Maja wallengren el rostro humano del cafe

EL ROSTRO HUMA�O DEL CAFÉ y su importancia socioeconómica en el mundo

Ramacafe VIII Juntos llegamos mas lejos – Managua, Sep. 2, 2008

RAMACAFE VIII - Managua, 2 Septiembre, 2008

BY MAJA WALLE�GRE� - GLOBAL COFFEE REPORTER

�ICARAGUA

Crop recovery thanksto basic husbandry


• As many as 500 million people, 8.1% of total world population, depend on coffee

• Coffee is according to most estimates the 2nd largest traded commodity after oil

• The coffee industry generates about $70 billion to $80 billion in annual value

• 25 million small-holder producer families depend on coffee as their only income

• In the U.S. 150,000 full and time part jobs are created by the coffee industry

• Including indirect jobs, the figure could be as high as 1.8 million people in the U.S.

How Important Is Coffee In The Global Economy??


• Including indirect jobs, the figure could be as high as 1.8 million people in the U.S.

• In the U.S. alone, the coffee industry generates some $19 billion in annual business

• The specialty coffee industry alone accounts for almost $11billion in annual sales

• In Japan up to 3.1 million direct and indirect jobs are created by the coffee industry

• This represents 4.6% of the entire Japanese work force

• In Russia it is estimated that about 30,000 people work in the coffee business

• In Italy, about 110,000 coffee shops create employment for at least 330,000 people

Honduras and Specialty Coffee


COSTA RICA: Selling more than 40% of coffee outside futures


COSTA RICA: Selling more than 40% of coffee outside futures

Mexico:


Vietnam


Up-rooting of coffee is taking

place and new plantings appear

to have ceased, but Vietnam

can be expected to remain a

major producer in the future

and quality is being improved

Brazil


Africa


The Social Impact Of The Crisis In Coffee Producing Countries


Photos By Marco Ugarte

The Social impact of the 2000-2004 coffee crisis• 323,000 coffee jobs were estimated tohave been lost in Guatemala since the onset of the

crisis while in El Salvador, where the coffee industry accounted for up to 43% of the employment in the mid-1990s an estimated 600,000 jobs were lost.

• In the coffee region of San Marcos de Colon, Honduras jobs were reduced by 75% to only 600 jobs from 2400 direct jobs previously and the crisis send 72% of the people into poverty.

• 690,000 people in El Salvador, Guatemala, Honduras and �icaragua are annually seen in need for emergency food aid due to droughts and the coffee crisis until Feb 2006

• 50% of the population in those countries live below the U� level for extreme poverty of


• 50% of the population in those countries live below the U� level for extreme poverty of US$1/day

• 23% to 48% of children under five years age suffer from chronic malnutrition while almost 70% of the communities have no health centre, and 20% have no access to clean drinking water

• 70% of the families, or 6.02 million people, in the disaster-prone belt of Central America do not own the land on which they live and grow crops

• �early 85% of adults in the region did not finish grammar school and 37% are illiterate

• Increased cultivation of illegal drugs in Colombia, Peru and Bolivia Source: World Food Programme




Mass Migration As Employment Disappears

…And Villages Are Left With Only

Women And Children Left As All

The Work-Age Men Has Migrated

In The Search Of Jobs




Central American Coffee Earnings During Crisis

Countries 99-00 Bags

99-00 $ 00-01 Bags 00-01 $ 01- 02 Bags 01- 02 $ 02-03 Bags 02-03 $

Costa Rica 2338 288 2197 205.3 2147 173.1 1945 187.2

El Salvador 2496 311 1714 131.8 1531 105 1327 103.3

Guatemala 4902 599 4414 305 3833 270 3800 308.3


*All export figures are in 000 Bags

Honduras 2857 345 2469 168 2147 140

Nicaragua 1286 169 1422 109 1073 70

Total 13879 1712 12184 919 10733 758

Illegal Drugs Cultivation and Civil Unrest


Ethiopia, coffee is found everywhere :


Ethiopia:

… but the country

where coffee first

was found by

Kaldi and the

dancing goats,


dancing goats,

poverty has

worsened and

Ethiopia is today

effectively poorer

than 10 years ago

Zimbabweshows how badly

land reform can go

when everything is

done wrong, turning

one of the country’s

only cash crops in ruin


Countries Exports in mid or late 1990s

% of export earnings

Exports in 2000-01


Exports 2001-02


Ethiopia 2050 68 1418 50 1939 40

Uganda 4148 70 3075 25 3153 20

Tanzania 900 -- 874 -- 583 --

East Africa Coffee Exports and Earnings Figures


Tanzania 900 -- 874 -- 583 --

Kenya 1400 -- 1220 -- 750 --

Burundi 500 80 314 -- 250 --

Rwanda 600 70 267 -- 274 43

*All export figures are in 000 Bags

• Major trends in global development need to be incorporated

in long-term development models for the coffee industry

• World population is expected to reach 9 billion by 2050

• Continuing pressure on land as demand for food crops rise

Making the Coffee Industry Sustainable Through the Year 2050


• Global warming could “dramatically reduce future coffee

production in many countries

• The spread of HIV/AIDS, authorities in Ethiopia estimate

that 30% of national budget is needed to fight aids by 2015

• Global trade talks at the WTO must have coffee on agenda

The myth

about

consumption

in

producing

Countries

But we are starting

to see the positive

results of the

ongoing promotion


…it’s not that easy as many think

Brazil

shows

it can

be done

• Crop diversification directed for domestic markets needs

• Raising productivity and reducing the cost of production

Making the Coffee Industry Sustainable Through the Year 2050

- are we prepared for a new crisis?


• Ensuring increasing focus on reforestation

• Is the specialty market and certification the solution?

• Making the United Nations Millennium Goals Work

Colombia


Montes

34%Pastos

35%

Plátano

1%

Average Diversification Within A Colombian Coffee Farm


Otros permanentes

1%

Café

25%

Cacao

1%

Caña

3%

Source: National Coffee Growers Federation of Colombia


Coffee Reforestation In Mexico:

Sustainability Depends On Shade and Organic

Ensure environmental sustainability


BAHIA, Brazil: The �ew Coffee Frontier


EL ROSTRO HUMA�O DEL CAFÉ y su importancia socioeconómica en el mundo


RAMACAFE VIII - Managua, 2 Septiembre, 2008

BY MAJA WALLE�GRE� - [email protected]

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Maja wallengren el rostro humano del cafe

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