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GE202: Agriculture, Food& Nutrition in The Developing World - 202001
GE202: Agriculture, Food& Nutrition in The Developing World - 202001
Week 7
Coffee
The world’s most valuable trading commodity after oil
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Coffee
Producing counties and consuming countries (2016)
Robusta in Vietnam
Arabica/Robusta
- Arabica
- Believed to be high quality, less caffeine, good flavour
- Plantation cannot be automated, intensive labour, high cost
- Robusta
- Low quality, much caffeine, poor flavour and taste, used for
instant coffee and food chain
- Automated plantation, use of chemicals, less labour, low
cost, tolerant to diseases
Coffee
1988-1990 1998-2000 1988-90 to
Average Average 1998-2000
Africa 1 139 961 -1.7
Cameroon 112 99 -1.2
Côte d'Ivoire 232 149 -4.3
Ethiopia 181 177 -0.2
Kenya 89 79 -1.2
Uganda 143 207 3.8
And in Vietnam,
improved quality of
Robusta coffee is
expanding its market.
St. Helena●
High quality coffee in the world
Luwak Coffee in Indonesia
Production site on Jawa Island
High quality coffee in the world
Luwak Coffee in Indonesia
Production site on Jawa Island 50,000 IDR/cup
High quality coffee in the world
Luwak Coffee in Indonesia
Café in Grand Indonesia Mall in Jakarta 100,000 IDR/cup
In Singapore: 60 SGD
In Tokyo: 10,000 JPY
Coffee industry in the South Pacific
PNG: Produces 1.1 million bags of fine Arabica coffee, have
gained recognition in the specialty market
Challenges?
Possible strategies?
- Secure market, do not have to compete with giant companies
- Orientalistic ads (“exotic coffee of paradise”)
- Fair-trade movement
• Blueberries
• Avacado
• Grapes
Vineyard
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Chile: Agricultural Globalization:
A success
• Among developing nations, Chile is relatively successful –
WHY?
• Agricultural globalization through export oriented
reform
– opened up market
– attract foreign investment
• Agricultural exports increased substantially
– fruit exports
– bid foreign companies to set up orchards ; export to Europe,
Japan
& US for winter markets
• Led to macroeconomic
success
- diversified economic base
Globalization: Costs
• Social implications
– promote inequality
– exploitation of women workers (cheap labour)
• Economic implications
– seasonal unemployment
– vulnerability of monoculture
• Environmental implications
– high use of fertilizers (environmental impacts are high)
– irrigation (soil leaching)
Commodity chain of Fiji Kava
(Reading by W. Murray, 2000)