Coffee Value Chain Research Articles

An Examination of Ethiopian Data on the Coffee Value Chain from a Systemic Perspective

Ethiopia's principal export crop is coffee. Currently, one of the most profitable exports for nations in East Africa, including Ethiopia, Uganda, Kenya, and Tanzania, is coffee. Ethiopia is recognized as the source and major hub of Arabica coffee varietal. Global coffee production is insignificant, with over 70 nations and approximately 25 million growers producing coffee. Seventeen percent of coffee producers worldwide are from Ethiopia. Ethiopia, which produces 4.46 percent of the world's coffee, is the world's fifth-largest producer, behind only Brazil, Vietnam, Colombia, and Indonesia. the biggest and most prolific grower in Africa, making up around 43.15% of the continent. Ethiopian coffee varieties vary greatly in terms of genetic variety. The nation has also captured the attention of the world because of its inherent. More than 60% of the world's coffee is produced by the top three countries—Brazil, Vietnam, and Colombia together. Ethiopia is the eighth-largest supplier of coffee to the world market, accounting for 3–3.7 percent. Sixty countries import coffee from Ethiopia. The top 10 countries to import Ethiopian coffee, in terms of value, were Italy, Germany, Saudi Arabia, Japan, Belgium, South Korea, China, the United Arab Emirates, and Taiwan. They make up 84% of the whole. Japan moved up from sixth place in 2020–2021 to fourth place in the world for coffee imports in 2021–2022.

The Value Chain Analysis of Coffee Products in the Case of Bandung District

Coffee, a significant plantation product, holds vast opportunities in both domestic and global markets. Bandung Regency is renowned for its distinctive fruit-flavored coffee, particularly from Ciwidey and Puntang, where coffee is marketed in cherry and green bean forms without branding. A value chain analysis is essential to enhance the coffee industry's added value and sustainability. This study aims to identify the coffee value chain in Bandung Regency, analyze the cost of production, total revenue, and profit of the coffee processing industry in Ciwidey and Puntang, and determine the added value of coffee products in these areas. Using descriptive analysis, results indicate that Ciwidey (MS Coffee) has a lower cost of goods produced than Puntang (Acs Siliwangi) due to higher production volumes in Puntang leading to higher costs. However, Puntang’s larger production volume also generates higher monthly revenue and profit due to a higher selling price per kilogram. Value-added analysis reveals that Puntang’s value-added per kilogram (Rp. 55,025.00/kg) surpasses that of Ciwidey (Rp. 44,647.00/kg), attributed to higher selling prices, superior product quality, and greater market presence in Puntang. Conversely, higher input prices in Ciwidey result in lower value-added.

Projected rising temperatures and vapour pressure deficit threaten Arabica coffee production Tanzania's burgeoning coffee region: Empirical insight from Mbinga district, Tanzania

Tanzania is emerging as a key coffee producer, but climate change poses a serious threat to coffee production in the country. While extensive literature addresses climatic variables’ trends and variability in coffee-growing regions globally, elevation, a crucial factor in coffee cultivation, is often overlooked. This paper aims to fill this knowledge gap by examining the future trends and variability of climatic variables identified in previous studies being crucial for Arabica coffee (rainfall, temperature, and vapor pressure Deficit (VPD)) during different phenological stages of Arabica coffee growth across three elevation zones (lowland, midland, and highland). We study the Mbinga district, now a major Arabica-producing area and the forefront of hopes for expanding production in Tanzania. We used a Multi-Model Ensemble (MME) of two Global Circulation Models (GCMs) to estimate the future trends and variability of rainfall, temperature, and VPD under SSP2-4.5 and SSP5-8.5 scenarios from 2023 to 2064. We analyzed these data using non-parametric trend analysis (Mann-Kendal and Sen's slope test estimation) and standardized anomalies. Our results suggest that both temperatures (minimum and maximum) and VPD during critical flowering and growing seasons are projected to increase significantly over the next 42 years across all elevation zones under both emission scenarios. The mean annual temperatures across elevation zones in Mbinga are projected to surpass the optimal temperature envelope (23 °C) for producing quality Arabica, challenging the notion that the highlands might serve as a refuge for future production. The mean annual VPD in the lowlands are projected to surpass the optimal envelope (0.82 kPa) for Arabica productivity from 2023 to 2064 under both emission scenarios, while midlands are projected to surpass the optimal VPD envelope from mid-2040s onwards. In constrast, the highlands are projected to stay within the optimal VPD envelope for Arabica productivity from 2023 to 2064 under both emission scenarios. Nevertheless, as highlands are projected to get more warmer in the future because of rising temperatures, this hope might not be feasible in the post-2064. To secure Mbinga's future in global coffee value chains, the Tanzanian government and stakeholders must support adaptation measures, enhancing smallholders’ resilience against climate-induced disruptions.

Assessing the Current Status of Vietnam's Coffee Exports in the Period 2014-2023 in the Global Coffee Value Chain

Vietnam has favorable geographical location and weather to grow and develop robusta coffee varieties. Vietnam's production area is more than 95% of robusta coffee output out of a total planting area of 600,000 hectares. In 2022, coffee productivity will reach about 28.2 tons/1 hectare, reaching the highest level since 2005, according to Department of Crop Production data. The robusta coffee variety in Vietnam is also considered the best coffee variety in the world. Therefore, according to statistics from the Vietnam Commodity Exchange, in 2023, Vietnam will be the country with the world's highest robusta coffee export value, accounting for 36% of the total global coffee export value, followed second by Brazil with 28%. In 2021, Vietnam ranks 5th globally, with coffee exports reaching 2.35 billion USD. In 2022, Vietnam exported 1.68 million tons of coffee, but the turnover reached only about 3.9 billion USD. Of these, 82% of Vietnam's coffee is exported raw (mainly Robusta), valued at 2.9 billion USD. In contrast, the export turnover of Arabica coffee is only 260 million USD for decaffeinated coffee. 76.9 million USD and roasted, ground-illat coffee worth 598 million USD. Colombia and Switzerland have a small amount of coffee exported, but the value is high thanks to the quality and coffee brands that the country has built. Vietnam's coffee exports set a new record with a turnover of 4.24 billion USD in 2023. Just past the beginning of the new year, Robusta coffee prices continue to record many new peaks. With this advantage, the coffee industry has a solid foundation for its export goal in 2024.

Impact of agricultural credit on coffee productivity: An analysis of the perceptions of smallholder farmers

Low coffee productivity has been linked to farmers’ limited use of agricultural financing due to credit rationing motivated by moral hazard and information asymmetry. As an intervention, the Kenyan government (GoK) established the Commodity Fund to provide financing to coffee growers to increase coffee productivity, alleviate poverty, and promote economic development. Despite this intervention, credit acceptance remains low; for example, agricultural credit made up only 4.3 percent of total private sector credit in 2016 and 3.62 percent in 2018. This low adoption of agricultural financing raises an important question: does the perception of credit’s influence on coffee output shape the current dismal trend in coffee production? As a result, this study aims to fill a research gap by exploring the impact of agricultural financing on coffee productivity in Kiambu County, Kenya. Primary data was gathered through farmers’ group discussions (FGDs) with twelve farmers’ cooperatives and fifteen key informants from five coffee value chain actors. A subsequent survey of 174 smallholder coffee farmers was conducted. Phenomenological explication and a logistic regression model were used to analyze data from key informants and focus group discussions. According to the study’s findings, farmers perceived agricultural credit as having a positive impact on demand for coffee inputs and returns while having a negative impact on demand for labor and coffee productivity efficiency. As a result, this study recommends that the GoK examine Commodity Fund policies to catalyze credit in order to stimulate increased coffee productivity and economic transformation among coffee producers.

Training And Assistance In Maintenance, Intensification, Rehabilitation Of Coffee Plant In Colol Village, Lamba Leda District, East Manggarai District

Coffee is one of the dominant plantation crops in Colol Village, Lamba Leda District. Colol Village, Lamba Leda District, is one of the coffee development centers in East Manggarai Regency. The aim of this community service activity is to develop and develop farmers through the coffee commodity business in order to produce quality and reliable human resources. Reliable human resources will be able to manage all existing natural resource potential to produce quality coffee, both in terms of production and productivity, so as to create added value and competitiveness according to market needs. Apart from that, in the long term it is hoped that this activity will be able to increase the income of coffee farmers and create jobs as well as being able to increase the competitiveness of the coffee value chain by providing more business opportunities in the coffee plantation subsector. East Manggarai Regency, especially Colol Village, Lamba Leda District. The focus of implementing this service is increasing the knowledge and skills capacity of farmers in managing coffee plants through maintenance, intensification and rehabilitation to improve the quality of the harvest. Through training and mentoring activities, coffee farmers are able to carry out coffee maintenance, intensification and rehabilitation.

