sustainable supply chains in the global coffee industry

Ethical Trade in the Global Coffee Industry:‘The efficiency of Peter Griffiths’ idea for ‘ethical

consumerism’ is demonstrated through the case of ‘the Earth Friendly Coffee Company’’

Can alternative trade relations produce increased economic outcomes for agricultural coffee producers?

Links with ‘Social Innovation’ pathway

Design as conceptual & organisational to bring about social change & generate both social and economic value for agricultural coffee producers (with other beneficiaries)

Promotes social development- within markets, social enterprise and micro-businesses

International Coffee Organisation [2012] coffee remains the most widely traded tropical agricultural commodity- 2010 – $15.4 billion industry with 93.4 million bags per year

• Coffee crisis vs coffee boom• South facing lowest prices in almost a century• North- increases in value of coffee based

products- not consumption (paying more for symbolic value and service related attributes (branding, consumption ambience and packages)

Retail Price € 1.57 100 %VAT (6% in the Netherlands) € 0.09 5,73 %Margin distribution, costs of roasting, storage, (sea-) transport, financing, margin roaster and importer

€ 1.20 76.43 %

FOB price € 0.28 17.84 %Structure purchasing coffee (FOB) Export taxes and other fees € 0.01 0.64 %Costs of processing, financing, transport, bags and other trading expenditures, including trade margin

€ 0.17 10.83 %

(Gross) income producer organisation €0.10 6.37 %

Peter Griffithsmarketing economist, international consultant, speaker

Peter Griffiths "The Economist's Tale" inspirational motivational professional speaker

Why Fairtrade isn't Fair

1. Efficiencies in market systems2. Efficiencies in equipment3. Access to competitive export markets

Earth Friendly Coffee Company – Guatemala

50% retained by producers- clear audit trail Processing, roasting, packing and exporting increases income- not selling a raw material‘Single issue you got action’ (Peter Griffiths)Community benefits: realistic labour migration / investment potentialClear messaging on packages- not the fair trade premium for producers

Introduction to the coffee sector and why the commodity is deemed ‘special’. (God in a cup)Sustainable development as a prerequisite for the paperLiterature review- critically analysed key theoretical perspectives on sustainable agricultural practicesEthics – ethical tradingCounterproductive international agricultural policy & trade barriers (current EU subsidies / historical context)Commodity fetishism (capitalism) and the limits of ethical consumerism Other types of business models in ethical tradeResearch methodology

My dissertation also covered areas such as: