Episode 8: It’s eight o’clock in the morning… do you know where your coffee comes from?
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Coffee is broken! This is a concept I have discovered in my quest to understand how coffee is produced and finally ends up in our cup or in our favorite café. The full chain of custody of coffee is not well known, and consumers are often insulated from the raw truth of the brokenness in coffee.
Coffee is grown roughly (there are exceptions) 200 miles north and 200 miles south of the equator around the globe on mountainous, volcanic soils. The area between the Tropic of Capricorn and the Tropic of Cancer is home to coffee. Many of the countries in this geographical area are still developing and have historically been controlled by colonial powers, dictators, and political upheaval. Many have experienced natural disasters such as hurricanes, earthquakes, and monsoon-style weather.
Coffee was introduced to many of these countries during the colonial and expansion periods of Spain, Portugal, England, and others. While not always making slaves directly of the indigenous peoples, they were forced to work in the production of coffee entirely as an export cash crop. Coffee has no nutritional value, so there was little local consumption of what they grew. It was grown—and still is—strictly for export. Vast growing regions that could grow corn, beans, and other food the locals could actually eat were turned into large coffee estates for the extraction of this commodity known as coffee.
Coffee only grows in these specific geographical areas, and yet Europe, Asia, and North America are demanding more and more coffee. You would think this would translate to better and better profits for the producers. Not so. The entire system is set up in a way that the farmer is told what the price is, and he or she has no choice but to sell at that price. Additionally, the farmer bears all the risks. There is no planting insurance or insurance for lack of rain, as our Ohio farmers can purchase each year. There is no safety net for the coffee-producing farmer—just grow it and take what they offer. The New York Board of Trade (NYBOT) dictates the trading price paid to farmers, tied to supply and demand and futures that are speculative in nature.
The Fair Trade movement has been no help to the coffee farmer. Fair Trade is paying 35 to 50 cents per pound more than the established commodity price, and yet most farmers need much more just to cover costs, before even thinking about profit. Only 10% of any one farm’s annual production can be sold for Fair Trade—so what do they do with the other 90%? It is a system designed for us, who do not grow coffee, to feel like we have done something significant, and yet it falls grossly short. It is like Santa Claus and the saying at Christmastime: “Just believe.” I have talked to hundreds of farmers in the Fair Trade and other certification systems, and they all say the same thing: “What’s fair about this?” I, for one, do not believe.
Coffee is broken and is part of a broken system. It has fostered widespread poverty and indebtedness among the picker and farmer class. I long for the day when the buyers are in the producing country and shopping for coffee based on prices the farmer is asking. Just as you or I go into a store and buy a product based on its features, quality, and set price, we then make a decision. This is how specialty coffee should be traded and moved worldwide.
I have spent the last 24 years developing deep relationships with coffee farmers in these producing countries. These are relationships based on trust and looking out for the welfare of each other. I need them, and they need me. Without their attention to detail, there is no specialty coffee. Without a buyer willing to pay what it takes to sustain this farm and allow it to profit and grow, they have no business. We need each other. This is my ethos and culture that I have developed with the farmers and importers I work with.
This is why we appreciate so much when consumers think about where they are going to buy coffee from—based on the chain of custody and purchasing values of the coffee. Was it exploited on its way to this café? Who imported it? What values for pricing were used? If based on the NYBOT and commodity price, run away. If the barista serving you does not know, run away. It is really life or death to many growers. Coffee is broken… but it can be healed. You and your choices are the healer.
There are many coffee shops and cafés you can buy coffee from and support. Start asking questions and visit us at Hemisphere Coffee Roasters or any of the cafés and shops we sell through. https://www.hemispherecoffeeroasters.com/pages/store-locator-1
Coffee is grown roughly (there are exceptions) 200 miles north and 200 miles south of the equator around the globe on mountainous, volcanic soils. The area between the Tropic of Capricorn and the Tropic of Cancer is home to coffee. Many of the countries in this geographical area are still developing and have historically been controlled by colonial powers, dictators, and political upheaval. Many have experienced natural disasters such as hurricanes, earthquakes, and monsoon-style weather.
Coffee was introduced to many of these countries during the colonial and expansion periods of Spain, Portugal, England, and others. While not always making slaves directly of the indigenous peoples, they were forced to work in the production of coffee entirely as an export cash crop. Coffee has no nutritional value, so there was little local consumption of what they grew. It was grown—and still is—strictly for export. Vast growing regions that could grow corn, beans, and other food the locals could actually eat were turned into large coffee estates for the extraction of this commodity known as coffee.
Coffee only grows in these specific geographical areas, and yet Europe, Asia, and North America are demanding more and more coffee. You would think this would translate to better and better profits for the producers. Not so. The entire system is set up in a way that the farmer is told what the price is, and he or she has no choice but to sell at that price. Additionally, the farmer bears all the risks. There is no planting insurance or insurance for lack of rain, as our Ohio farmers can purchase each year. There is no safety net for the coffee-producing farmer—just grow it and take what they offer. The New York Board of Trade (NYBOT) dictates the trading price paid to farmers, tied to supply and demand and futures that are speculative in nature.
The Fair Trade movement has been no help to the coffee farmer. Fair Trade is paying 35 to 50 cents per pound more than the established commodity price, and yet most farmers need much more just to cover costs, before even thinking about profit. Only 10% of any one farm’s annual production can be sold for Fair Trade—so what do they do with the other 90%? It is a system designed for us, who do not grow coffee, to feel like we have done something significant, and yet it falls grossly short. It is like Santa Claus and the saying at Christmastime: “Just believe.” I have talked to hundreds of farmers in the Fair Trade and other certification systems, and they all say the same thing: “What’s fair about this?” I, for one, do not believe.
Coffee is broken and is part of a broken system. It has fostered widespread poverty and indebtedness among the picker and farmer class. I long for the day when the buyers are in the producing country and shopping for coffee based on prices the farmer is asking. Just as you or I go into a store and buy a product based on its features, quality, and set price, we then make a decision. This is how specialty coffee should be traded and moved worldwide.
I have spent the last 24 years developing deep relationships with coffee farmers in these producing countries. These are relationships based on trust and looking out for the welfare of each other. I need them, and they need me. Without their attention to detail, there is no specialty coffee. Without a buyer willing to pay what it takes to sustain this farm and allow it to profit and grow, they have no business. We need each other. This is my ethos and culture that I have developed with the farmers and importers I work with.
This is why we appreciate so much when consumers think about where they are going to buy coffee from—based on the chain of custody and purchasing values of the coffee. Was it exploited on its way to this café? Who imported it? What values for pricing were used? If based on the NYBOT and commodity price, run away. If the barista serving you does not know, run away. It is really life or death to many growers. Coffee is broken… but it can be healed. You and your choices are the healer.
There are many coffee shops and cafés you can buy coffee from and support. Start asking questions and visit us at Hemisphere Coffee Roasters or any of the cafés and shops we sell through. https://www.hemispherecoffeeroasters.com/pages/store-locator-1
Let’s heal coffee together!
Since 2002, Paul and Grace Kurtz have been importing and roasting coffee purchased directly from the growers and farmers. This was, and still is, an innovative approach to helping farmers in developing countries find markets and create thriving communities.