The Effect of Ugandan Coffee Farmers’ Role Identity on Their Experiential Learning

Background: Although the literature on education and learning sciences determined how student identities influence their experiential learning process, this link is less clear in the agricultural context, where farmers have faced unique value chain challenges i.e., production to marketing. Purpose: This study contributes to examining how farmers’ role identities support or hamper farmers’ experiential learning processes. Methodology: First, a qualitative analysis of 91 interviews with coffee farmers in Uganda was carried out to understand the nature and relevance of farmers’ role identities. Second, using partial least squares regression-based path analysis, the moderating effect of 214 coffee farmers’ production role identity on their experiential learning was assessed. Findings: Findings reveal that farmers’ identification as coffee farmers shape what, how, and when they learn from their value chain challenges. Farmers’ role identity, in particular, supports their reflection on past challenges to increase their challenge-solving knowledge, as well as experimentation to solve their challenges. Implications: This study integrates role identity theories in the study of learning processes in rural coffee value chains. Moreover, the findings suggest that agricultural extension workers should understand farmers’ identities and their influence on their learning to select the targets and developments of their training programs.

Exploring Ho Chi Minh City's Coffee Value Chain through the Unique Intersection of Specialty Coffee and Tourism

The study dives into the thriving coffee culture of Ho Chi Minh City, Vietnam, and investigates its significant impact on tourism and economic growth. As the world's largest producer of Robusta coffee, Vietnam, notably Da Lat, has emerged as a global coffee production powerhouse, with an increasing emphasis on specialty coffee. The integration of coffee into tourism activities, as well as initiatives to improve quality and sustainability throughout the coffee value chain, demonstrate Vietnam's innovative approach to coffee industry development. The study illuminates the lessons and insights that Vietnam's coffee sector can provide to the global coffee community by investigating the nexus of coffee culture, tourism, and economic empowerment. Vietnam's coffee sector, which combines tradition and innovation, is a fascinating illustration of how coffee can drive economic progress, promote sustainability, and enrich cultural experiences. Vietnam's success has far-reaching ramifications for other coffee-producing countries, providing significant lessons on how to use coffee tourism, improve sustainability standards, and promote economic empowerment for local populations.

In-Depth Assessment of Key Factors Affecting Coffee Production in Tanzania

Coffee has been among the traditional cash crops and one of the main contributors to foreign earnings in Tanzania. Consequently, earnings from its exports have remained low due to various production challenges which in turn affects export growth. These challenges have never been properly and intensively recognized for better decision-making. Therefore, this study was set to provide an in-depth assessment and understanding of key factors affecting coffee production in Tanzania.The study used simple random sampling to collect information from 364 respondents in four highly coffee-growing districts in Ruvuma, Mbeya, and Songwe regions. Qualitative and quantitative data were collected through structured questionnaires from small-scale farmers. Data were then analyzed by using a statistical Package for Social Sciences (SPSS) and Excel. From the findings, poor agronomic practices such as inadequate application of fertilizer, poor pesticides and disease control, and aged low-yield coffee trees were found to be the main factors that strongly explain the relationship with low coffee production output due to their significant results. Furthermore, using regression the other variables found to significantly affect coffee production output level were limited access to finance and inadequate extension services. Based on the findings, sustainability of the coffee sector development, intensive government intervention is needed by putting more priority on training farmers best agronomic practices in the right way. This way, small farmers can be aware of the importance of the application of required agronomic practices as a key factor in the scale-up of productivity and production output. The Bank of Tanzania can also efficiently address the challenge of small-scale farmers in obtaining soft loans at a reasonable cost from financial institutions by creating an enabling environment. This should include the provision of a special loan facility to commercial banks connected with conditions to beneficial banks to lend to farmers at an indicative rate that can be affordable to small-scale coffee growers. These findings will inform policymakers and coffee stakeholders in the coffee value chain on the best actions and decision-making to enhance the sector's performance.

Asia Africa's Impact on Middle East's Specialty Coffee Community

In an era when work entails accomplishment, personal progress, financial security, social connections, and finding meaning, the specialty coffee sector has become a magnet for experts from Asia and Africa looking to offer their skills to the Middle East's coffee value chain. This engrossing study dives into the motivations and preferences of labor from different regions, offering light on the unique dynamics that entice people to this particular sector and geographical context. The article investigates the cultural interchange, skill development opportunities, and career progression that attract workers to the Middle East's specialty coffee industry using prominent ideas such as the Pull-Push Theory, Resource-Based View Theory, and Cultural Diversity Theory. The findings not only demonstrate the transforming potential of work, but they also give critical insights for industry stakeholders, governments, and scholars interested in maintaining a thriving and inclusive coffee ecosystem in the region and beyond.

