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DRAFT PROPOSAL
ARTISAN-OWNED DIRECT DISTRIBUTION

Artcamp SC de RL - Artesanas Campesinas
Domicilio Conocido Tecalpulco
Apartado Postal 254
Taxco 40200 Guerrero Mexico

Telephone 011 52 762 62 20834
USA FAX 501 325 1865
lucina@artcamp.com.mx
celia@artcamp.com.mx
http://artcamp.com.mx/

Angelica Domínguez Diaz, representante legal
Hilaria Lopez Castaneda, socio secretario
Francisco Hernandez, socio vocal
Our sponsor is Global Marketplace, Gary Bond, President


PURPOSE

1. This project was started by craftswomen of Tecalpulco in early 1990s
it is legally constituted as (non-profit) artisans cooperative in May 2000.

2. The once very successful cottage handcrafts industry of Taxco and Tecalpulco
has been devastated by the influx of cheap products coming in from the Orient.

Most of the men have left for the United States and a lot of them disappear.
we know of no other associations that address our own immediate needs.

3. Our main goal is to create the conditions for a renaissance of the once-successful
cottage craft industry of our locality by creating new timely designs in fashion;
administrating a modern production business of service, quality, and reliability.

4. Tecalpulco, Taxco El Viejo, Tlamacasapan, El Cedrito, Casahuates, Taxco del Alarcon

5. Mexican labor migration of the 1990s has put burden on the women to meet the
family’s immediate economic needs, as well as to create a future for our children.

By organizing around the once-successful extremely forms of handcraft business,
we are able to draw upon our traditional resources, at the same time we modernize.

In 2001 Artcamp was an important source of income for more than fifteen families;

though the average earnings have been very modest, this income has been critical for us..

GRANT OR LOAN REQUEST INFORMATION

1. Assistance is sought to underwrite the establishment of our Cooperative’s
Direct Distribution capability i.e. Artcamp’s ability to sell directly to the Retailers.
The total amount of funding sought is $30,000usd; we are seeking various
loans or donations in order to complete the full amount of the budget,
the overall project may be broken down into seperately funded component projects.

2. HOW THE GRANT OR LOAN IS TO BE USED
a. To install shipping/fullfillment facility at our shop in Taxco
b. To hold finished and partly-finished inventory in stock for immediate shipment
c. To generate a data base to integrate sales, production, inventory, order fulfillment.
d. To execute a sophisticated, modern marketing campaign

WHAT THE FINISHED PROJECT LOOKS LIKE

An Internet based catalog and a system of product offers;
with Traditional Distributor shipping/fulfillment capability.

Four types of customer
a. Distributor b. Retailer c. Individual d. Fundraiser

Marketing Avenues
a. Publicity b. Search Engines c. Product Reps d. Trade Shows

Marketing Measures
a. E-mail b. Newsletter c. Outbound Telephone d. Fashion Mag Advertising

Product Catalog
a. Digital on Artcamp website b. CDROM digital 3. Offset print 4. Print Brochure

Orders Arrive
a. E-mail b. FAX c.Telephone d. Walk-in

Order Processing
a. Check Inventory b. Production Order c. Casting Order d. Special Orders

Stock Room
a. Shelves b. Parts Bins c. Labeling d. Inventory

Shipping Room
a. Tables b. Boxes c. Packing Material d. USPS Envelopes e. DHL Airway Bills

Fulfillment
a. Purchase Order b. Inventory Report c. Production Report d. Projected Shipping Report

Computer
a. Data Base of cash flow, inventory, parts, materials, tools, per/hour labor data etc.

Personnel
a. Data Base Development b. Data Entry c. Stock Manager d. Stock Assistant


HOW WILL THIS STRENGTHEN OUR ORGANIZATION

We are manufacturers of inexpensive quality handcrafted jewelry;
we design and develop new styles, make original models and molds,
match colors and administrate the cottage craft industry in our village.

