 
used as windbreaks and to 
reduce soil erosion.
35 East Timor Agribusiness Project Baseline Survey
Figure 17
Figure 18 examines how farmers transport their crops to market. As can be noted, 60% of the 
farmers interviewed reported that they walk their crops to market. This is feasible for high￾value crops such as spices (vanilla, cloves and black pepper), and coffee. Cassava is a high 
water content, high volume product. Yields for improved genotypes can potentially reach 
approximately 20,000 kg/ha.
Figure 18
To improve the transport ability of the product, farmers will clean, chop and dry the cassava on 
farm. This process will reduce the weight of a 20,000 kg crop (1 hectare of production) to 2,400 
kg at 12% moisture. 
36 East Timor Agribusiness Project Baseline Survey
Figure 19
Most farmers in East Timor have livestock. Figure 19 shows the mean number of livestock 
(head) per household. Pigs are the most common, with an average of 2.5 animals/ household. 
Pigs are an important household asset used for various celebrations and ceremonies 
throughout the year. Water buffalo are the second most common livestock kept by farmers. 
Water buffalo are used as draft animals and provide milk and meat, and are an important 
protein source in the diet. 
3.4 Socio-economics of Project Farmers
Figure 20
37 East Timor Agribusiness Project Baseline Survey
The baseline survey included a number of 
socio-economic questions. These were 
included to provide implementers with a 
better contextual understanding of the 
operating environment within the target 
population. 
The most common response to the question of 
how many people live in each household was 
10+ people with 18.4% reporting (see Figure 
20). For households with less than 10 people, 
the most common size was 7 individuals with 
15.7% reporting. 
Figure 21
Crop farming is by far the most common source of income for households interviewed for the 
baseline survey (see Figure 21) with 77.2% reporting. 
The number of years of schooling received by survey respondents is illustrated in Figure 22. 
The single largest response to this question was “Don’t know” at 43.7%. It is suspected that 
many of the interviewees did not want to mention that they had very little or no schooling, and 
as a result, opted for the “Don’t know” answer. The finding that this question provides is that 
education within the target population is very limited and future training programs developed 
by CCT need to take this into consideration. 
East Timor Key Demographic Data
East Timor has a population growth rate of 
about 2.44%. About 32% of the population 
lives in urban areas and 68% live in rural 
communities. The age structure of East 
Timor shows 62% of the population 24 
years of age or less. About 34% of the 
population is in the 25 – 64 year age group, 
and 3.7% are 65 or over. The labor force is 
64% agricultural, 10% industrial, and 26% 
services. 
38 East Timor Agribusiness Project Baseline Survey
Figure 22
The distribution of school age 
children in client households is not a 
perfect bell curve (see Figure 23). 
The relatively high number of 
households with no children in 
school may be due in part to the fact 
that the sample population in the 
survey tended to be skewed toward 
the 40 and above age groups. At 
this point, many of the children have 
finished school and/or left home, 
and this is reflected in the 13.4% of 
the sample that reports no children 
in school. 
East Timor’s Education System
After independence and the departure of Indonesia 
from East Timor, 95% of the schools had been 
burned. In the following ten years, schools were 
replaced and the education system expanded. Today, 
the public education system includes six years of 
primary education and six years of secondary 
education. Nevertheless, one in two adults in East 
Timor is literate. Schools in the country face many 
challenges – one is the complex language 
environment where children speak one language at 
home and a different language at school. 
39 East Timor Agribusiness Project Baseline Survey
Figure 23
CCT has operated health clinics through its coffee projects for approximately the past 15 years. 
To date, they have realized 2.1 million office visits in their field clinics. The clinics are open to 
anyone in the community (not just CCT members). Public health problems in rural East Timor 
are similar to many other areas of the developing world. Most of the 2.1 million office visits
involved treatment of respiratory infections, gastrointestinal (GI) pathogens and parasites. 
Improving access to clean running water and toilets is key to breaking the cycle of infection for 
many of the diseases seen in the CCT clinics. 
Figure 24
In an effort to better understand factors that affect public health within the target population, 
the baseline survey included two questions about water and sanitation (Figures 24 and 25). 
40 East Timor Agribusiness Project Baseline Survey
Although these are not project targets (RIs), access to clean water and sanitation are two 
important metrics that can be used to determine the impact of the project on the household. 
Figure 25
Only 15% of the households in the Baucau target population had access to running water inside 
or next to their houses. Only 24 of the households in Baucau had access to a toilet. In an 
agricultural economy, where food is transported from farms to market directly without 
intermediate steps to improve hygiene, it is important to reduce the opportunity for pathogens 
to enter the food chain through contamination on the farm. Future training programs by the 
USDA project should include elements on sanitation in an effort to reduce the risk of 
introducing pathogens into the agricultural/food supply chain. 
Figure 26
41 East Timor Agribusiness Project Baseline Survey
As economic conditions within the household improve, there is a tendency to move from lower￾cost, shorter life building materials such as thatch, to higher-cost, longer lasting materials such 
as wood and brick. Figure 26 examines the use of on-farm housing materials by survey 
participants. Over time, these materials may shift from lower-cost/lower quality options to 
higher cost/higher quality materials as incomes improve (as a result of project participation). 
Figure 27
The government of East Timor has recently made major investments in rural electrification (see 
Figure 27). The availability of power in rural areas influences the type of post-harvest crop 
processing and storage options available to the project. If the government continues to expand 
the electrical grid, the project may be able to capitalize on the trend by supporting investments 
in cold storage and post-harvest crop processing in areas that historically did not have electrical 
service but now do. 
42 East Timor Agribusiness Project Baseline Survey
Figure 28
Reliability of the electrical supply is critical to investments in post-harvest processing and cold 
storage. Figure 28 examines the availability of electrical service within the project area. There 
are significant differences in power reliability by geography; however, it is encouraging that 
78% of the households surveyed responded that they have electricity 24 hours/day. This 
increased electricity coverage has mostly occurred over the past two years. 
Figure 29
Cellphone coverage within East Timor is provided by the private sector. With multiple
companies operating within the sector, many rural families have found cellphones to be an 
affordable option (see Figure 29). Households in Lautem, Baucau and Aileu have the highest 
access levels to cellphones at 74% – 75%. In Viqueque, 67% of households have access to 
cellphones. 
This has very important implications for the USDA project. One of the activities proposed by 
the project is to provide SMS text messaging of commodity prices to better inform farmers of 
market conditions. With these levels of access to cellphones, there is a high probability that 
farmers within the project area will be able to access market information services if they are 
provided. 
The baseline survey found that, on average, 72% of households across all districts had a way of 
charging a cellphone at their home and had a cellphone signal at their village (see Figure 30). 
43 East Timor Agribusiness Project Baseline Survey
Figure 30
Most households, the survey found, have individuals 
in them who already know how to use SMS text 
messaging (see Figure 31). With these skills and 
access to cellphones already in place, the USDA 
project can develop a “push or pull” information 
system for providing market information to CCT 
members and project clients. 
Network Coverage
East Timor has approximately 
103,000 cellphones and 3000 
operating landlines. Timor Telecom 
(the country’s largest network) 
provides GSM mobile phone access 
to approximately 69.5% of the 
population, with 100% of the main 
residential districts covered. 
44 East Timor Agribusiness Project Baseline Survey
Figure 31
The “push” system would work by loading cellphone numbers into a cellphone company’s 
computer system and “pushing out” unrequested mass messaging. This process would ensure 
that market information is distributed evenly across the districts and membership. In most 
countries, recipients of voice and text on cellphone systems are not charged – only the sender 
is charged. This type of billing structure would provide market information to the farmer at no 
additional cost at the household level. It would, however, create a cost center (budget line 
item) for CCT to manage this system. 
Alternatively, CCT could opt for a “pull” system whereby farmers dial into a specific number to 
request market information in text form. This system puts more of the cost burden on the 
household. 
Figure 32
45 East Timor Agribusiness Project Baseline Survey
Creating DVDs for training purposes of project participants would most likely have limited 
impact as only 8.2% of households have access to DVD players. 
Radio and TV are available to about 25% - 30 % of project participants within the household; 
however, with a margin of error of 4.2%, this figure could be as low as 20.3% for access to TV or 
as high as 33.7% for access to a radio within the household. The USDA project will need to 
consider the cost to access these media and their coverage within specific geographies before 
integrating radio and TV as part of their market information activity. 
4.0 Baseline Survey Findings
The baseline survey was divided into two parts. The first part included a survey targeting 478 
farmers registered with CCT in the target geographies. This survey examined farmer and group 
project activities in or before October 2013. All survey questions and results for the farmer 
survey can be found in Annex I of this document. 
In summary, the survey found that there were no project activities in or before October 2013 in 
the four districts/project geographies (three existing and one proposed district) that involved 
farmers or farmer groups. The survey found that a significant number of farmers, 
approximately 93%, throughout the project area, planted cassava (using local genetic material) 
and generated a limited amount of income from this crop. Additionally, the survey identified 
that about 28% of the farmers in the proposed Aileu District produced cloves and generated 
income from their sale prior to October 2013. 
Other than cassava and cloves (in the proposed area of Aileu District), which were identified by 
the survey as having been produced by selected farmers prior to October 2013, the 
questionnaire revealed that only a handful of farmers (less than the survey’s margin of error of 
4.2%) in the project geographies produced crops that will be introduced under the USDA 
project. Since only cloves and cassava production were occurring at levels greater than the 
margin of error in the baseline survey, this report will only examine these two crops in the 
narrative section but will provide detailed information on each crop’s production history, yield 
and revenue in Annex I. 
The second part of the survey included a questionnaire for the agro-product buyer (CCT). All 
questions and results for this survey can be found in Annex II of this document. The survey 
found that no market development, sales, export or other activities occurred in or before 
October 2013 under the USDA Agribusiness Project activity. 
46 East Timor Agribusiness Project Baseline Survey
4.1 Farmers Survey
The survey found that approximately 95.4% of the survey participants did not generate income 
from cloves or did not know their income from this crop. Approximately 4.5% of farmers (all 
located in the proposed Aileu District) reported income from cloves (see Figure 33). 
Figure 33
There were no reported clove producers within the existing project areas of Lautem, Baucau, or 
Viqueque districts (see Figure 13). 
Table I: Survey Question #26, Annual Average Income from Cloves
47 East Timor Agribusiness Project Baseline Survey
Table I shows that 93.5% of farmers surveyed indicated that they did not grow cloves. Cloves 
are currently only produced in the proposed Aileu District. The East Timor Ministry of 
Agriculture and Fisheries (MAF), CCT and other NGOs have worked with Aileu farmers over the 
past decade to promote clove production in this district. 
Aileu was not originally included in the USDA project proposal, but was proposed to be added in 
after it was realized that the monetization of soybeans used to fund the project would generate 
a greater amount6 of revenue than originally expected. To use this new revenue efficiently, CCT 
proposed expanding project activities to involve three sub-districts in Aileu (in addition to the 
original three districts of Lautem, Viqueque and Baucau). Adding Aileu to the project would 
add an additional 2,000 farmers/households to the original target of 8,000 beneficiaries. The 
new household beneficiaries target after adding Aileu was recalculated to include 10,000 
households. 
When Aileu was added to the project, it was agreed that CCT would promote pepper, cloves, 
vanilla and fruit trees in the district. Robusta coffee, cocoa, cassava, Moringa and shade trees 
included in the other districts, will not be a part of the USDA project in Aileu. The reasons 
behind this decision are based on agro-climatic suitability of crops in Aileu. Additionally, by not 
promoting coffee under the USDA project in Aileu, there will be no opportunity for CCT to 
double-dip project outcomes (performance indicators) generated with old project (USAID 
money) and new project (USDA money). 
Focusing project activities on spice production in 
Aileu is a logical choice in that it builds 
economies of scale for the CCT spice business, 
while at the same time aids farmers in income 
diversification, using climatically suited crops for
the upland (mountainous) environment. Spice 
crops are environmentally sound in that they 
provide permanent over/understory cover for 
highly erodible soils in the district, thereby 
enhancing soil conservation and reducing the 
risk of soil erosion that would likely occur on 
many farms if crops such as maize, cassava or 
other slash and burn agricultural products
common to the district were promoted. 
6 The original monetization proposal assumed that the commodity sale would generate $7 million in revenues. The 
actual sale generated $9 million in revenues. 
Crop Diversification
Over the last six years (since 2009), the 
cooperative has seen Arabica coffee export 
volumes vary from a high of over 17 million 
kilos in 2010, followed by a low of 2.5 
million kilos in 2011. This pattern of 
alternative bearing is common for many 
perennial crops worldwide. Nevertheless, 
the nearly seven-fold variation in yields is 
high and points to the need for farmers to 
diversify into other crops in order to help 
stabilize income. 
48 East Timor Agribusiness Project Baseline Survey
Figure 34
Cassava is a staple crop in rural East Timor. 
The baseline survey found that 
approximately 93% of farmers produced 
local genotype cassava on their farms. 
Much of the cassava is used at home, 
never reaching the market; however, 
findings from question #29 (see below) 
indicate that slightly over half of all 
households generate some income from 
the sale of cassava (see Figure 34). 
