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Broadly speaking, coffees can be divided into three commercial categories.

Exemplary quality coffees have a high intrinsic value with a fine or unique cup. Usually of quite limited availability. Mostly retailed under the straight estate or origin names. Usually very well presented washed coffees, including some superior washed Robusta’s, but also includes some naturals (Ethiopian Harare, Yemeni Mochas, and some Indonesian Arabica’s) and top organic coffees, which are usually, but not always, roasted by comparatively small firm and marketed through fairly exclusive outlets, e.g. retail coffee shops or bars and upmarket delicatessens.     Mainstream quality, average quality, reasonably well presented, but certainly not visually perfect. Will offer a decent, clean but not necessarily impressive cup.

Meet A 10years old Israel

A young soul, so innocent and so delightful, age of 10 lives in Sidama zone. Israel Dingama, in his age is so strong, not physically but also mentally. He says “I want to go to school and play like the other kids. But now I’m at home helping my family in the house.”   This kid could be a great asset to his country also to his family if he went to school as he wished.   On top of providing jobs for the society, our company, wanted to give to the society for those kids like Israel Dingama to have access to clothes, food, school and on any other necessities.  Right now, Israel Dingama is at school like the other kids he wished to be part of.  Heleph1933 coffee Plc’s main focus is the society, to be there for them in anything they wish to have.

Coffee Crisis and the Birr

Coffee Crisis and the Birr Just a small window into how the current coffee price crisis has a real effect, not only on the lives of millions of farmers from producing countries, but in the economy of those same countries, and the lives of millions of their citizens. The market is wreaking havoc in the local economies of small countries which depend highly on the hard currency generated with coffee exports. Like Ethiopia. Today, the black-market rate for USD to Birr in Ethiopia has reached, if not surpassed, 43 birr per USD, while the official rate stands under 29 birr per USD. That’s a 50% premium. This time last year, with New York at 110 cts/lb, the black market was paying 34 birr per USD, a 26% premium over the official 27.25 Birr per USD rate. This reflects on the cost of everything in the country, from luxury cars to medicines, food or the industrial inputs the country needs to keep its economy going. This disfunctional exchange rate has a lot to do with coffee, the commodity we can’t live without, but that apparently, we don’t want to pay too much for. Coffee generates a big chunk of those US Dollars the country needs. But the international market is paying for Ethiopian natural coffees, the bulk of their production, around 78 cts/lb, when the production cost for this coffee is 105 cts/lb. Of course the situation is complex, and it is this “black market premium” what’s helping to protect farmers from the blunt of the price disaster. Farmers and middlemen still get paid around 93 cts/lb for this coffee when they deliver it to the Exchange. The loses are taken by the exporters, who then process this coffee, move it to Djibouti and sell it at 78 cts/lb. Sustainable? BY Pablo Martinez

EXCLUSIVE MARKETING ARRANGEMENTS

Potential benefits for the producer, the agreements are usually long term and as such can help create price stability. This expectation of premiums allows producers to focus on the coffee instead of the marketplace, and to be able to pay for the extra effort it takes to maintain the quality. Exclusivity creates a certain sense of loyalty and communication between the producer and the importer/ roaster that may otherwise not be possible. It is also in the best interest of the receiving company that the quality is optimal – as such it may provide technical help and other assistance that would otherwise not have been available to the producer. Potential disadvantages for the producer, an exclusive arrangement may limit the coffee’s exposure. If it is with a smaller company or companies with limited market share, then the chance to create a broader consumer base is lost. This could imply that when the agreement comes to an end the producer is left with a coffee that enjoys only limited awareness and requires further effort to build market share. The producer is relying on one or a few companies to promote his coffee, but generally has no guarantee this will in fact happen, or that it will be enough to be effective. Even though it is also in the buyer’s best interest to ensure this, he or she may in fact not do so.

Coffee Producers to International Markets

The profile of Ethiopian coffees will vary based on a number of factors, including variety, process, and micro-region and the diversity of coffee is 99% more genetic material that makes Ethiopians coffee different than in the entire rest of the world and holds nearly-legendary status. The term ‘specialty coffee’ originated in the United States. It was initially used to describe the range of coffee products sold in dedicated coffee shops, in order to differentiate these coffees from coffee generally available through supermarkets and other retail outlets. It is fair to say that ’specialty coffee’ has become a generic label covering a range of different coffees, which either command a premium price over other coffees or are perceived by consumers as being different from the widely available mainstream brands of coffee.