Page 1 of 4 1 2 3 ... LastLast
Results 1 to 10 of 33
  1. #1
    BIC
    BIC is offline
    Senior Member
    Join Date
    Jun 2019
    Location
    Antigua, Salcaja, Xela, Guatemala
    Posts
    686

    Is there something we can do to help?

    Coffee C pricing has been all time low and at the same time, emigration from Guatemala coffee farmers has been all time high in last couple of years.

    Basically, there is no money in coffee farming due to such low C price. To compound the problem, in last two years, we haven't been getting much rain which caused the beans to ripe very small. Another huge factors for the farmers and exporters.

    Can paying more money to farmers to help people survive?
    but if the coffee industries aren't in a position to change the perceived negative problems of emigration or disappearing coffee lands & farmers, in near future, what will happen to the coffee price and many coffee origin countries?

    Does anyone has opinion on this matter?


    Is there something we can do to help?-coffee-prices-historical-chart-data-2019-10-07-macrotrends.jpg

  2. #2
    Senior Member
    Join Date
    Aug 2005
    Location
    Central North Carolina
    Posts
    1,471
    My vote is to increase cost a reasonable amount and definitely pay farmers more for their effort. Here in the U.S. farming is almost extinct except on a massive scale by corporations that have run the small time guys out for the most part. Of course most of it has to do with soybean and corn as corn is used more for methanol production than actual food, which would be much more beneficial. The methanol simply allows fuel production profit while saying the hell with how it affects so many other areas in our daily lives.

    I would say the hell with letting the U.S. control coffee worldwide as most Americans are all about profit and too damn lazy to actually seek change that will be better for us all...
    I'm a legend among my own kind... you my friend are just a legend in your own mind. Later!

  3. #3
    Senior Member
    Join Date
    Aug 2013
    Posts
    809
    Quote Originally Posted by BIC View Post
    Coffee C pricing has been all time low and at the same time, emigration from Guatemala coffee farmers has been all time high in last couple of years.

    Basically, there is no money in coffee farming due to such low C price. To compound the problem, in last two years, we haven't been getting much rain which caused the beans to ripe very small. Another huge factors for the farmers and exporters.

    Can paying more money to farmers to help people survive?
    but if the coffee industries aren't in a position to change the perceived negative problems of emigration or disappearing coffee lands & farmers, in near future, what will happen to the coffee price and many coffee origin countries?

    Does anyone has opinion on this matter?


    Click image for larger version. 

Name:	coffee-prices-historical-chart-data-2019-10-07-macrotrends.jpg 
Views:	16 
Size:	201.9 KB 
ID:	10219
    On KNXT News Radio yesterday, I heard a comment that the price of Robusta coffee has dropped significantly, and that, in the opinion of the author, that would be a boon for coffee drinkers. In the USA we are so used to getting what we want that it never enters our stream of consciousness that there might be thousands of livelihoods circling the toilet in the process of realizing this boon for coffee drinkers. Sending Americans down there would serve as an eye opener, and those going would definitely be returning post haste. If people who are used to poverty can't sustain their meager livelihood, what American is going to put up with THAT??

  4. #4
    Senior Member
    Join Date
    Aug 2005
    Location
    Central North Carolina
    Posts
    1,471
    Quote Originally Posted by WhyCoffee View Post
    I guess "increase cost" is not part of "all about profit"?
    Ironically, ethanol (not methanol) production from corn is not for profit: Attachment 10221
    This is based on the federal government's spending of more than $3 billion a year on subsidies for corn production. In other words, without government subsidies, ethanol from corn is a complete loser!
    Yeah I was typing at 200 wpm and overlooked it being ethanol, but it is indeed mostly about profit. My ex previously worked for an oil company in their accounting dept. when things went in that direction and it was all about crazy profit for them.

    Thing with coffee I'd say increase cost to actually benefit the farmers, not the lame ass middle men that are responsible for short changing the farming effort. I also say the hell with what commercial roasting has become as you have 'artisan' roasters buying green for $2/lb or less, then roasting to sell for $16+ per lb. Of course they will go on and on about COGs, labor, blah blah blah... to me that's where most of the gouging takes place and a main reason I started buying green coffee from a reputable seller that strongly believes in farmers and keeping things profitable on their end.
    Last edited by shadow745; 10-09-2019 at 08:32 AM.
    I'm a legend among my own kind... you my friend are just a legend in your own mind. Later!

  5. #5
    Senior Member
    Join Date
    Aug 2005
    Location
    Central North Carolina
    Posts
    1,471
    Do you realize how much profit is made by using up to 10% ethanol? The oil company my ex worked at was quite happy to go that route as profit soared.
    I'm a legend among my own kind... you my friend are just a legend in your own mind. Later!