Accurately measuring cassava yield is 
difficult, as many farmers have multiple 
plots and do not know the exact area of 
each plot. Additionally, farmers harvest 
the cassava as needed and do not typically 
record their yields from plots. For 
USDA/NCBA to accurately capture 
statistical data on new genotype cassava 
yields, they can randomly select farmers 
who will allow the project to monitor their 
fields for yield. 
Cassava Processing
The CCT cassava flour mill was completed in 
early 2015 and processing the product has 
begun. The cooperative will utilize a network 
of buyers (former extension agents) to source 
cassava for the processing plant. CCT will 
introduce cassava with improved genetics 
under the USDA project. The new variety is 
suitable in a wider range of soils and climates 
and produces higher yields than local varieties.
The new mill produces two products – cassava 
flour and cassava fiber. About 90% of the 
output is in flour form. Cassava flour is used in 
a variety of food products, including noodle 
manufacturing and as a flour substitute for 
gluten-free baking. Cassava starch is also used 
in the laundry industry. CCT plans to export its 
cassava products to Indonesia for sale to the 
noodle industry, but will make the product 
available if markets within East Timor develop.
49 East Timor Agribusiness Project Baseline Survey
Table II: Survey Question #29, Average Annual Income from Cassava
Yields are difficult to estimate in East Timor. Many farmers do not calculate yields in kilos/ha or 
other standard units. Farmers can usually tell you approximately how many kilos they 
harvested, and/or how large their farm is, but these units are not accurately measured and are 
very rough estimations. The USDA project Result Indicators (RIs) ask for yield metrics in 
kilos/ha. To accommodate the metric, the survey included questions on yield/unit area on each 
crop. 
Figure 35
50 East Timor Agribusiness Project Baseline Survey
Figure 34 shows that 94.5% of farmers did not grow cloves and/or could not provide an 
accurate yield estimate. Approximately 5.5% (rounded) of the farmers interviewed indicated 
that they had either not received a yield from their cloves, or harvested up to 2,000 kg/ha (see 
Figure 35). 
Table III (below) provides a greater level of detail for clove yields. The data shows that over 
99% of all cloves produced in the project area came from Aileu District. Four farmers in Lautem 
reported producing this crop, three of which received an average annual yield of zero kilos and 
one farmer reported average annual yield between 1 and 1,000 kg/ha. 
Table III: Survey Question #33, Average Annual Yield for Cloves
Mean annual cassava yields before October 2013 are examined in Figure 36 and Table IV.
Figure36
51 East Timor Agribusiness Project Baseline Survey
The survey data shows that 41.4% of farmers realized mean annual cassava yields of between 1 
and 1,000 kg/ha. A large percentage of individuals (57.7%) responded that they had either 
received a yield of zero, they didn’t grow the crop, or they didn’t know their yield. This high 
percentage is probably a reflection of most farmers not being able to calculate (or not being 
interested in calculating) yield/ha. Estimating farming area (square meters) and crop yield (kg) 
and translating this into standard units of kg/ha was found to be a difficult calculation for the 
survey enumerators who had at least three years of agricultural college experience. Project 
management worked with the enumerators during the training period in an effort to familiarize 
them with calculating standard yields. Given the challenges faced by the enumerators in this 
area, the reliability of data provided by farmers on standard yields (kg/ha) needs to be looked 
at cautiously. 
Table IV: Survey Question #35, Average Annual Yield for Cassava
In an effort to capture more accurate standard yield data for the midterm and final evaluations 
of the USDA project, the project funder and implementer could consider monitoring a limited 
number of farmer plots. This would involve measuring the plot sizes (using GPS or hand-held 
tapes), calculating farming area and returning to the farm at harvest to weigh all product 
harvested. This would need to be done for each crop (cassava, Robusta coffee, cocoa, vanilla,
black pepper, and cloves) where yield information is desired. To generate statistically 
significant data, there should be approximately 26 individual data points (farm plots) tracked. 
Assuming 6 crops and 26 sites, the project would need to track 156 individual farm plots 
annually. This would require a significant level of financial and human resources (currently not 
budgeted for) and would require farmers to cooperate. Farmers could not harvest their crops 
until CCT project staff were onsite with scales and supervised the harvest and weighing of the 
crop. 
52 East Timor Agribusiness Project Baseline Survey
The data produced would allow a time-series comparison of changes in yield and a comparison 
between districts, but the sample size would not be large enough to develop statistically 
significant data for comparison within districts as each district would only have an average 
sample size (n) of 6.5 for each crop.
4.2 Agro-Product Buyer Survey
The Agro-Product Buyer Survey was developed to provide baseline information for the USDA 
project Result Indicators (RIs) relative to project tasks and outcomes relating to CCT activities. 
The survey included 30 questions. All questions and answers can be reviewed in Annex II of this 
document. 
The project consultant and translator met with senior CCT staff and selected board members on 
16 May 2015 to review the questions in the Agro-Product Buyer Survey. 
In summary, all baseline survey questions directed toward CCT revealed that no USDA project 
activity occurred prior to or during October 2013. No technology transfer had occurred prior to 
this date; no farmers employed knowledge or information learned from CCT. No additional dry 
or cold storage capacity was installed as a result of CCT actions. No farmers or businesses 
benefitted from the USDA project prior to or during October 2013. No increases in value￾addition occurred to post-harvest products as a result of project activities. No regional trade 
expansion, trade promotion activities, etc., occurred under the USDA project prior to or during 
October 2013. 
5.0 Project Performance Indicators Rationalization and Validation
The Result Indicators as written reflect the objectives of the project. In summary, these 
objectives include:
• Increasing agricultural productivity at the farm level through transfer of improved 
techniques and technology, as well as expansion of financial services provided by CCT.
• Expanding markets and trade volumes for commodities associated with the USDA 
project through improved product quality, enhanced post-harvest processing, and 
improved market linkages.
The structure of the RIs relative to the project objectives is rational from a project monitoring 
standpoint. The challenges come at the farmgate, where the transfer and application of new 
techniques needs to be measured. 
6.0 Amendment Options to the Project Monitoring and Evaluation Process
53 East Timor Agribusiness Project Baseline Survey
There are approximately nine unique language groups in the project target geography. This 
increases the complexity of measuring deliverables (performance indicators) through an 
interview process. It is important to keep questions relating to performance indicators as 
simple and straightforward as possible to minimize any possible confusion during multiple 
translations. The baseline survey was designed with this in mind, while at the same time trying 
to satisfy the needs of USDA Washington to track meaningful changes in outcomes at the field 
level. 