Importer/Distributors typically double or triple Artcamp’s prices
when they sell to their customers, who are usually smaller retailers..

Taxco Direct Distribution facility would be an enormous boon to our group
because we could retain income in the form of profit, using it to grow stronger.

We would reinvest profits gained by an achieved Direct Distribution capability
in improving our infrastructural production base with materials and with tools.

Capability to deliver products directly to the retailer or an individual customer
will allow our cooperative to realize gains that we can invest in ourselves,
and/or our design/development capabilities,.and in our production infrastructure

We would also improve ourselves by addressing the problem of subsistance
that distracts us from contentedly working and creating and producing efficiently.

TAXCO DIRECT DISTRIBUTION CAPABILITY.

We have been laboring hard for a long time at a difficult
business handcraft production in a Third World country.

Artcamp hopes to acquire a Direct Distribution capability
so that we might benefit much more from our work efforts.

Artcamp will greatly increase the profit margin on each piece we make
by now selling direct to the retailers, to individuals, and/or to fundraisers.

Not only Artcamp makes more, but also the customer would be provided
a lower Price than if s/he had purchased through a middleman Distributor

This means that Artcamp can offer an advantageous price for the buyer
at the same time that Artcamp retains increased profit margin for itself.

STRUCTURE

1. Artcamp is a Sociedad Cooperativa de Responsabilidad Limitada,
a legal form of non-profit worker-owned producer cooperative.

The official representative of Artcamp is Angelic Dominguez Diaz,
The formal members of the legal/fiscal entity Artcamp SC de RL
are Hilaria Lopez Castaneda, Elizabet Bustos Bustos,
Francisco Hernandez Sanchez, and Gloria Perez Arias
who represent to committment of the community at large
to work together to rebuild our local cottage craft industry.

Artcamp Sc de RL takes primary responsibility for servicing
the marketing interface Artcamp also makes the original model
and molds, documentation, production coordination and control.

Representatives of the artisan families who derive primary income
from Artcamp’s productive activity are
Araceli Serrano Domínguez, Celestino Román Fitz,
Juan Carlos Vega, Margarita Jerónimo Demetrio, Martha Serrano Garcia,
Miguel Ángel Jerónimo, Ricardo Medina Villa, Ofelia Carteño Galdino etc.

Another key element in support of the Artcamp project
is Erasto Hernandez, computer technician and webmaster
who fixes our old equipment when it produces errors
and provides computer training for the rural women.

2. The formal legal/fiscal entity Artcamp Sc de RL is autonomous
and constitutes the legal figure in which we represent ourselves
as artisans and as women, who are trying to improve ourselves
by devoting our intelligence and energies to handcrafts enterprise.

Artesanas Campesinas” is the name of our informal association -
the regular assemblies where the artisans, the marketers, the adminstrators
evoke the bigger picture and discuss the ways we could be more productive.

These public gatherings also provide an opportunity for constructive criticism
and opportunities for suggestions as to how we can make the project successful.

The general meetings do also inspire us to remember that, even though
we are materially poor, every one of us with serious economic problems,
that if we work together, one day we will eventually get out of this crisis.

Not only at the general assembly, but also as an ongoing practice, artisans
communicate with production administators in order to suggest ways in which
the functioning of the enterprise might be improved to everyone’s advantage.

Likewise, production administrators call upon the craftspeople to learn
how to make the pieces in production in the most efficient way possible.

3. Artcamp is predominantly a womans’ organization, it always has been
a project of the women who have the leading roles in its implementation.

In the past ten or twelve years at least half of the men of our villages
have migrated to the United States seeking work there as wetback laborers.

Some of them regularly send money back to their families, but some others
have gotten new wives and families where they are, and so there are many
many women throughout the villages and the ranchos who are required to
provide for the most basic nutritional needs of their children and themselves.

Artcamp is a womens’ project born and bred in this historic crisis of Mexico.
now is the time when - because circumstances have forced us – we must take
responsibility without waiting for anyone and do something now, ourselves
about our families’ economic condition and our destinies as Mexican women.

