Project Description:

The Alliance for Community Tourism (the Alliance) is a

public - private consortium formed by leading organizations
in tourism and development. Its main objectives include:
(a) support and create new community tourism businesses,
as well as micro, small and medium enterprises in rural
areas of Guatemala
(b) improve access to marketing, product design, and
financial services for micro, small and medium tourism
enterprises
(c) enhance the capabilities of local communities for co—
managing and preserving cultural heritage through tourism
(d) support local communities in the preservation of
biological diversity in regions associated to the Project sites.

The Alliance will coordinate closely its activities with the

Government of Guatemala through INGUAT, CONAP,
IDAEH, and PRONACOM. Activities focused on micro,
small, and medium tourism and handicrafts enterprises will
be carried out in: Peten, Izabal, the Verapaces, Pacific
Coast, Central Highlands, and Western Highlands with
special emphasis on those areas affected by tropical storm
Stan.

By the end of the fourth year of the project (2009) the following results are expected:
(a) approximately $ 7 million in new incomes through tourism and handicrafts in areas benefited by the Project
(b) 5,000 new jobs
(c) 5% of international tourists and 250,000 national tourists visit the Project’s sites
(d) 220 new businesses created through improvements in access to credit
(e) 60 strengthened tourism organizations
(f) $16 million in credits available for tourism and handicrafts micro, small and medium enterprises.
 Strengthening of Local, Regional, and National Tourism
Organizations:
This component, focused on strengthening the capabilities of organizations for tourism business
management, is carried out with support form INTECAP, INGUAT, FUNDESA, Asociacion Balam,
SANK, Fundacion Solar, Asociacion Ak’ Tenamit, and ACOFOP. Our partners for this component
include community organizations, tourism micro, small and medium enterprises, regional tourism
networks (such as CAT’s and CET’s), regional, and national tourism organizations. In close
cooperation with all partners, an assessment of strengthening needs was conducted at the national
level; this assessment served as a basis for the activities planned for fiscal year 2007.

Between May and September 2006 the Alliance for Community Tourism has strengthened one
national organization and 20 local and regional tourism organizations in the Verapaces, Peten, and
Solola, in topics such as management, organization, planning, and delivery of quality tourism
services. The Alliance supported the official establishment of the Tourism Commission for the
Community Forestry Concessions in Peten, formed by communities who manage Integrated
Resource Management Concessions in the Maya Biosphere Reserve. The Alliance was also directly
involved in the creation of the first Tourism Self-Management Committee (CAT) at a Department level
in Peten, which is formed by CATs from all municipalities. This model is being promoted by INGUAT
in other regions of the country. On the other hand, the Alliance has supported planning activities for
FENATUCGUA (Guatemala’s Community Tourism Federation). As part of the work with
FENATUCGUA the Tourism Association of Chisec, Alta Verapaz (AGRETUCHI) received and
completed an $80,000 regional project of
tourism infrastructure and equipment
financed by INGUAT, and also received the
approval of a $20,000 protection and tourism
infrastructure development project for
Cancuen.
Planning of the Sustainable Tourism School
for Communities of Peten has begun in
coordination with Ak’ Tenamit Association
(Izabal), Balam Association (Peten), and
ACOFOP (Peten). This project will attempt to
replicate the successful educational model
developed by Ak’ Tenamit in Izabal. The
Government of Guatemala will provide
support to this initiative through INGUAT and
the Ministry of Education.

Signing of letter of support for the Project by

representatives of USAID, INGUAT, and Counterpart.
Access to Credit and Financial Services:
Tourism and handicrafts sectors have traditionally lacked specific financing programs. Additionally,
the organizations and micro enterprises involved in these activities hardly qualify for credits and
financial services from traditional banking services. With support from Banco de la Republica, the
Dacredito Program, and the Association for Sustainable Tourism Development (AST) a special
program has been created aimed at the handicrafts and tourism sectors. Five credit access
information workshops have been conducted in Izabal, Peten, and the Highlands as a part of an
integral strategy aimed at providing access to credit and financial services for tourism and handicrafts
micro, small and medium enterprises. These workshops have also featured presentations on the
Technical Assistance Program executed by FUNDESA through Centers for Tourism Business (CETs)
and the Green Deal Sustainable Tourism Certification Program by Alianza Verde and the Rainforest
Alliance.
As of October 2006, 107 credits, worth $466,998.35 had been awarded for the tourism and
handicrafts sectors. Through these credits 73 new businesses and 360 new job positions have been
created. It is estimated that these credits will generate an income worth $7,668,421.80. Dacredito
and AST currently provide technical assistance for beneficiaries on the management of their credits.

Ixoqi´ weaver association from Chimaltenango recieved a credit from

Dacredito Program – Banco de la República.
 Certification:
Information workshop on access to credit, certification,
and technical assistance in Puerto Barrios, Izabal.
In coordination with Alianza Verde,
Rainforest Alliance, and FUNDESA,
Counterpart has started the adaptation
of the “Guía de Mejores Prácticas en
Turismo Sostenible” (Best Practice
Guide for Sustainable Tourism) for its
use with rural communities in
Guatemala. This adaptation will serve as
a basis for the design of training and
technical assistance programs aimed at
communities for the implementation of
best practices in order to advance
towards the process of tourism
certification with the Green Deal seal.
On the other hand, it is expected that
with support from the Alliance thirty
micro, small, and medium enterprises
will receive tourism certifications on year
2007.