To mitigate the effects that language and education levels observed in the target population on 
measuring/tracking the RIs, USDA/CCT could develop a more objective approach to collecting 
statistical information. Specifically, monitoring plots could be created on cooperative 
members’ farms that would be tracked for changes in yield, technology transfer and use of the 
final product within the household or sale into the regional or international market supply 
chain. This sampling technique would require that CCT extension agents work directly with 
farmers to create a statistically significant number of monitoring plots and measure yields on 
these plots during a specific (agreed-on) harvest period. This may be possible for crops such as 
coffee, cocoa, vanilla, cloves and black pepper, which tend to have very specific harvest 
periods. Cassava, on the other hand, is often held in the field (in the ground) and harvested 
only when needed. Fruit from project-supplied trees and Moringa would also be difficult to 
track on a monitoring plot basis, as these products are likely to be harvested periodically. The 
foregoing plot monitoring system would reduce or eliminate the human error element 
associated with undertaking a midterm and end of project (EOP) performance survey.
7.0 Data Limits and Quality Control
The enumerator training activity, as well as the survey and database, contained a number of 
protocols to assure that the information provided by the farmers would be accurately recorded 
and safely stored in the database. The following includes some of the data limits and quality 
control measures that were included in the baseline survey protocol. 
• Findings from each survey are entered into their own unique Excel primary database 
file. This system contains damage if files become corrupted, or data entered into the file 
is incorrect. Using a single data filing system also allows for rapid insolation of file 
problems and their repair. 
• The primary database automatically posts a “bold, large font, red, warning alert” at the 
top of the data entry form if the Excel file name and the survey number are not a match 
(all raw Excel data files used the survey number as their file unique name). 
• The primary database uses drop-down boxes to limit input options by enumerators, 
thereby reducing the opportunity to input incorrect data.
54 East Timor Agribusiness Project Baseline Survey
• There are 69 fields for the drop-down boxes in the primary database. These include 60 
for questions and 9 for primary information such as farm name, enumerator name, 
district, sub-district, ward, village, date of the interview, the attending project extension 
agent and survey number. At the top of the survey form there is an automatic “field 
count” cell that counts down the fields as they are filled. If one or more fields are not 
filled, the corresponding number will appear in the field count box.
• There is a button at top left on the Excel primary database file that allows the file to be 
expanded to show all answer options available per field (question) and show which 
answer was selected. This function is available in both the English and Bahasa 
Indonesian language. 
• All survey forms and primary database files are coded by district, for example, all 
surveys and primary database files from Lautem are coded 101 – 299. Viqueque survey 
forms and primary database files are coded 301 – 599, Baucau surveys and primary 
database files are coded from 601-799 and Aileu is from 801 – 999. 
• In survey questions that ask the enumerator, answer “all that apply”, there is an 
automatic color coded box at the top of each set of answers which shows the 
enumerator if boxes have been marked. If they have not, the box at the top of the set 
will be colored red.
• Cells “not” intended for data entry in the primary database are blocked so that that they 
cannot be accidently filled and thereby omitted from the data analysis. 
• There were always two enumerators involved in the data entry process. One 
enumerator read the findings (completed survey form) from the paper copy and the 
second enumerator entered the answers into the computer / primary database. After 
the enumerator entered survey data into the primary database, the input was cross￾checked by having the person that inputted the data read the hard copy (paper form)
survey findings back to their partner who checked the entries in the computer database. 
• Each day the primary database files from the enumerator’s laptops will be backed up on 
flash drives and on a 3
rd drive maintained by the consultant.
• The enumerators competed 4 full days of training, including lecture, discussion and 
simulation. Training was provided in English, Tetum and Bahasa.
• After training and simulation, the most computer / database proficient enumerators 
were paired with the least proficient to ensure that by working together data would be 
entered and saved correctly.
• Exit interviews were conducted with the project enumerators after training. The exit 
interview questions focused on enumerators understanding of the interview and data 
entry process, safety protocols while in the field, the enumerators’ thoughts on the 
training process including strengths, weaknesses and ways to improve the training. The 
55 East Timor Agribusiness Project Baseline Survey
project staff also confirmed that each enumerator was available to work on the survey
for the entire projected time period in all four districts.
• The exit interviews also requested input from the enumerators on ways to improve the 
training process in the future, as well as to identify weaknesses in the training. 
7.1 Date Entry and Archiving Process
The following flow chart describes how the enumerators entered the survey data starting at a 
completed paper copy, and ended with a finished survey form recorded in the database. Once 
individual survey forms were entered into the database, they were linked using an Excel macro 
application to aggregate the statistics from within the district and between districts. 
Flow Chart I: The Data Entry Process
8.0 Project Approach
The project provides farmers with technology transfer and training for specific commodities 
within their district. The commodities were selected in relation to the appropriateness of these 
species relative to the agricultural climates and soils in the districts, as well as CCT’s ability to 
sell these commodities in international markets. 
8.1 Appropriateness of Commodity Focus
The following chart (Figure 37) illustrates the distribution of crops promoted by the project,
measured by the number of sub-districts where they will be planted/promoted. The most 
widely promoted products are shade tree seedlings, which in themselves are not a crop, but are 
an essential part of the crop production system. Coffee, cocoa, black pepper, cloves and vanilla 
are all understory species. These plants evolved in an environment growing under the canopy 
Data Folder 
Rename Excel 
file using survey
number exe.
101 – 999, save 
file
Data File 
Cross check 
data entered 
on survey, 
save and cut 
file
Master Folder
Copy blank 
master file 
Excel 000 into 
Data Folder
Finish Folder
PasteExcel 
data file into 
into Finish 
Folder, save, 
for long term 
storage 
Data File
Enter survey 
data into new 
Excel file (exe. 
101-999), save 
file
Confirm Data Folder is empty and 
unique data file in saved in Finish Folder
56 East Timor Agribusiness Project Baseline Survey
(overstory) of larger shade trees. Providing shade for these commodities is an essential part of 
growing a quality product in a sustainable way. 
Figure 37
Cocoa (to be promoted in 11 sub-districts) is relatively new to East Timor. Indonesia is one of 
the leading cocoa producers in the world. The genotypes for many of the cocoa varieties 
produced in Indonesia have historically been plagued by pod bore problems. Pod bore 
infestations result in lower yields and reduced quality. The new/improved genotypes that will 
be introduced as part of the USDA project will have a significant level of pod bore tolerance. 
This will give East Timor growers a significant advantage over Indonesian cocoa growers. 
Improved cassava will be introduced into 10 of the 14 sub-districts where the project works. 
Since over 93% of households surveyed reported that they produce cassava, this is an 
important staple crop and is appropriate to include in the project’s product mix. In addition to 
being a regular part of the rural diet in East Timor, CCT’s cassava flour mill will give growers an 
opportunity to sell cassava as a cash crop. 
Table V: USDA Project, Distribution of Crops by Sub-district
57 East Timor Agribusiness Project Baseline Survey
Coffee and spices have very specific climate requirements. The distribution of these 
commodities has been determined by agro-climate suitability within each sub-district. 