  6. #6
    Senior Member
    Join Date
    May 2014
    Location
    Kansas City
    Posts
    1,134
    IMO, until we see the big large commercial guys forced to pay more there is not going to be an improvement. It's a tough issue since most are large buyers who are publicly traded companies and they have pressures to be profitable. One thing that will help is continued education to the mainstream coffee consumer. The average consumer doesn't understand that a $5.99 bag of coffee is what is causing these issues. Short term I think farmers need to continue to grow better coffee - I feel most will find a market in the Specialty world for a lot of that coffee. I know about what my broker makes per lb... so most of my coffees are being bought at 3x C market price - I think that's probably close to average for most in the Specialty grade business.

  7. #7
    BIC
    BIC is offline
    Senior Member
    Join Date
    Jun 2019
    Location
    Antigua, Salcaja, Xela, Guatemala
    Posts
    686
    Quote Originally Posted by shadow745 View Post
    I would say the hell with letting the U.S. control coffee worldwide as most Americans are all about profit and too damn lazy to actually seek change that will be better for us all...
    Yes. I also completely agree on your point of view, Shadow. As a coffee exporter, US customers are the worst trying to squeeze every cent out of farmers and others involved.

  8. #8
    BIC
    BIC is offline
    Senior Member
    Join Date
    Jun 2019
    Location
    Antigua, Salcaja, Xela, Guatemala
    Posts
    686
    Quote Originally Posted by Mr.Peaberry View Post
    On KNXT News Radio yesterday, I heard a comment that the price of Robusta coffee has dropped significantly, and that, in the opinion of the author, that would be a boon for coffee drinkers. In the USA we are so used to getting what we want that it never enters our stream of consciousness that there might be thousands of livelihoods circling the toilet in the process of realizing this boon for coffee drinkers. Sending Americans down there would serve as an eye opener, and those going would definitely be returning post haste. If people who are used to poverty can't sustain their meager livelihood, what American is going to put up with THAT??
    yes, we are living in a land of "plenty". and most of times, we (Americans) just forget or ignore what is happening outside of this country.
    As coffee workers lose their job, the families suffer and most of their kids can not even complete elementary school because their parents have to take them out of school to have them work to make $50 to $70 per month.. we are talking about 8 to 10 years old kids, specially girls.

    THAT was the exact reason that our company is involved in NGO work in Guatemala trying to help the kids to stay at school, at least to finish elementary.

  9. #9
    BIC
    BIC is offline
    Senior Member
    Join Date
    Jun 2019
    Location
    Antigua, Salcaja, Xela, Guatemala
    Posts
    686
    Quote Originally Posted by Musicphan View Post
    Short term I think farmers need to continue to grow better coffee - I feel most will find a market in the Specialty world for a lot of that coffee. I know about what my broker makes per lb... so most of my coffees are being bought at 3x C market price - I think that's probably close to average for most in the Specialty grade business.
    Yes, specialty grade beans can get 3 time or 5 times of C market price. That is absolute truth.
    however, in order to grow specialty grade beans, it cost a lot of money.
    currently 99% of farms (in Guatemala) are all mixed coffee plants. that means in a farm, all types of coffee plants are growing mixed all over the place, caturra, bourbon, catuai...etc.

    in order to grow specialty beans, this is what they have to do.

    1. separate all the different species into separate lots. Bourbon in one place. Caturra in other place...etc. (this is absolutely impossible because they have to basically re-plant everything)

    2. they have to fertilize according to each different coffee plants. Bourbon needs different fertilizer than Gesha. Bourbon need twice a year, at least. fertilizing. Gesha 3 to 5 times a year.

    3. they must hire and educate coffee pickers to pick the best beans.

    4. they must improve water quality and clean water tanks regularly.

    5. better to use african bed or machine drier, rather than on patio.

    and so forth....

    the bottom line. Yes, it is a wonderful idea for farmers to grow specialty beans. but it costs too much money and efforts, so specially times like this, no one has any money to invest furthermore on their farms.

  10. #10
    BIC
    BIC is offline
    Senior Member
    Join Date
    Jun 2019
    Location
    Antigua, Salcaja, Xela, Guatemala
    Posts
    686
    Quote Originally Posted by WhyCoffee View Post
    Large buyers probably don't buy directly from farmers, too much risk.
    yes, absolutely right.
    large buyers do not have time to visit farms and buy directly from them.

    they mostly work with huge coffee exporters, such as Olam, Export Cafe, Cafcom, Camec..etc
    since these are biggest conglomerates, they also squeeze farmers and coops as much as they can to buy the beans as cheap as possible.

    let me give you an example.
    https://venezianocoffee.com.au/growe...finca-potomay/

    My Aussie customer, Veneziano, used to buy all the coffees (100%) produced by a farm called Potomay in Cuilco, Huehuetenango region.
    they produce about 50 bags of Maragogype and 150 bags of caturra/bourbon mixed beans a year.
    the farm used to make $2.00 for their regular beans thru us, us selling to Veneziano.
    now, Veneziano is no longer our customer and we only buy 30 bags of Maragogype for our Taiwan customer.
    so, for their regular beans that they used to get $2.00 per pound, now, this farm must sell their beans to Cafcom in Huehuetenango at $1.22 per pound.

    that is below their production cost.

 

 
Page 1 of 4 1 2 3 ... LastLast

Remove Ads

Sponsored Links

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •