Las Lomas Field Trip
Finca Altamira
Review & Proposal
Alejandro Mayer & Emily Canner

Down a narrow dirt road just as you start making your way into the Las Lomas community; Finca Altamira rests on the side of a climbing hill, visible to the public by a small and rustic sign that highlights their name. Finca Altamira is a small, family owned farm that specializes in milk production. Don Enrique, the owner, takes care of most of the daily activities that need to be done in order for business to continue its flow. His wife helps out whenever she can and tends to their small garden, mainly for self – subsistence. They have a variety of fruits and vegetables growing in their garden, but milk is their main source of income. For a few years they produced cheese as well, but market opportunities were not consistent; and so the product had to be discontinued. Finca Altamira is now part of a small association consisting of nine milk farmers that have consolidated their product and now go to market as a single unit. Finca Altamira is where the milk from all farmers is consolidated and stored in a special container to await retrieval. It all starts early in the morning for Don Enrique and his family. The cows need to be milked twice a day in order to make the quota for their regular delivery, which takes place three to four times per week. There is a mutual relationship that exists between the farm and the family. They both feed off of each other and both parties reap the benefits. The family shares a small house to the side of the garden, with the pastures close by. They have a few cottages that hold some of their tools and equipment, but nothing too fancy. All in all their living conditions were very humble, making an honest living. What struck us the most—and something that has been true for many of the other farms we have visited—is how happy the tenants are. They enjoy what they do, are able to provide for their families, and at the same time care for the environment. It’s that level of willingness towards being sustainable that really sets these farmers apart. Their style of living might not be too glamorous, but they are content with what they have and who they are, and we respect that. Our experience at Finca Altamira was very rewarding, and we were able to make the most of it even though the rain was giving us a little trouble at the beginning. All the rain that had been coming down for the last few weeks was giving Don Enrique a problem. Because the farm is at a lower level than the main road, a lot of the water that accumulates around the entrance runs down and floods lower parts of the property. Our task was simple but necessary: find a way to re-direct the water to the side of the road in order for it to be drained properly. We built a small natural barrier with rocks and sand that would do just that. We also refilled some of the areas on the main road that were starting to accumulate water in order to ensure that the runoff system would work. It was hard work since we had to transport the materials up the hill using a wheelbarrow. It took us a few hours to get it done, but along with two other Earth students, the results were very satisfying. They invited us into their home for lunch and coffee, which we really enjoyed. They were very open and generous towards us and thankful that we had spent the day with them. Don Enrique had originally ventured off on his own selling the milk he produced in his farm, but sales went up and down and the market opportunities were just not consistent. Finca Altamira and the rest of the farmers in the association now sell their milk to a local company with whom they have a set contract. Don Enrique and the association now have a constant flow of income, so long as they keep meeting their quotas. Even though Don Enrique can now count steady monetary inflow, the farm and the family still have their challenges. Their facilities could really use a boost; some of the equipment is not in great shape and in need of maintenance. Old equipment can be a problem for farmers as it can reduce their efficiency and add to their overall costs of production. They also jeopardize the quality of their milk as it opens the door for bacteria. An investment in new equipment can mean faster production, higher product quality, and less money going into repairing weathered machinery and tools. Another big challenge revolves around the transportation of the milk to Finca Altamira, which serves as the consolidation point. Not all farmers in the association have a car, and so they have to pay a third party to move it for them. This can present a problem as it adds to their overall costs and might prevent some of the farmers from delivering the milk on time for the pick-up. Despite these challenges, Finca Altamira and the association have several opportunities that they can take advantage of. The most important thing they have going for them at the moment is the fact that they created an association as their go to market strategy. If they were able to increase the number of farms in the association, they could increase their supply capabilities and reap the benefits of more income through more sales. Another alternative would be to increase the number of cows on each of the farms. As of now, Don Enrique only has about 15 cows. An increase in that number could mean higher profits. Investment in new and more efficient equipment could be a big money saver down the road for them as well. Although they would have to incur the initial payment, production costs would go down in the long run, as efficiency would greatly improve. New equipment also reduces their chances of having bacteria penetrate the product. As they raise their quality, they can raise their price at the selling point and maybe even attract larger producers like Dos Pinos. After taking part in a day in the life of Don Enrique and his farm, we came up with two proposal ideas that could take Finca Altamira and their association to the next level. The organic business in the United States has been constantly growing over the last few years, as people are starting to realize its benefits and are willing to pay more for organic products. We believe that this trend will start to catch up here in Costa Rica and other places around the world. Investing in organic milk production could be something for Don Enrique and the association to consider ensuring that they stay ahead of the game, and would provide the added benefit of making the farms more sustainable. This means that they will be able to enjoy lower materials price, since they would not use any pesticides or artificial enhancers. Going organic would require some more effort on the labor side, but Don Enrique is a young and willing man and would be the ideal person to take on this change. Once they have established themselves as organic milk producers, they can receive more support from the Costa Rican government and even foreign organizations. Producing organic product means that there is a significant increase in product quality and benefits, which means they can increase their overall net profit and work higher margins between production costs and sale price. Our other proposal idea is more concrete. It involves Root Capital, a non-profit investment fund that grows rural prosperity in different places across Latin America. They are able to finance new growth opportunities, advise on better and more sustainable practices, and strengthen market connections for small and growing rural businesses. Root Capital’s role would be that of a middleman; they would be the ones to set up relationships with large companies or distributors and work towards a self-sustainable cycle. Because this company deals with businesses that no longer qualify for microbusiness loans, we suggest that Finca Altamira and the association apply as one single entity. Root Capital would provide the association with long term fixed asset loans to be invested in new equipment and better infrastructure, and also financial training and business development workshops. They would also invest in research and development and find new ways to grow the business the association is involved in. With Root Capital, Finca Altamira and the association would experience accelerated growth. Root Capital has the ability to connect the association with a well-established producer or distributor here in Costa Rica or maybe even abroad, which would ensure steady business, growth in income, and overall improved quality of life. There is also little risk involved for the small farmers. If something was to go wrong and Finca Altamira and the association were to stop producing, Root Capital would cover the financial collateral and prevent the farmers from having to default on their loans. We believe that this would be a great opportunity for the association to consider, as the long-term benefits would greatly offset the initial effort and investments. Don Enrique, his family, and the two Earth students who work at Finca Altamira each week were all incredibly welcoming and provided great insight into the everyday lives of families in the Las Lomas community as well as a complete view of the successes, challenges, and opportunities that small agricultural business owners in the area face. Don Enrique has built up a small yet steady and productive enterprise on his land at Finca Altamira, able to sufficiently provide for his family and create a content and humble life for themselves. As such, through the potential opportunities that we outlined above, such as the expansion of the milk association and a partnership with organizations like Root Capital, Don Enrique is in an opportune position to take advantage of the momentum of his small business while overcoming the challenges that arise from a lack of time and money for upkeep. In doing this he could not only improve his profits but his family’s overall quality of life on their small farm, and ensure that they are able to live sustainably and happily on their land for years to come.