8.2 Appropriateness of Geographic Focus
Figure 38 examines the number of new crops (enhanced genetic materials) that will be 
provided within each sub-district by the USDA project. 
Figure 38
The eastern part of East Timor, including the districts of Lautem, Viqueque and selected sub￾districts within Baucau, have not received as much attention from development agencies and 
donors as many of the districts in central and western East Timor. The USDA project will make 
a significant effort to work in Lautem and other areas that have been underserved in the past. 
58 East Timor Agribusiness Project Baseline Survey
As can be noted in Figure 38, Lautem District will receive more new genetic material than any 
other district. 
8.3 Appropriateness of Target Indicators
East Timor’s population is nutritionally challenged. UNICEF estimates that between 2008 and 
2012, 44.7% of the population (for children) was underweight and stunting occurred in 58% of 
the childhood population. Diversifying and increasing the availability of food (via introduction 
of additional fruit trees and varieties) in the rural diet will help mitigate some of the suffering 
that children endure within the project area.
8.4 Project Risk Factors and Risk Mitigation
Risk factors associated with the USDA project are similar to those that affect any agricultural 
operation. These may include but are not limited to pest and pathogen risk, weather 
anomalies, and climate change. Climate change is a real concern. Coffee production in East 
Timor tends to be highly variable. From 2009 – 2014, CCT has seen its Arabica coffee sales 
volume range between 17 million kilos in 2010, dropping to 2.5 million kilos (in 2011). 
Alternative bearing is a common phenomenon seen in many tree crops. In the case of Arabica 
coffee, the 6.8-fold change in productivity may be exacerbated by climate change, but is 
certainly affected by the plant’s own physiology (taking a rest year after a very large crop in 
2010). Similar yield variations should be expected with the USDA project. It is important, given 
the propensity for tree crop alternative bearing, to look at trends in productivity, rather than 
one-off years when measuring project performance. 
Soil erosion is an issue in East Timor. Many farms are located on steep slopes that enhance the 
risk of erosion. Planting shade trees and other cover crops will reduce erosion potential. 
Additionally, project farmers should be encouraged to maintain stream/river buffers so that 
there is a significant area of vegetation between their farms and waterways to capture and/or 
slow sediment transport. 
Market risk can be mitigated in Robusta coffee and cocoa by hedging in international 
commodity markets. Currently, hedges are managed on CCT Arabica coffee through the NCBA 
Java, Indonesia office. Where possible, NCBA should look for opportunities to expose CCT staff 
to market management techniques for coffee, cocoa and spices. This may include utilizing 
programs such as the USDA Cochran Grant Program to provide in-house (overseas) training for 
CCT staff with the cooperative’s international marketing partners, including but not limited to 
Starbucks and Royal Coffee. 
8.5 Staffing and Organizational Structure
59 East Timor Agribusiness Project Baseline Survey
Cooperative Café Timor already has a well-established staffing and organizational structure that 
the USDA project can tap into. CCT has over 500 employees in East Timor, including extension 
agents located throughout the project geography. 
8.6 GoET Strategic Plans and Project Goals 
The project consultant met with three key 
government partners while in the field. These 
meetings included discussions with 1.) Angela da 
Cruz, Senior Advisor to the Minister of Agriculture 
and Fisheries, East Timor, 2.) Julie Canto, Vice 
Administrator for Lautem District (an elected - party 
official), and 3.) Galeny Galhos, Regional Director of 
MAF for Aileu District. 
All three government representatives articulated the 
need to expand agricultural development as a vehicle 
to achieve improved standards of living in rural areas. 
This is a fundamental goal of the government at both 
the local district and national levels. 
All of the government representatives voiced their 
strong support for the USDA project and stated that 
the goals of the project are in alignment with the 
goals of the East Timor government. They 
encouraged USDA to expand its role in assisting the 
GoET in developing agriculture within the country, 
with particular emphasis on eastern districts. 
CCT’s Ongoing Relationship with
East Timor’s Communities
NCBA began working in East Timor’s 
coffee sector before the 1999 
referendum on independence and the 
civil unrest that followed. 
Today, the cooperative has 
approximately 24,000 members 
representing about 70% of the 
country’s coffee growers. After natural 
gas, coffee is the single largest export in 
U.S. dollar value produced by the 
country. 
Over the past 16+ years, CCT has 
developed deep ties to local 
communities throughout rural parts of 
the country, and has won the trust of 
both farmers and the government. 
The strong relationship that CCT has 
built with institutions and communities 
is exemplified by the willingness of 
political leaders (including the village 
chiefs, cabinet ministers and the 
President) to attend CCT events and 
assist the cooperative on issues that are 
important to the development of the 
country’s rural economy and 
agricultural sector.
60 East Timor Agribusiness Project Baseline Survey
9.0 Value Chain Consideration
The following section of the baseline survey report examines the process of value addition of 
selected products through a series of flow charts that describe how the commodities move 
from the farm to markets. All of the CCT products are sold as Certified Organic, which 
commands a premium price. Arabica coffee produced by CCT is also sold under the Fair Trade 
label, which protects farmers against downside market risk. The Fair Trade label and organic 
labels can be extended to other commodities being produced via the USDA project. 
Robusta Coffee: CCT purchases raw coffee in the form of cherry from farmers at both the 
farmgate and rural wet mills. Farmers who deliver cherry directly to the wet mill receive a 0.04 
USD price premium. At the wet mill, the coffee pulp is removed; the beans are washed and 
dried, and the resulting parchment is shipped to the CCT main coffee processing facility in Dili. 
At the Dili processing facility, the coffee is dry-processed. Dirt, defect beans and stones are 
removed, as well as any metal fragments (using an automated magnetic system). The dry 
beans are electronically sorted by bulk density, color, then passed through a four-lane visual 
inspection system. After this, the coffee is blended to ensure consistent taste, bagged and 
stored in the warehouse. Containers for export are received, cleaned (pressure washed to 
remove odor) and lined with cardboard to absorb moisture. The coffee is loaded and sold to 
the buyer FOB port Dili. 
The USDA project will focus on Robusta coffee. Prices for Robusta tend to be less than Arabica 
in the international market. For example, in 2014, CCT paid 0.35 USD/kg for Arabica cherry and 
0.25 USD/kg for Robusta cherry. The revenue difference for the farmer is made up in part by a 
higher yield for Robusta. Typically, farmers in East Timor receive 700 kg of cherry/ha for 
Arabica versus 1,000 kg/ha of cherry for Robusta. The higher Robusta yields allow 
approximately the same income/hectare to be generated for Robusta as Arabica, even though 
Robusta farmers are paid less per kilo for their crop. 
Cocoa: CCT began working with farmers in Triloka sub-district of Baucau in 2011 to plant cocoa. 
