In a recent article, the Christian Science Monitor reports that Central American farmers are turning away from organic coffee. Why? Turns out the market isn’t as strong as it once was:
Some 450,000 pounds of organic coffee sit in a warehouse here, stacked neatly in 132-lb. bags. It’s some of the world’s best coffee, but Gerardo De Leon can’t sell it.
“This is very high quality and it’s organic. But … the roasters don’t want to pay extra these days,” says the manager of FEDECOCAGUA, Guatemala’s largest growers’ cooperative, which represents 20,000 farmers.
Mr. de Leon is asking $2 per pound for the green (unroasted) coffee, about 50 cents more than the going price. But he says he’ll soon have to sell it as conventionally grown coffee, which sells for less.
The article goes on to say that as many as 10% of Central American organic coffee growers have abandoned ship in favor of conventional farming, that pesticide farming is on the rise in this region, and that companies like Starbuck’s aren’t selling as much organic coffee because growers aren’t growing as much of it. From Starbuck’s via CSM:
“Our purchases of certified organic coffee are limited due to the limited quantities available worldwide and the constraints of the organic certification system for farmers,” the company said in a statement issued in response to questions.
Wait, wait, wait. Mr. de Leon said that he can’t sell his organic coffee because roasters like Starbuck’s aren’t buying it. Meanwhile, Starbuck’s is saying their purchases of organic coffee are limited by the amount that farmers grow. So which is it, Christian Science Monitor? Are farmers screwing the organic market, or are roasters screwing farmers?
Maybe if the article had reported which “roasters” are leaving Mr. De Leon and his coffee at the alter, the reporter could have asked them why they aren’t buying organic (or maybe the reporter did and the above statement is what he got in return…).
In any event, this pressure on the grower to go cheap or get out is exactly why long-term, Fair Trade contracts are necessary. Though environmental and farmer-health concerns are Fair Trade concerns in my book, “organic” won’t create an alternative food system where coffee is concerned. Wal-Mart or McDonalds will only sell organic as long as there’s a giant market for it, and they will leave small farmers fretting on the sales room floor when the market seems to collapse (like now).
For that matter, “buying local” doesn’t necessarily create a better system for small coffee farmers either. You can feel good supporting your local roaster and their local employees, if that’s your priority, but if that roaster isn’t honoring long-term contracts and just abandoning coffee farmers when the going gets tough, your dollars are watering a wicked status quo.
Buying from coffee co-ops or NGOs dedicated to helping small coffee farmers is the best way to make sure no one is getting left at the alter.
I humbly suggest another solid alternative to ensure no one is “left at the alter” is to seek out roasters who’ve established direct relationships with coffee producers.
Quality-focused roasters seek out like-minded producers, work with them to produce excellent coffee, and reward them with quality-based incentives, financing, and long-term contracts… regardless of certification.
Roasters such as: Intelligentsia, Stumptown, Counter Culture, Terroir, MadCap, Alterra, PTs, and many more. Even Dunn Bros has a direct relationship w/ a co-op in Kenya.
True, finding these roasters (and the cafes that sell their coffee) takes more effort than looking for a Fair Trade label but I’ve found the search to be quite rewarding.
Shawn-Public Coffee House
article is pretty clear in that it says there are two pressures. On one side, the weak economy is pushing roasters to seek out cheaper alternatives. I think it said that the guy in Guatemala was trying to sell for $2/pound. Starbucks doesn’t pay $2/pound.I think they have said they pay closer to $1.50 to $1.70 per pound. So, if they can find that elsewhere for that price, they buy it.
On the other side, those farmers whose costs are $2/pound are abandoning because they can’t get a buyer for THAT price. So they stop growing it.
I think the above poster has a good solution in seeking out quality roasters with good relationships to their growers. Unfortunately, there aren’t enough of us.