Empowering left-behind places in Southwest China: participation in coffee value chains as place-based development

Abstract Geographical scholarship has advocated the importance of endogenous and place-sensitive development to levelling up left-behind places, by means of reactivating untapped potentials and recuperating a sense of belonging. Drawing on the approaches of global value chain (GVC), and to a lesser extent, global production network (GPN), this paper rethinks how GVC/GPN participation articulates with endogenous assets and enhances local actors’ capacities to achieve economic and social upgrading. We present a case study of the coffee economy in Lujiang Township, Yunnan Province, China. We find that local villagers are able to tap into opportunities of learning and upgrading, but these processes are mediated by institutions and moral economies. Ultimately, economic empowerment translates into the revival of a sense of belonging.

Integrating Literacy Gardens with the Coffee Value Chain to Promote Sustainable Knowledge Innovation

Integrating Literacy Gardens with the Coffee Value Chain to Promote Sustainable Knowledge Innovation

Innovation and Networks in the Bioeconomy: A Case Study from the German Coffee Value Chain

The transition to a circular bioeconomy requires innovation across many sectors, but social dynamics within a sector’s network may affect innovation potential. We investigate how network dynamics relate to the perceptions and adoption of bioeconomy innovation using a case study from the food processing sector. Our case study of the German coffee value chain represents a technologically advanced sector with a strong sustainability focus and potential for residue valorization, which is an important dimension of a sustainable circular bioeconomy. We identify three distinct views (pioneers, traditional and limited users) related to residue valorization, map linkages between actors using social network analysis, and highlight barriers to innovation. We collected data through an online survey and semi-structured interviews with key actors in the coffee roasting sector. Within the social network analysis, we find that public waste managers are closely linked to the most influential actors, state actors such as the customs and tax offices can quickly interact with others in the network and promote the spread of information (highest closeness centrality) and specific roasters play an important role as intermediaries for efficient communication (highest betweenness centrality). Finally, we identify four main barriers including the structure of the coffee network, inconsistencies in federal waste regulations, economies of scale, and visions of sustainability. To support a sustainable bioeconomy, we recommend that policy makers revise the primary regulatory frameworks for waste (e.g., German Recycling Act) to clarify how to classify food residues, their disposal structures and broaden their use streams.

Coffee production networks in Costa Rica and Colombia: A systems analysis on voluntary sustainability standards and impacts at the local level

The systems analysis framework has permeated the social and political sciences, and its use is increasing in the analysis of global value chains. Nevertheless, minimal research has applied this systems analysis to investigate voluntary sustainability standards (VSS) in the value chain. This study employs systems analysis to explore the role and interactions of VSS in the coffee value chains of Costa Rica and Colombia. Using discourse analysis, the study identifies in the discourses of interviewed stakeholders system traps (this means specific archetypes systems tend to evolve when not balanced) and leverage points that can initiate rapid and significant changes in complex systems when introduced. The interviewed stakeholders cited numerous examples of events related to the identified traps and leverage points in the value chains examined. Another relevant finding is the coherence of these discourses, which were consistent and had no contradictions in different stakeholders’ expressions. The findings contribute to the research regarding private governance in the agricultural sector, introducing a new analytical framework.

Decomposition of the Coffee Value Chain Among Smallholder Farmers in Embu and Kirinyaga Counties in Central Kenya

The coffee value chain is lengthy and complex with numerous actors and this exposes the farmers to inherent financial risks. This study sought to decompose the coffee value chain and its dynamics. The study was undertaken in Embu and Kirinyaga counties in Central Kenya and the target population was smallholder coffee farmers. The study used multistage stratified sampling techniques to draw a sample of 385 respondents. Majority (97%) of the sampled farmers were processing and marketing their coffee through cooperative societies. Socioeconomic analysis of these farmers showed that majority were middle‐aged, fairly educated and with adequate coffee farming experience but their cherry production was very low averaging 2.3 kgs per tree for 2022/2023 crop year. The cooperative societies were playing key roles in the coffee value chain including farmers’ training, input and credit provision, coffee processing and marketing. There were numerous coffee marketing challenges, including high middlemen involvement, which lowered the coffee prices and reduced the trade volumes. Value adding activities such as roasting, grinding, and packaging were rare and farmers’ involvement in the upstream value chain was minimal. The local demand for the produced coffee was very low with domestic consumption taking only 2% of the output. The multilevel mixed effect model results revealed that value adding and farmer involvement were found to have a significant positive influence on the traded volumes and coffee prices while middlemen involvement had a negative influence. There is need for enhanced value adding and farmers involvement in the upstream value chain as well as strengthening the cooperative societies’ role in coffee marketing for more accountability and increased incomes.