This district is near the city of Baucau, not far from the airport. This sub-district is not part of 
the USDA project. CCT also planted cocoa in 3 western districts of East Timor, not included in 
the USDA project geography. This cocoa will help fill the supply chain and allow the cocoa 
processing and export business to reach an economy of scale sooner that would be allowed by 
CCT buys 
coffee 
cherry at 
farmgate
Transport 
to mill: 
pulp, 
wash, dry
Transport 
to Dili: 
hull, sort,
grade 
Bag and 
blend at 
Dili plant
Load into 
a pre￾washed/ 
lined 
container
Ship/ 
export 
sold FOB 
Port Dili
61 East Timor Agribusiness Project Baseline Survey
only relying on cocoa planted by the USDA project. The 2011 cocoa planting was funded by 
USAID. 
Under the USDA project, CCT will build a cocoa and spice warehouse on property owned by the 
GoET. This property has been leased to CCT for 25 years and is currently used for farmer 
training and as a nursery production site. 
Working in concert with USDA, CCT will provide improved cocoa varieties to farmers in Baucau 
(sub-district Venilale), four sub-districts in Lautem, and two sub-districts in Viqueque. The 
genotype being used is tolerant to cocoa pod bore. This is a major pest in Indonesia, and can 
have significant negative impacts on yields. The pod bore tolerant varieties will provide farmers 
in East Timor with a significant comparative advantage over farmers using older varieties 
common to Indonesia. 
Cocoa farmers will harvest pods and after a week of pod storage, remove the beans. The beans 
are fermented on the farm (or at rural collection centers operated by CCT) and dried7
. CCT will 
purchase the beans at its Comoro and Lospalos warehouses. At the warehouse, the beans will 
be sorted, graded and bulk bagged. The cocoa beans will be loaded into cleaned containers and 
shipped to Dili port, where they will be sold FOB. 
Vanilla: this understory vine crop (vanilla) requires shade and a host tree to provide 
structure/scaffolding for climbing. Farmers harvest pods (green) and deliver them to the CCT 
facilities at Lospalos and Comoro. CCT blanches the pods in 70 degree C water for about 2.5 
minutes to stop enzymatic processes. The pods are then dried and fermented for 
approximately two days. After fermentation, the pods have a moisture content of 
approximately 40%. 
Once the moisture level is reduced to a point where they can be shipped, the pods are loaded 
into a container and forwarded to ASI Java. At ASI, the pods will be further dried to 
approximately 15% moisture and conditioned inside wooden boxes over a 3 – 6 month period. 
7 Cocoa in Indonesia is typically fermented on the farm; however, in East Timor, CCT may opt to collect wet beans 
and ferment and dry them at rural fermentation facilities. This process could enhance bean quality, consistency 
and price.
On Farm: 
Harvest 
and clean 
pods
On Farm: 
ferment & 
dry cocoa 
beans
CCT buys 
beans at 
Comoro & 
Lospalos 
facility
Sort, 
grade, 
bulk bag 
beans
Load into 
a pre￾washed/ 
lined 
container
Ship/ 
export, 
sold FOB 
port Dili
62 East Timor Agribusiness Project Baseline Survey
After conditioning at the PT Agri Spice Indonesia (ASI)vanilla processing facility in Klaten (central 
Java), the pods are sorted, graded and packed. Once packed, the vanilla is loaded into washed 
and pre-lined containers, where it is sold FOB port Java to international buyers. 
Cloves: when matureclove trees are medium-height (+/- 10 meters) and have very specific 
climatic requirements within the tropical rainforest ecosystem. The cloves are hand-harvested 
by family labor; however, some farmers may hire outside labor to assist with this physically￾demanding process. Once harvested, the stems are removed and the cloves are sun-dried. 
CCT currently purchases cloves at its Comoro warehouse and plans to also purchase cloves at its 
Lospalos facility. At the warehouse, final drying is completed, bringing the product to 12% 
moisture. The cloves are bulk-packed into bags and shipped to the PT ASI facility at Klaten, Java 
for sorting, grading and packing. Cloves are sold into the local Indonesian market (to the clove 
cigarette industry) and exported. Export sales are executed as FOB port Java contracts. Once 
minimal volumes are achieved, it is planned that CCT will export directly to the U.S. and EU 
markets. 
Black Pepper: thisvine crop is produced on farms as an understory plant. The pepper is 
harvested and the peppercorns are sorted by size. The peppercorns are sun-dried to 
approximately 15% at the farm. 
CCT purchases black pepper at its Comoro facility (and its future Lospalos facility). In Comoro, 
the peppercorns are bulk packed and loaded into a container for shipment to the PT ASI facility 
On Farm: 
harvest, & 
transport 
to CCT 
facility
CCT buys 
raw pods 
at 
Lospalos 
& Comoro
Blanch, 
ferment 
and dry 
vanilla
Ship pods 
to ASI 
Java, 
condition 
and dry
Sort, 
grade, 
pack, load 
into 
container
Sell FOB 
port Java
On Farm: 
Harvest, 
remove 
stems, 
sun-dry
Farmers 
deliver
cloves to 
Comoro / 
Lospalos 
CCT buys 
cloves at 
Comoro & 
Lospalos 
facility
Dry, bulk 
pack and 
ship to PT 
ASI Java
At PT ASI 
Java -
Sort, 
grade, 
pack, ship
Sold FOB 
port/ 
export & 
FOB plant 
local mkt 
On Farm: 
harvest, 
dry, sort 
by size 
Farmers 
deliver 
pepper to 
Comoro / 
Lospalos 
CCT buys 
pepper at 
Comoro & 
Lospalos 
facility
Dry, bulk 
pack and 
ship to PT 
ASI Java
At PT ASI 
Java -
sort, 
grade, 
pack, ship
Black 
pepper 
sold FOB 
Java port
for export
63 East Timor Agribusiness Project Baseline Survey
at Klaten, Java. Once in Klaten, the pepper is sorted, graded and packed for export. Export 
sales are made as FOB Java port contracts. 
Cassava: In early 2015, CCT commissioned its cassava flour processing plant. To date, they have 
purchased approximately 2,000 tons of dry cassava chips from farmers in the western area of 
the country. All of the historical purchases have been from districts outside of the USDA 
project area (except for Lautem). CCT began buying cassava in Lautem District in 2014 and 
plans to continue purchasing product from farmers as part of its supply chain for the cassava 
flour mill. 
Cassava is widely grown in East Timor. It is consumed mainly at home and is an important food 
that carries many households through the dry season. Local cassava varieties tend to have low 
levels of hydrogen cyanide (HCn). This is a naturally-occurring molecule in all cassava 
genotypes. It is oxidized into a non-toxic form when the tuber is cut, washed or otherwise 
exposed to air. Local varieties tend to have HCn levels less than 40 ppm. The improved 
varieties being promoted by CCT have HCn levels in the 50 – 150 ppm range. The higher HCn 
gives the tuber a bitter taste. This bitter taste is beneficial to the farmer as it discourages pigs 
and other animals that pilfer the crop. Also, cassava is sometimes stolen out of the field. The 
higher HCn levels and bitter taste will discourage theft. 