Marketing and Promotion:

With support from INGUAT, tourism products and services offered by host communities and
CATs have been incorporated into the national internal tourism campaign and into promotional
events in El Salvador. Community tourism destinations will be promoted by the responsible
tourism network Echo Way in Europe. Additionally, the planning of a “Geotourism” campaign for
Guatemala, and the
promotion of communities
and businesses close to
Heritage of Humanity sites
have been started with
support from National
Geographic Society,
UNESCO, and Expedia.
Community tourism promotional Brochure produced in
coordination with AGEXPORT.
 Marketing and Development of Handicraft Products:
With support from AGEXPORT’s Handicraft Commission, the Alliance performed an
assessment of handicraft production groups in areas affected by tropical storm Stan. Five groups
have been selected, and with assistance from international designers and from Landivar
University five handicraft collections are being
developed. These collections will be marketed
at national, regional, and international levels
through stores like Cemaco, Siman, and Wal-
Mart C.A., and through the stores that will be
implemented by the Commission with support
from the Alliance at Puerto Quetzal, the
Handicraft Market in Guatemala City, and the
New York Gift Show 2007. Sales from these
actions are expected to reach $500,000. Also
in this component, a seminar on Trends of
Design, Color, and Fashion for 2007 and their
Relationships with the Handicrafts Sector was
organized in coordination with UNESCO and
AGEXPORT.
Weavers from San Juan La Laguna

Actividades de Recuperación en Áreas Afectadas por Stan:

With support from Fundacion Solar an assessment
and action plan for the economic revitalization of the
Southern Basin of Lake Atitlan has been carried out.
In this area, one of the most affected by tropical storm
Stan, four priority groups have been identified in San
Juan la Laguna, San Marcos la Laguna and San
Pablo. These groups will be supported for their
economic revitalization based on tourism and
handicrafts activities. Additionally, with support from
other members of the Alliance, micro, small, and
medium enterprises will be strengthened and
included in the Marketing and Promotion component
The southern basin of Lake Atitlán, one of the
of the Project.
most affected areas by tropical storm Stan.
Main results achieved between may and september 2006:
• $65,000 of income have been generated by the community tourism initiatives
• 360 jobs have been created, including 299 jobs for indigenous women
• 5,100 national tourists and 3,050 international tourists have visited the sites
included in the Project
• 107 credits worth $466,998.35 have been awarded for tourism and handicrafts
activities in Izabal and the highlands with support from the Dacredito program and
Banco de la Republica. These credits have allowed the creation of 73 new
businesses and it is estimated they will generate $7,668,421.80 in income.
• 25 tourism and handicrafts organizations have been strengthened in topics such as
administration, organization, planning, handicrafts design, and delivery of tourism
services

Project partners:
Oficial presentation of USAID’s Economic Growth Program
The public presentation of USAID’s Economic
Growth Program, which will provide $20
million and will carry on to 2009, took place on
November 2, 2006. The program is based on
the principle that Guatemala has both the
potential and the capacity to foster high
economic growth, producing wide benefits
through enterprises, trade, commerce and
sustainable management of natural resources
and cultural heritage.
This new program supports the State’s
Competitiveness Agenda, which started 10
years ago and was reactivated last year by the
actual National Competitiveness Program
PRONACOM. The main work areas are
sustainable tourism, agroindustry, trade, and
natural resources. The main beneficiary groups are small and medium enterprises from rural areas,
especially those with potential to generate economic growth. This focus aims at enlarging the basis for
economic growth in all levels of society, in order to ensure that benefits from CAFTA and other trade
policies are distributed evenly.

The three main components of the Program and the executing partners for the established period are:
1) LAWS, POLICIES, AND REGULATIONS SUPPORTING TRADE AND INVESTMENT
- Implemented with Abt & Associates and the Inter-American Institute for Agriculture-IICA
2) COMPETITIVE MARKET ORIENTED ENTERPRISES
- Implemented with Counterpart International, National Coffee Association –ANACAFE-,
AGEXPORT, Agil Foundation, Rainforest Alliance, and TechnoServe
3) ACCESS TO FINANCIAL SERVICES
- Implemented with BANRURAL

USAID and its implementing partners work in close coordination with PRONACOM, Ministry of
Economy, Secretary of Planning (SEGEPLAN), and the Ministry of Agriculture (MAGA) in order to
prioritize policies and to coordinate and monitor the execution of the Program. Other counterparts
cooperating with USAID and its implementing partners include: INGUAT, INAB, CONAP, MICUDE,
MARN, MEM, and SAT.

This publication was made possible through support provided by the office of Enterprise
Trade and Environment, Economic Growth Program, U.S. Agency for International
Development, under the terms of Cooperative Agreement #520-A-00-06-00092-00. The
opinions expressed herein are those of the author(s) and do not necessarily reflect the
views of the U.S. Agency for International Development.