43 Factory often truthfully tell you about coffee plants growing at an ideal height. They enjoy natural air and happily live at highlands. We truly love that image and cherish the merits of the farmers who have devoted themselves to taking care of every white coffee flower until they become coffee beans. It is also the true image that many of us used to admire and talk about.
But there is one fact: coffee trees are growing in people's grip and climate change.
The price for coffee beans has never been as cheap as it is now. The price of coffee may become more expensive in the future. $ 7 is the price for a cup of coffee in the near future. This is caused by a decline in coffee production.
Coffee trees grow in a box!
Coffee trees grow in a box!
There is an inequity in the coffee industry when coffee is grown in poor, developing countries and consumed in rich countries. Brazil, Colombia and Indonesia are the world's largest coffee farms. Meanwhile, the US, Germany, France, and Italy are places where most coffee is consumed. The industry consumes 10 million tons of coffee every year. Four more buyers of big coffee are Nestle, Kraft Heinz, The J.M. Smucker Company and Starbucks.
Household farms mainly produce small and medium scale. Wherever the people are, Ethiopia, Nicaragua or Vietnam, the price of coffee is determined by the market and future contracts. Traders often decide the price for future coffee beans that are promised on contracts. The price is low and often does have little change. Therefore, farmers are always passive in the deal.
The system works to lock the coffee price, maintain a cheap supply of coffee for the global market, not for the quality of coffee and farmers' lives. Small farmers and traders are not able to set their own prices or access to roasters who are willing to pay higher prices for higher-grade coffee.
Another wall that hinders the development of coffee is climate change. According to World Coffee Research's forecast, demand for coffee will double by 2050, driven by Americans and the Chinese market: where Luckin coffee chain is becoming a competitor of Starbucks in this country. billion people. Coffee plants are extremely sensitive to climatic shifts and irregularities. The amount of land for agriculture is gradually narrowed. Coffee trees are directly affected by the unstable weather conditions. Unseasonal rainfall and drought will be the ideal conditions for outbreaks.
The temperature of the Earth rises, which means that temperatures in the hills and mountains are rising. Farmers are forced to move their farms to areas that are suitable for coffee. However, there is a problem that the higher area is usually also national park areas. If forests are used for agriculture, it will also bring immeasurable consequences.
Household farms in Honduras and Nicaragua now face changing weather patterns. Rain and sun are not as consistent as they have been, making coffee beans unbearable. Thus, coffee quality is affected.
On the other hand, researchers do not spend much work for research and development of coffee varieties. Plants like corn, wheat, and soybeans are grown in rich countries, while coffee is grown in poor countries, which are considered "orphan" crop. In 2017, there were 3600 watermelon varieties developed, but only 50 types of coffee. That contrast is an explanation without word.
In 2017, there were 3600 watermelon varieties developed, but only 50 types of coffee
The farmers earn livelihood on coffee beans. The beans depend on low price contracts.
Although many coffee corporations try to develop the brand by owning a coffee farm and preferential treatment for farmers. That is not the nature of the coffee industry. Nespersso tops up the coffee price by 30-40% compared to the market rate for 100,000 farmers in 13 countries. Starbucks also owns a coffee farm in Costa Rica. The amount of coffee here provides directly to some Starbucks stores. FairTrade offers the highest prices for coffee and the best conditions for farmers. They represent 810,000 farmers in 30 countries that are supplying coffee to the world.
Thus, coffee consumers - multinational companies can afford a higher price than the market. However, it comes with certain conditions: a media image for the premium coffee industry. Most coffee farmers still have difficulty in covering their life and farming conditions.
Coffee prices are always fixed. But the weather conditions and the surrounding prices vary in a negative way.
So! Can farmers live only with love of coffee beans and flowers?