The new varieties of cassava being promoted by CCT have higher yields than local genotypes 
and can be produced in a wider range of soils and agro-climatic conditions. Cassava harvest 
occurs twice a year, August to September and March to April. One hectare of improved cassava 
(being promoted by CCT) will yield approximately 6,500 kg using typical East Timor farming 
practices. Under good farming practices, the new varieties can potentially product 10,000 
kg/ha. At 6,500 kg/ha and 0.18 USD/kg, this crop can generate 1,170 USD of gross 
income/hectare. Assuming a tractor is hired for ground preparation at 50 USD/ha, and weeding 
labor is paid 25 USD/ha, the improved cassava genotype will net the farmer 1,095 USD/ha. 
On the farm, the cassava is harvested and cleaned (dirt removed). The skin is removed and cut 
into pieces to facilitate drying to approximately 14% moisture. The cassava is purchased by 
independent agents who work with CCT to consolidate product. These purchasing agents are 
former CCT extension agents. The agents pay farmers 0.18 USD/kg at the farmgate and sell it to 
On Farm: 
harvest, 
clean, 
skin, dry
Agent 
buys at 
farmgate,
transports 
to CCT
CCT buys 
cassava at 
plant gate 
from 
agent
Process –
chop, 
soak, 
ferment, 
dry, mill
Separate 
flour and 
fiber, 
packed in 
bags 
Sell in 
local and 
export 
market, 
FOB plant
64 East Timor Agribusiness Project Baseline Survey
CCT at the plantgate for 0/21 USD/kg. CCT provides the agents with bags, truck transport and 
money for purchasing the crop. 
At the processing plant, the cassava is chopped and soaked in water for 24 hours. The wet 
cassava is then run through a chipper and augured into a fermentation tank where bacterial 
starter is added. The product is held in the fermentation tank for 24 hours. After fermentation, 
the mash is augured out of the tank and placed on drying racks. The mash is dried in plastic 
tunnels from about 60% moisture to about 13% moisture. After drying, the cassava is run 
through a hammer mill and sifter. The fiber is separated from the cassava flour and both 
products are packed separately. The fiber is packed into 30 kg plastic bags and the flour is 
packed in to 10 and 25 kg bags. 
65 East Timor Agribusiness Project Baseline Survey
9.1 Value Chain Calculation
Value chain calculations can be determined for a number of export products associated with 
the USDA Agribusiness project. Table V (below) shows the change in values for products as 
they move from the farmgate to the export market. All of these products have some degree of 
value addition, although the amount varies, depending on the product and market. All raw 
products are valued at the farmgate and all finished products are valued Freight on Board (FOB) 
selling price Dili or ports in Java (for vanilla, black pepper and cloves which will be consolidated 
and exported via CCT’s Indonesian operations). Once a minimal level of volume is attained, for 
example 20 MT of cloves, 5 MT of cured vanilla, etc.), full processing and export directly from 
Dili will be viable.
Table V: Value Chain Calculations8
8 Value Chain Calculation Assume:
• Costs not including contributed family labor, not including opportunity costs
• Farmgate sales price an average of all grades and with certifications for coffee, cocoa, spices
• Includes current international price levels
• No fertilizer or pesticides/herbicides used
• Land preparation done with family labor
• Seedlings provided by project free of charge initially
• Cash production costs assumed to be zero as all labor is provided by family and seed materials or 
seedlings are provided by CCT or saved by the farmer from last year’s crop. 
• Farmgate Sales price for Robusta coffee assumes cherry to dried bean ratio of 18%
• Costs not including extension and certification (which is absorbed by CCT)
• Final products include whole black pepper ASTA grade whole; organic gourmet/extract grade I vanilla; 
cloves grinding 70%/gourmet 30%; Fermented organic cocoa beans 100/110 sized; modified cassava flour, 
wholesale; green bean washed Robusta grade one organic coffee. 
66 East Timor Agribusiness Project Baseline Survey
CCT will sell its Robusta coffee, cocoa and spices on the international market. Cassava flour 
markets will most likely develop locally and regionally. 
10.0 Projected Impact of Project on Smallholder Farmers
The project will result in significant beneficial impacts to farmers in the four districts of East 
Timor (all of which can be classified as smallholders). The project will provide crop and income 
diversification to farmers in Lautem, Viqueque, and Baucau districts with products that have 
historically not been produced in these geographies. The project will also provide direct access 
to international markets via CCT’s marketing and sales activities in coffee, cocoa, vanilla, black 
pepper and cloves. In the proposed Aileu District if approved, the project will provide crop and 
income diversification, as well as market access to farmers who have not benefitted from donor 
activities or commercial activities to date within the black pepper, clove, and vanilla sectors. 
All project participants will benefit from the inclusion of fruit trees and shade trees. Coffee, 
cocoa and spices are understory species. These plants evolved as part of the understory 
tropical forest ecology. When they are grown as an understory crop, they can produce high￾quality product commanding a higher market price. Including shade trees in the mix of 
products promoted by the USDA project is very important to maintaining East Timor’s 
reputation as a supplier of quality high-value agricultural commodities. 
Fruit trees, as part of the project activity, will enhance nutritional levels within the household 
and create opportunities for local sales. In the long-run, fruit from the project’s plant materials 
may enter regional markets, but this type of activity will probably have a time horizon beyond 
the end date of the project. 
11.0 USDA Project Exit Strategy
Coffee, cocoa, cloves, and fruit trees are permanent crops, all requiring more than three years 
from outplanting project produced seedlings before producing a significant crop. Because of 
this, the real benefit of these crops may not be captured completely within the time-frame of 
the project’s monitoring and evaluation period. Nevertheless, it cannot be over-emphasized 
how important it is that these permanent crops be included in the product mix of the project. 
These tree crops are environmentally sound and help promote soil conservation on East Timor’s 
highly erodible soils. The tree crop commodities selected for this project have excellent post￾harvest handling attributes. Good post-harvest handling techniques are within the capabilities 
of CCT’s operating environment. These crops are also sustainable, with minimal inputs and 
have well-established, deep international markets. 
USDA/NCBA will be able to exit the project with the knowledge that CCT will be able to 
continue providing extension services, post-harvest processing, and access to markets for 
67 East Timor Agribusiness Project Baseline Survey
farmers/cooperative members. To ensure access to international markets, it is likely that CCT 
will continue its relationship with NCBA’s Java-based commodity sales offices into the 
foreseeable future (after EOP). 
