The locals in Karkar Island in the Sumkar District of Madang province make their living mostly by growing cocoa and coconut.

There are two major cocoa and copra estates on the Island that offer employment opportunities to locals, the Kulili Estates Limited and Biabi Enterprises Limited Estates.

The volcano erupted in the 1970s and evidence of its ferocity can be seen with volcanic rock everywhere. The economy of the island is dependent on the copra and cocoa introduced in German colonial days. Most of the people live a simple subsistence island life.

On the 01st of May 2024 it was an historical moment for more than 1000 cocoa farmers in the island as they sealed an agreement partnership with the World Bank through the PNG Agriculture Commercialization and Diversification (PACD) project.

The agreement partnership signing aim at supporting small holder cocoa farmers on Karkar Island to improve their livelihoods by increasing the productivity of their crops as well as improve the living standard of the people, assisting them to more self-sufficient and to have better access to markets, better education and support.

PACD Cocoa Component Project Manager Roland Kerina, Productive Partnership Coordinator Martin Powell and Productive Partnership Officer for MOMASE Francis Ulangian were welcomed with traditional dance and singsing at Marangas ward on Monday morning for the occasion.

The team than travelled to the Sumkar District Administration for the official program. The Sumkar District, Karkar island saw Lead Partners Biabi Enterprise Limited which its Joint Partner 4KB Agriculture Business Group project and Kulili Estate Limited lead partner, its producer organization, Waskia Inland Business Group Inc. who signed the agreements representing the farmers.

Mr Kerina congratulate the farmers of Biabi and Kulili and said the partnership agreements is now signed between the lead partner to receive funding respectively in order to implement various projects in cocoa development.

He reminded the occasion that the team went through a tedious process in the last 12 months to identify the potential Lead Partners from 61 Expression of Interests. Only 26 passed through to the detailed project proposal phase and final 22 passed on to be assessed by the Projects Technical Appraisal Committee (TAC).

This Committee is independent and outside of the project and comprises Professionals, led by Mr. Paul Barker as Chairman. Following this appraisal ratings, the final list was recommended to the Cocoa Industry Coordination Committee. “This is a true project it is a long process, and the model of the project is different that is why is a success project”.

He said these funding will be channeled through goods and services such as cocoa seedlings, farming tools, trainings and other plans in their respective project plans.

“Many other projects come and go without proper completion or only few benefits but with this project I assured you that this is a true project and PMU team will work closely with the farmer groups until the project's completion,” said Mr Kerina.

Mr Kerina emphasized the object of the PACD project is for farmers to grow cocoa earned income and sustain families.

There are three projects in Madang province which will be supported by more than K3 million by the World Bank through the PACD project.

One in the mainland that signed their agreement on 30th April, 20204 which is NGO Promotion Incorporation which its producer organizations are Panagu Community Development Association (PCDA), Helpim Hauslain Finance and Mapiak Mama Association Incorporation (MMA) and Joint Partner Sumgilbar Local Level Government and the Kokonas Indastri Koporesen (KIK).