POSTED ON Jan 29, 2024

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How Digital Platforms For Small Farmers and Producers Will Help Fight Poverty

How Digital Platforms For Small Farmers and Producers Will Help Fight Poverty

Blog

While a finished batch of mezcal, tequila, and other agave distillates is often what receives the most focus and interest, when we at Maguey Exchange think of the artisanal spirit value chain, we also honor and recognize the source of it all— magueyeros and mezcaleros. 

These agave farmers and spirits producers join the ranks of some of the most important people in the global economy—the World Bank states that, at large, agriculture accounts for 4% of the world’s gross domestic product (GDP) and in some least developing countries it can account for more than 25%. Unfortunately, this economic impact is not reaching its roots: according to the International Fund for Agricultural Development (IFAD), 63% of the world's poor people work in agriculture and 80% of people living in extreme poverty live in rural areas, not cities.

Added to this, as the world’s population grows, strains on the environment to meet increasing agricultural demands puts us all on a ticking clock that threatens virtually all sectors.

We’re doing our part to help change that.

Reimagining Information

By merging elevated data collection and analytics with long-held practices and environmental imperatives, the MGx platform is championing a unique approach that integrates traditional methods with modern technology, providing a sustainable model that benefits farmers, producers, and the environment. 

A key component of the platform is the formation of digital bridges between artisanal producers and larger markets. With new pathways of discovery and communication, these two entities that have historically been fragmented are now able to easily and efficiently find each other, enabling producers to find new customers and increase their sales and income. 

Photo by Los Muertos Crew 

Promoting Fair Trade and Sustainable Practices

Another hallmark of Maguey Exchange is advocating for fair trade and sustainable practices in the artisanal spirits industry. By providing up-to-date market information, ensuring fair compensation for agave farmers and spirits producers, and eliminating unnecessary middlemen, the platform enables farmers and producers to increase and retain a larger share of their profits. With this, they can go on to reinvest in their farms, update infrastructure, adopt sustainable farming techniques, and improve their living standards. This economic empowerment is crucial for the long-term sustainability of the thousands of rural, small, and often-times remote communities involved in agave spirit production. 

Technology-Driven Solutions for Cultural and Environmental Preservation

With increased insights into spirits production processes, land use, byproducts, and market response, Maguey Exchange gives farmers and producers a direct look into their work and results. Not only does this help farmers and producers have a better understanding of the resources they’re using, what they’re creating, and where it’s going, it also ensures an accurate reflection of the intellectual property and cultural identity that goes into crafting each batch. This use of technology plays a vital role in optimizing production and reducing waste, as well as preserving stories and legacies. 

A Look Beyond Spirits

As the world expands and global demands for options and premiumization grows, the pressures on workers, communities, and the environment will increase. Oftentimes, these workers and communities are part of the global majority, but hold less negotiating power on the world stage due to lack of access and perceived value. 

We envision a world where farmers and producers are empowered with the information they need to have a voice and presence in the agricultural and spirits sectors without compromising their craft or livelihoods. By creating a platform for the collection and sharing of supply chain data and metrics, Maguey Exchange seeks to change the face of production and consumption, beginning with the artisanal spirits industry.

Enjoy what you read here? Sign up for our monthly newsletter where we take you to the heart of MGx and the communities we serve. Each month we share profiles of the producers and experts playing a pivotal role in the production, distribution, and expansion of mezcal throughout Mexico and beyond. To learn more and sign up, visit www.magueyexchange.com.

While a finished batch of mezcal, tequila, and other agave distillates is often what receives the most focus and interest, when we at Maguey Exchange think of the artisanal spirit value chain, we also honor and recognize the source of it all— magueyeros and mezcaleros. 

These agave farmers and spirits producers join the ranks of some of the most important people in the global economy—the World Bank states that, at large, agriculture accounts for 4% of the world’s gross domestic product (GDP) and in some least developing countries it can account for more than 25%. Unfortunately, this economic impact is not reaching its roots: according to the International Fund for Agricultural Development (IFAD), 63% of the world's poor people work in agriculture and 80% of people living in extreme poverty live in rural areas, not cities.

Added to this, as the world’s population grows, strains on the environment to meet increasing agricultural demands puts us all on a ticking clock that threatens virtually all sectors.

We’re doing our part to help change that.

Reimagining Information

By merging elevated data collection and analytics with long-held practices and environmental imperatives, the MGx platform is championing a unique approach that integrates traditional methods with modern technology, providing a sustainable model that benefits farmers, producers, and the environment. 

A key component of the platform is the formation of digital bridges between artisanal producers and larger markets. With new pathways of discovery and communication, these two entities that have historically been fragmented are now able to easily and efficiently find each other, enabling producers to find new customers and increase their sales and income. 

Photo by Los Muertos Crew 

Promoting Fair Trade and Sustainable Practices

Another hallmark of Maguey Exchange is advocating for fair trade and sustainable practices in the artisanal spirits industry. By providing up-to-date market information, ensuring fair compensation for agave farmers and spirits producers, and eliminating unnecessary middlemen, the platform enables farmers and producers to increase and retain a larger share of their profits. With this, they can go on to reinvest in their farms, update infrastructure, adopt sustainable farming techniques, and improve their living standards. This economic empowerment is crucial for the long-term sustainability of the thousands of rural, small, and often-times remote communities involved in agave spirit production. 

Technology-Driven Solutions for Cultural and Environmental Preservation

With increased insights into spirits production processes, land use, byproducts, and market response, Maguey Exchange gives farmers and producers a direct look into their work and results. Not only does this help farmers and producers have a better understanding of the resources they’re using, what they’re creating, and where it’s going, it also ensures an accurate reflection of the intellectual property and cultural identity that goes into crafting each batch. This use of technology plays a vital role in optimizing production and reducing waste, as well as preserving stories and legacies. 

A Look Beyond Spirits

As the world expands and global demands for options and premiumization grows, the pressures on workers, communities, and the environment will increase. Oftentimes, these workers and communities are part of the global majority, but hold less negotiating power on the world stage due to lack of access and perceived value. 

We envision a world where farmers and producers are empowered with the information they need to have a voice and presence in the agricultural and spirits sectors without compromising their craft or livelihoods. By creating a platform for the collection and sharing of supply chain data and metrics, Maguey Exchange seeks to change the face of production and consumption, beginning with the artisanal spirits industry.

Enjoy what you read here? Sign up for our monthly newsletter where we take you to the heart of MGx and the communities we serve. Each month we share profiles of the producers and experts playing a pivotal role in the production, distribution, and expansion of mezcal throughout Mexico and beyond. To learn more and sign up, visit www.magueyexchange.com.