ACTIVITIES/PROGRAMS

1. PAST ACTIVITIES

1. HANDCRAFT JEWELRY PRODUCTION

Artcamp is a producer cooperative and coordinator of local cottage industry;
we are the original designers and we make the original models and the molds.

We provide a centralizing function that integrates the overall production process
in order to guarantee quality, rapidity, reliability and accuracy to our customers.

2. HOSPITAL PROJECT

http://artcamp.com.mx/taxco/hospital/hospital.php

Six days a week, we work at handcraft jewelry production in order to provide
for the basic minimum requirements for ourselves, and for our loved ones.

Although we are poor, in 2001, we found the resources to organize the donation
of modern opfthalmic surgery center worth $15,000usd to our local public Hospital.

Artcamp contacted DHL International and convinced DHL to donate its delivery
from RH Burton Company in Columbus Ohio to Adolfo Prieto Hospital in Taxco

Artcamp’s public-service effort was acknowledged by the Guerrero State Secretary
of Health at a public ceremony at Taxco’s Adolfo Prieto Hospital in May 2002.

Now the local health establishment knows of us and so when one of the children
is stung by a scorpion or breaks a bone, the nurses give us more personal attention.

4. LANGUAGE LEARNING AND INDIGENOUS LITERATURE PROJECTS

Several of our members know the English language to varying degrees of fluency;
Tamara went to school in Florida where here parents from Tlamacazapa labored.

We have experimented with and practiced various language learning methods
using translations of Leonardo d’Vinci notebooks original Italian and English
into our native Spanish and we developed a way to use the Typing Tutor program
to train ourselves to spell the words correctly and to acquire meaningful vocabulary
by programming in English language passages we study and beforehand.memorize.

We even have some literary projects that go back over more than 20 years,
these are stories we wrote that were then translated into the English language.

For homework exercises, the students translate the stories back into Spanish;
Some of our stories have been translated back and forth to English several times

The Artesanas Campesinas project can be traced to the Nineteen-Seventies
when the artisans of Tecalpulco, known for elaborate tin masks and mirrors,
created the abalone inlay alpaca jewelry with its beautiful shell mosaics.

The abalone jewelry was enormously successful, sold in stores around the world
and provided the source of employment for hundreds of village craftspeople.

But good things come to an end and everything became much more difficult
for the Mexican craftswoman in the Ninteen-Nineties, the Artcamp initiative
has as its goal the continuation of our tradition, yet the refreshed expression
of a new fashion jewelry production for the markets of the times we live in.

5. WATER PROJECT http://artcamp.com.mx/TEC/toc_water.html

In collaboration with the village water commission, Artcamp has been working
to help identify effective ways to address the need for clean water in Tecalpulco.

By providing formal project planning and contacting resources via the internet,
Artcamp has been able to identify valuable resources to address the critical need.

6. SUMMARY

The most notable accomplishment of Artcamp to date is that it has survived;
that Artcamp still exists as an initiative, in spite of unending economic duress.

1. PRESENT ACTIVITIES http://artcamp.com.mx/taxco/hospital/hospital.php

The primary and primordial activity of Artcamp is handcraft jewelry production.

What we do is to organize the production of thousands of pieces every week.
Often, we only make 5 or 25 uscents$ on every piece, so we must be efficient.

We have survived and have established ourselves
as a unique design-development original-modelmaking resource
and we are managers of our village cottage industry production
for the fashion markets of the Twenty-first Century.

