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Andean Valley


The wholesale distributor Andean Valley, based in La Paz, Bolivia, has received a trade credit in order to supply the Danish bakery, Aurion, with organic quinoa. Andean Valley is a small family-owned firm, which has organic certification and buys quinoa from mountain peasants in Bolivia.
 
Since Aurion initially introduced quinoa to the Danish market, sales have gone up by several hundred percent, and several large operators in the Danish food industry have acquired quinoa as part of their product range, among these Urtekram. The breakfast product, “Keep-Your-Stomach-Flat Porridge,” which contains 30-40% quinoa, is the biggest sales success to date in Aurion's history, and Aurion would be able to sell twice the amount sold now if supplies could keep up with demand. 
 
However, quinoa is a sought after product. Worldwide demand for quinoa has risen due to its excellent nutritional value, which combined with overall price development related to the food crisis, means that the price of quinoa is 30% above the Fair Trade minimum price required. To retain suppliers, Andean Valley has to pay in cash for deliveries. In addition to this, the cost of purifying and washing the quinoa prior to shipment to Denmark is high. To meet the demand for quinoa, more and more peasants are becoming interested, peasants which Andean Valley needs to instruct in organic farming methods. This means an expected increase in business activities and a concomitant need for credit for Andean Valley over the coming years.
 

 

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