Institutional actors and their impact on postharvest coffee value chain performance in Ethiopia

Institutional actors and their impact on postharvest coffee value chain performance in Ethiopia

Analysis of the coffee production chain in the Amazonas Region in 2023

Analyzing the local value chain in coffee-producing regions can help identify obstacles and opportunities for economic development and growth. Faced with this, the objective of the study was to analyze the value chain in the Amazon region. For which, the survey was used to collect information from producers and those involved in the value chain. To map the chain, the GIZ Value Links methodology was used; the study population was 34 producers and representatives of organizations and institutions. The coffee value chain in the Amazon region is made up of producers as the first link, after them the local collectors such as associations and cooperatives are present and in turn free trade who are the intermediary buyers. Government institutions. The main international export markets are Canada, the United States, and Germany. The main difficulty for producers is the constant coffee pests that prevent good production, along with the lack of irrigation in the plots.

ANALISIS KINERJA RANTAI PASOK AGROINDUSTRI KOPI ARABIKA DI KABUPATEN ACEH TENGAH PROVINSI ACEH

Aceh Province is a leading national coffee producing province, one of the coffee producing centers in Aceh is Central Aceh Regency with the area planted with coffee plants in 2022 reaching 49,997/ha and coffee production reaching 36,060 tons/year. Coffee has economic value from both the farmer level and the final consumer. What often happens is that the value obtained by farmers is not equal to that obtained by other marketing institutions in the supply chain and coffee value chain, so adding value to coffee requires product development and maximum utilization of resources. by generating profits in all lines of institutions involved. The role of the Arabica coffee agroindustry is very helpful in developing coffee into finished products or processed coffee-based products, so that all systems in the coffee supply chain benefit. Apart from that, the role of the Arabica coffee agroindustry will have an impact on the value chain of Arabica coffee produced in Central Aceh Regency. The research method used is descriptive and quantitative analysis using the AHP Matrix. The results obtained show that the performance of the Arabica coffee agroindustry supply chain in 13 agroindustries in Central Aceh is at a below average level, extra improvement is needed to be able to obtain a good or excellent level.

Enhancing Coffee Quality in Rwanda: A Cost Benefit Analysis of Government Policies

Over the past two decades, Rwanda has positioned itself as a leading producer of specialty coffee. The strategic move from ordinary to specialty coffee has overall been economically beneficial to the country. However, the multitude of incentives provided by both the Government and international donors spawned a rush to build a large number of coffee washing stations (CWS) throughout Rwanda. This trend gave rise to an oversupply of these plants, with most operating below their processing capacity. Our study uses cost benefit analysis to estimate the economic welfare loss that Rwanda has suffered owing to the combined effect of the oversupply of CWS, the coffee zoning policy, and the government regulated cherry coffee prices. Our results reveal that, if the coffee industry were rendered more competitive by dint of a reduction in the number of CWS, then the annual savings to Rwanda would be substantial. Furthermore, farmers could potentially receive prices that are 150% higher than the mandated fixed prices they are currently been paid. Our analysis could potentially be beneficial to Rwandese policy makers in devising fairer incentives to keep farmers interested in coffee farming, thus ensuring the sustainability of the coffee value chain in the long term.

Digital and circular technologies for climate-smart and sustainable agriculture: the case of Vietnamese coffee

This comprehensive article addresses the pressing challenges confronting the global agriculture, primarily driven by climate change and resource constraints. With a focus on promoting climate-smart and sustainable agricultural practices, the study explores the transformative potential of emerging technologies, e.g., the innovative use of digital technologies like Internet of Things, Artificial Intelligence, and Blockchain, showcasing real-world examples of their benefits, and circular technologies, e.g., waste-to-value practices. The challenges of population growth, climate change, environmental impact, and the plight of smallholder farmers are elucidated. Climate-Smart Agriculture initiatives supported by the World Bank Group demonstrate practical efforts in addressing these challenges, aligning with sustainable development goals. Here, we introduce an innovative and smart agriculture (INNSA) platform for the creation and operation of sustainable coffee value chain in Vietnam as a case of study. Thought-provoking questions for future research conclude the review, encouraging interdisciplinary collaboration. In summary, this article provides a compelling case for adopting sustainable agricultural practices through digital and circular technologies, offering a roadmap for global agriculture’s transformation and resilience in the face of climate change.