Design
Original line art customer approval version
Original line art final version
Scanning and Digital Camera
Adobe Photoshop and MS Powerpoint
HP855C Color Printing
Original Model constructed cut-out patterns with jewelers ' saw.
Wirework
Soldered overlays
Waxcarving for .925 Silver lost-wax method.
Casting
Room Temperature Vulcanize Silicon Moldmaking
EpoxiClay sculpture for RTV Silicon or Black Rubber Molding Reproduction
Original Model Cast
Original Production Models Clean up
Original Production Models with Files and Dremel Tool etc.
Production Mold Vulcanize Cut Channels, Gates, and Vents
Test Cast Centrifugal Rubber Mold Casting in Production
Electric Melting Pot
Rhode Island CRMC Technology
Color-Making
Understanding of the Color Wheel
Manage Pigments Disbursed in Crystal Resin
Match to Pantone Number
Cottage Industry Management
Organization of the labor-intensive production in the village home workshops
Break-up big orders into parts
Distribute the castings to the artisans for inlay, sand-down, polish, and buff.
Receive finished pieces from village production
Match it all up to the customer's original order.
Establish artisan per-piece rate of pay.
Make Quality Control determination of standard or original.
Close review of all finished merchandise
Ongoing technical training of the artisans
Production Documentation series of Excel spreadsheets marks the flow of production generation of reports & reveal patterns of production activity
Accounting legal and fiscal requirements
Cost-based pricing tables
Export requirements; NAFTA and GAAT documentation
DHL and UPS International shipping.
US Bank account to facilitate payments.

2. OUR LONGER TERM HOPES AND PLANS

We hope to make Artcamp a big success, like Tecalpulco was once before;
- the last time Tecalpulco had success, hundreds of people were employed.

We intend to integrate our business with a data base application we will develop
ourselves to serve the needs of a modern fashion Production-Distribution enterprise

We would like to be able to purchase the property where we are renting; we would
like to be able to renovate our casting equipment; we’d like to install gold plating.

We hope to establish full time Design Development center to stay with fashion
to make sure that we have the skill and quickness to respond to the new trends.

Our ability to make original models and molds is the core of the value we hold;
our profits on production will be enough to finance a well-equipped workshop.

We think we are good enough to be fashion generators and we want to be models
of success for other Mexican women, that is really what we really want above all.

Our hope is to make available to women in our country, the tools of our success
and an example of how women can be succesful; not only wait around for others.

3. OTHER ORGANIZATIONS

Fair Trade Organizatie of Holland is a recent customer of Artcamp; this is the oldest
of all the Fair Trade Organizations worldwide, founded in the Nineteen/Forties.

The FTO subsidiary, Fair Trade Assistance has vetted Artcamp and provided for an intensive financial accounting conducted by outside accountants in Feb/March 2002

Fair Trade Oganizatie POB 115 4100AC Culemborg The Netherlands. 0345 454151 telefono

FINANCIAL INFORMATION

1. 2001 Profit and Loss Statement audited by Fair Trade Organizatie of Holland

REFERENCES

Artcamp is a member of the Fair Trade Federation

1612 K Street Suite 600
Washington DC 20006
2002 872 5329 telephone

Artcamp is a member of the Crafts Center
1001 Connecticut Avenue Suite 525
Washington DC 20036-5528
202 728 9603 202 296 2452 FAX

Global Marketplace, Gary Bond, President
globalmarketmplace.com

The Artcamp rural womens artisans cooperative in Mexico has been Awarded the Prize for Women's Creativity in Rural Life from the Women's World Summit Foundation in Geneva Switzerland

The Women's World Summit Foundation
( WWSF) has announced the 2002 winners
of the Prize for
Women's Creativity in Rural Life.

The rural womens artisans cooperative, ArtCamp, of Tecalpulco, Taxco, Mexico, nominated by Global Marketplace (a Rocklin, California, nonprofit marketer of handmade crafts from developing nations) is one of the groups chosen to receive the prestigious award.
ArtCamp was honored for its creative use of modern digital technology and for its social projects with Tecalpulco’s fresh water commission and on behalf of the Taxco public hospital.

http://artcamp.com.mx/pages/award_rural_women_day.html

Artcamp chosen as one of 10 Finalist from among 140 applicants to Digital Partner’s SEL Program

Beginning this month, teams of graduate student, experts from business, development, and the ICT industry, along with Social Entrepreneurs from around the world began working together at sites across the US and Europe as part of Digital Partners' Social Enterprise Laboratory (SEL).

Focused on mobilizing the enormous potential of ICT to stimulate markets in service to the poor, SEL identifies and supports Social Entrepreneurs and innovative NGO's using ICT to empower the poor and the underserved communities in which they live.

In this year's cycle, ten projects - located in Brazil, India, Mexico, Nigeria, Sri Lanka, Tanzania, and Uganda (see inset) -, were selected from roughly 140 applications drawn from around the world. To find out more about Digital Partners, SEL, participating projects, or to lend your financial support, please visit our website at www.digitalpartners.org.

PEOPLink is a non-profit organization helping talented producers in remote communities all over the world market their products on the Internet. We are building a global network of Trading Partners (TPs) that, in turn, provide services to several community-based artisan producer groups.
11110 Midvale Road, Kensington, MD, 20895, UNITED STATES
Phone: 301-949-6625Fax:301-949-8693

Email:
peoplink@peoplink.org

Artcamp received the grant of $500 in 1998 from Aid to Artisans
To help fund the preliminary efforts to develop an Artcamp website.

Artcamp received the donation of $1500 from Aid to Artisans in 2000
for purpose of installing a multi-station oxi-butane soldering capability.

Aid to Artisans
14 Brick Walk Lane
Farmington CT 06032 USA
Tom Aageson
860 677 1649

The Artcamp 2001 Financial Statement
was audited in Feb/Mar 2002
by Fair Trade Organizatie of Holland.

Artesans earned avg. $37,022.84usd in 2001
This is twelve familes, average $3000/year.

Taxco Workshop Staff earned $47, 459.13.
There are twelve of us = average $4000/year

We have NO insurance, NO holidays other than Christmas, New Years and 3 days Semana Santa
NO vacations, NO pension or savings plan.


average family income of our group in 2001 in usd$
artesans (year) $ 3,000.00
staff (year) $ 4,000.00

artesans (month) $ 250.00
staff (month) $ 333.33

artesans (day) $ 8.22
staff (day) $ 10.96

COSTS OF COMMON PRODUCTS IN TAXCO MEXICO JUNE 2002
pesos usd$

Product
Pesos
usd
Unit
Vicks cough syrup
$ 55.00
$ 5.79
55 ml.
Child's Tempra 80mg.
$ 39.75
$ 4.18
30 tablets
Print Cartridge HP855Cse Printer
$ 385.00
$ 40.53
Two Lithium Battreries for Digital Camera
$ 120.00
$ 12.63
Public Transportation Tecalpulco Taxco
$ 11.00
$ 1.16
Small Mayonaise
$ 18.50
$ 1.95
390 gr.
Small Catsup
$ 14.00
$ 1.47
397 gr.
Apples 1 Kilo
$ 30.00
$ 3.16
1 kilo
Grapes 1 Kilo
$ 40.00
$ 4.21
1 kilo
Office Stapler
$ 148.00
$ 15.58
3-Ring Notebook
$ 45.00
$ 4.74
Household Gas
$ 110.00
$ 11.58
16 kilos
Electricity
$ 1.30
$ 0.14
kw/hour
Green Tomato
$ 10.00
$ 1.05
1 kilo
Potable Water
$ 11.00
$ 1.16
5 gallons
Milk
$ 8.00
$ 0.79
1 litre
Raisin Bran Cereal
$ 29.00
$ 3.05
small box
Sliced Ham
$ 45.00
$ 4.74
1 kilo
Tortilla Dough
$ 7.00
$ 0.74
1 kilo
Beans
$ 11.00
$ 1.05
1 kilo
Child's Shoes
$ 300.00
$ 31.58
1 pair
Birthday Cake
$ 40.00
$ 4.21
1 kilo