“The Impact of Andean Cultural Values and Idiosyncrasy on Associative Models for Small Farmers in Peru” Oswaldo Morales Tristan Graduate School of Asia-Pacific Studies Waseda University 2008 i “The Impact of Andean Cultural Values and Idiosyncrasy on Associative Models for Small Farmers in Peru” Table of Contents Acknowledgement............................................................................................................ v Preliminary .................................................................................................................... vi Methodology and Field work ........................................................................................ viii Introduction .................................................................................................................... 1 Chapter 1. Cultural values and Peruvian idiosyncrasy.............................................. 4 1.1. Cultural values and idiosyncrasy .................................................................. 5 1.2. Country of cultural mix: Andean culture, Spanish colonization and other influences..................................................................................................... 6 1.2.1. Andean culture as a basic of the Peruvian idiosyncrasy ............................... 6 1.2.1.1. Andean cosmology........................................................................................ 7 1.2.2. Spanish colonization ................................................................................... 13 1.2.3. Indigenismo................................................................................................. 14 1.2.4. Mestizos ...................................................................................................... 18 1.2.5. Criollos........................................................................................................ 20 1.2.6. Mulattoes and Zambos................................................................................ 21 1.2.7. Migrations from other countries ................................................................. 22 1.3. Lack of cultural identity as a society .......................................................... 23 1.3.1. Multicultural and intercultural society. Fractured history of the making for race, nation and State................................................................................. 23 1.3.2. The two Peru’s. Deep Peru and Formal Peru.............................................. 27 1.3.3. Intercultural education and its effects in the formation of cultural values.. 31 1.4. Summary of Chapter 1 ................................................................................ 34 Chapter 2. Agriculture in Peru and origin of small farmers ................................... 36 2.1. Historical antecedents ................................................................................. 38 2.1.1. Social agriculture as the basis of economic activity in the Incas’ era......... 38 2.1.2. Spanish colony and change in production patterns..................................... 41 2.1.3. Land reform and cooperative model ........................................................... 43 2.2. Failure of the cooperative model and the beginning of small farmers in Peru ................................................................................................................... 50 2.2.1. Reasons related to cultural values and idiosyncrasy................................... 51 2.2.2. Other reasons............................................................................................... 55 2.3. From Indians to peasants. Peasant communities......................................... 56 2.4. Liberalization in the 1990’s and critical situation of the small farmers...... 57 2.5. Summary of Chapter 2 ................................................................................ 60 Chapter 3. Small farmers in Peru: Problems and options of development ............ 61 3.1. Small agriculture in Peru and main difficulties .......................................... 62 3.1.1. Smallholding ............................................................................................... 62 3.1.2. Human capital and technology.................................................................... 65 3.1.3. Financing difficulties .................................................................................. 68 3.1.4. Government subsidies................................................................................. 70 3.2. Options of development for small farmers in Peru..................................... 73 3.2.1. Investment development in agriculture activities and agro–companies ..... 73 i 3.2.2. Migration to non farm activities.................................................................. 74 3.2.3. Associative models ..................................................................................... 76 3.3. Associative models for small farmers in Peru ............................................ 77 3.3.1. Business models and farming contract........................................................ 78 3.3.2. Irrigator associations................................................................................... 79 3.3.3. Other models............................................................................................... 80 3.3.4. INCAGRO and new model of innovation and competitiveness................. 81 3.3.4.1. CIPCA and the use of social capital............................................................ 83 3.4. Summary of Chapter 3 ................................................................................ 84 Chapter 4. Andean cultural values, idiosyncrasy and small farmers...................... 86 4.1. Cultural values, idiosyncrasy and agriculture............................................. 87 4.2. Andean principles: reciprocity, redistribution and vertical control ............ 88 4.3. Ayllu, kinship system and leadership ......................................................... 89 4.4. Folklore, property ownership and customary law....................................... 93 4.5. Communal work and support...................................................................... 98 4.6. Material practices and Andean values ...................................................... 100 4.7. Co-parenthood (Compadrazgo) ................................................................ 101 4.7.1. Spanish influence in the co-parenthood (compadrazgo)........................... 105 4.7.2. Validity of co-parenthood relationships in contemporary farmer’s communities. Analysis of co-parenthood in Monte Castillo (Piura)....... 108 4.8. Summary of Chapter 4 .............................................................................. 112 Chapter 5. Evaluating the impact of Andean cultural values and idiosyncrasy on associative models for small farmers. Peruvian case studies............. 115 5.1. Case study 1: Critecnia model .................................................................. 116 5.1.1. Summary ................................................................................................... 116 5.1.2. Why Critecnia model as a case study?...................................................... 117 5.1.3. Nazca Valley, the application of the Chincha Model as an MBA Thesis Project and the complementary analysis for case study in PhD research 118 5.1.4. Critecnia and the experience of contract farming in Chincha Valley....... 119 5.1.5. Definition of contract farming and the Critecnia model........................... 119 5.1.6. Research Methodology ............................................................................. 122 5.1.7. Statistic information and findings from the quantitative research ............ 122 5.1.8. Findings from the qualitative research...................................................... 132 5.1.9. The human factor and the farmer’s idiosyncrasy...................................... 144 5.1.10. The facilitator as a key for the management of relationships with the farmers..................................................................................................... 147 5.1.11. Four years later – the failure of the model................................................ 151 5.1.12. Conclusions and lessons from the case study ........................................... 154 5.2. Case study 2: Irrigator committess in Piura.............................................. 156 5.2.1. Why irrigator committees as a case study?............................................... 156 5.2.2. Irrigator committees of Cumbibira and Palo Parado in Piura................... 158 5.2.3. Research methodology and sample for the focus groups.......................... 158 5.2.4. Leader participants in the focus groups .................................................... 159 5.2.5. Findings from the qualitative research...................................................... 160 5.2.5.1. Openness, trust and safety; community space .......................................... 167 5.2.5.2. Communication, the flow of ideas and information ................................. 171 ii 5.2.5.3. Outreach networking and services –resources exchange– internal/external ................................................................................................................. 171 5.2.5.4. Social sustainability, diversity and tolerance; decision – making; conflict resolution ................................................................................................