12.0 The Path Forward
The following section provides insight on ways to optimize the future path of the project to 
improve its impact on beneficiaries and ensure its sustainability. Moving forward, there are 
two key areas that need to be addressed - 1.) How to best incorporate the additional $2 million 
of project funding to maximize benefits, 2.) How to best measure project success in achieving 
targets.
To address the first key question on incorporation of the additional monetization revenue, 
NCBA should be encouraged to add 2,000 additional farmers to the original 8,000 farmer client 
base. This will bring the total number of beneficiaries to 10,000 households. The additional 
2,000 farmers/beneficiaries should be added in the Aileu District (as proposed by NCBA). 
Focusing additional resources on this district will allow CCT to rapidly build its supply chain for 
cloves, black pepper, vanilla, and selected fruit. The knowledge and networks that CCT already 
has in Aileu will support market development for the export commodities by creating the 
critical mass and volume needed for the organization to establish a Dili-based export facility. 
This will benefit all four districts in which the project operates and the 10,000 beneficiary 
households. 
The project’s timeline should be expanded from four years to 5.5 years. This can be justified by 
two factors: the first factor was the six month delay in project start-up, resulting from the need 
to undertake the baseline survey prior to full implementation of the activity. The second and 
more important issue is that the perennial crop mix being promoted by the USDA project will 
not come into production until approximately five years after funding. If the project ends 
before the fifth year, USDA will not benefit from an accurate end-of-project evaluation that 
shows the actual change in on-farm income, increases in crop yields, rise in aggregate 
production by commodity and district, development of the supply chain, value of exports and 
new markets developed. 
USDA and NCBA should time the project’s mid-term evaluation for a point after the seedling 
distribution/nursery activities have been completed. This will allow the evaluation to capture 
the results of the seedling distribution process and set the stage (make projections) for 
expected end-of-project results. 
Some of the Result Indicators included in the monitoring and evaluation plan involved tracking 
changes in yield and volumes at the farm level. As discussed in this report, collecting this data 
from farmers is difficult, as they do not have an accurate accounting of the size (square meters) 
68 East Timor Agribusiness Project Baseline Survey
of their farms or their yields (measured in standard units). To meet USDA’s monitoring and 
evaluation planned criteria, CCT should develop a monitoring plot system with randomly 
selected farmers in all four districts where the project is being implemented. This is the best 
way to collect accurate statistical information on yields as required by the current result 
indicators. 
Decisions on how to move forward on the above issues need to be agreed on in a timely fashion 
(by end September 2015). East Timor will be entering its rainy season in the last quarter of 
2015. Specific agricultural operations need to be timed with the rainy season. If decisions 
relating to the project’s future path are delayed, the project could miss one agricultural year. 
This would have serious negative effects on the implementation timeline, knowledge and 
technology transfer to the beneficiaries/ farmers, and end-of-project results. 
69 East Timor Agribusiness Project Baseline Survey
Report Annex
Annex I: Farmer Survey Questionnaires and Dataset
Annex II: Agro-Input Deal Questionnaires and Dataset
Annex III: Project Result Indicators
Annex IV: Specific Quotes from Stakeholders
Annex V: Baseline Survey Staff and Consultants
Annex VI: Power Point Presentation Based on the Baseline Report
Annex VII: Baseline Survey Database (English)
Annex VIII: Baseline Survey Form (English and Bahasa Indonesian Language)
Annex IX: Photo Set of Baseline Activity
70 East Timor Agribusiness Project Baseline Survey
Annex I: Farmer Survey Questionnaires and Dataset
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Annex II: Agro-Input Dealer Questionnaires and Dataset
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Annex II: Agro-Input Dealer Questionnaires and Dataset
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Annex III: Project Result Indicators
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Annex III: Result Indicators – Page 1
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Annex III: Result Indicators – Page 2
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Annex III: Result Indicators – Page 3
100 East Timor Agribusiness Project Baseline Survey
Annex IV: Specific Quotes from Stakeholders from Interviews
101 East Timor Agribusiness Project Baseline Survey
Annex IV: Specific Quotes from Stakeholders from Interviews
• 17 May, breakfast meeting with a Vice Administrator (a political party appointed 
position) for Lautem District at Nova Tourismo hotel, Dili. He knows the project (has 
visited the CCT Los Palos training center with the President of East Timor). He said “the 
USDA project activities and objectives are 100% in-line with goals and objectives of his 
government”. He added that “the capacity building and training,as well as the new 
plantsand seedlings provided by the project are important to the farmers”. He said,”
unlike many international NGO’s that have worked the District, CCT gets things done 
and produces a positivelong-lasting effect”. He added that “with over 70% of the District 
population involved in farming, the project provides an important contribution to the 
District’s economic growth by increasing farmer incomes. I hope the project will 
continue to work in the District for many years to come.”
• 27 May, had coffee with an Advisor to the ET Minister of Agriculture. She said that the 
USDA project goals and objectives are in line with GoET / MAF goals and objectives. She 
said that the eastern districts need development and the GoET supports USDA efforts to 
focus on the 4 target districts. She said that security issues in Watulari make it an 
important area to focus resources. The GoET needs to show the population that they 
are effectively dealing with poverty and other issues and the USDA project directly 
supports their efforts. She said that “the government would like to see the USDA 
extended into a Phase II, to allow additional development in the Eastern Region, as most 
donor funds to date have been targeted at the western and central districts”.
• 3 June, meeting with a Regional Director of MAF for Aileu District at the regional MAF 
headquarters building. The Regional Director stated that his office holds regional NGO 
coordination (harmonization) meetings every quarter. A CCT representative has been 
attending; however, he would like to have contact with people at a higher level within 
CCT (higher than the regional field staff). He felt that this would allow better 
communications between CCT and the Ministry. Currently, the Aileu regional MAF 
office is working with two NGOs – World Vision and Road to Development. The NGOs, 
along with MAF, are working to expand clove production in the district. To date, they 
have no clear plan or strategy to develop the market. This is an area where CCT could 
provide a vital link between farmers and importers. MAF would also like to focus on 
expanding fruit tree production in the region with an emphasis on citrus (U.S. 
government aid projects are generally barred from working within the citrus sector, due 
to Bumpers Amendment restrictions). In closing the meeting, the MAF Director stated 
that “We need U.S. government support to bring East Timor out of poverty and develop 
a more democratic society.”
102 East Timor Agribusiness Project Baseline Survey
Annex VI: Power Point Presentation Based on the Baseline Report- please see separate 
electronic file
Annex VII: Baseline Survey Database (English and Bahasa Indonesian language) – please 
see separate electronic file
Annex VIII: Baseline Survey Form (English and Bahasa Indonesian language) - please see 
separate electronic file
Annex IX: Photo Set of Baseline Activity - please see separate electronic file