This week on Recap: Kona coffee growers in Hawaii are now eligible for settlements in a 2019 class action lawsuit; Digital Coffee Future will host a series of webinars on the intersection of climate change and technology; Canadian chain Tim Horton’s has announced significant investment into the digital guest experience; UK press outlets cover the staying power of coffee consumption shifts. Learn more about this week's episode or read a full transcript at: sca.coffee/sca-news/recap/27/march-25-2021

Recap: Recent Developments in Coffee

#27 | March 25, 2021

This week on Recap: US coffee roasters have seen significant cost increases in their operations due to shipping and transport logistics; Demetria, an Israeli-Colombian food-tech startup, closed a seed funding round after emerging from “stealth”; Hurricanes devastated more than 200,000 hectares of crops in Central America last year; a new coffee trend is sweeping TikTok. Learn more about this week's episode or read a full transcript at: sca.coffee/sca-news/recap/26/march-11-2021

#26 | March 11, 2021

World Coffee Research announces its next five year strategy will prioritize origin diversity; researchers at the the University of Reading, the Andean Information Network, and Pontificia Universidad Católica del Peru explore the similarities between Bolivia and Peru’s coffee and coca trades; 12 of the 16 winning lots in the recent ACE Private Collection auction with Hawaii’s Isla Custom Coffees featured controlled yeast fermentation in processing. Learn more about this week's episode or read a full transcript at: sca.coffee/sca-news/recap/25/february-25-2021

#25 | February 25, 2021

The Alliance for Coffee Excellence announced a partnership with scientific traceability company, Oritain, to build a database of coffee origin “fingerprints”; a new study explores the relationship between coffee leaf rust and a co-evolved hyperparasite; the International Coffee Organization’s Coffee Development Report 2020 finds the that the value of annual coffee exports has more than quadrupled from 1991 to 2018. Learn more about this episode of Recap, including a full transcript and links for further reading, at sca.coffee/sca-news/recap/24/february-11-2021

#24 | February 11, 2021

Rabobank Group, a lender known for financing agricultural traders, joined other commodity lenders in reducing its activity following a difficult year; the Hivos 2020 Coffee Barometer suggests there is little evidence coffee companies’ voluntary sustainability efforts have made an impact; Sucafina has announced a number of growth initiatives, including the acquisition of a Costa Coffee green supplier, Complete Coffee Limited; Seven Miles Coffee Roasters has launched a new telemetry system. Learn more about this episode of Recap, including a full transcript and links for further reading, at sca.coffee/sca-news/recap/23/january-28-2021

#23 | January 28, 2021

Although estimates of damage to coffee-growing regions have been slow to arrive due their impact on vital infrastructure, Hurricanes Eta and Iota's sustained winds, flash floods, and mudslides have impacted what was expected to be a fruitful harvest for Central America's coffee-growing communities; the Deputy Chief Executive of Ghana's Cocoa Board has called for cocoa farmers to expand and develop the coffee sector by growing and processing coffee. Learn more about this episode of Recap, including a full transcript and links for further reading at sca.coffee/sca-news/recap/22/november-19-2020

#22 | November 19, 2020

In this week’s episode, Recap explores the recent Communiqué from the International Coffee Organization: Where did it come from? What does it mean? Widely reported as the first time that major private sector actors across the value chain came together to agree to jointly implement solutions to the economic unsustainability of coffee production, the Communiqué and corresponding Annex outlines an ambitious ten-year plan across four areas of action and seven technical workstreams. Learn more about this episode of Recap, made possible with the support of BRITA, including a full transcript and links for further reading at sca.coffee/sca-news/recap/21/november-5-2020

#21 | November 5, 2020

Welcome to Recap, a brief overview of recent coffee developments every two weeks from the Specialty Coffee Association, made possible with the support of BRITA. Special Thanks to Our Sponsor, BRITAThis episode of Recap was made possible with support from BRITA. Inventor of the household water filtration jug in 1966, BRITA produces and distributes a wide range of innovative drinking water optimization solutions for private and commercial use. To learn how BRITA’s technology supports coffee professionals by providing control over one of brewed coffee’s main ingredients, visit www.brita.net. BRITA: Water is our element.A recent Euromonitor International report suggests that the number of American coffee and tea shops will decline for the first time since 2011. The report estimates that the US will have just over 25,000 outlets specializing in coffee or tea by the end of this year, a reduction of 7.3% from last year. It also estimates that annual sales will drop 12% to approximately US$24.7 billion. In a feature exploring the effects of COVID-19 on the coffee shop landscape, Bloomberg reports that Canada is also seeing a similar contraction. According to Allegra World Coffee Portal, annual sales in Canadian coffee shops are expected to drop 22% from 2019 to CA$9.5 billion. Allegra also suggests that local independents will take a greater share of Canadian suburban trade. In the Bloomberg feature, Rabobank analyst Jim Watson noted that the most challenging situations for independent cafés are based on their location. According to Watson, residential coffee shops are outperforming those based in office or city center locations. And while independents have shown to be nimble in adapting their businesses to their community’s needs, they’re generally more at risk due to highly-variable factors beyond their control, like rent negotiations and government assistance.Last week, the National Coffee Association of the United States of America released the results of a major new national poll. Highlights from Coffee, Consumers, and COVID-19: Road Map to Recovery indicates that the pandemic has not changed how much coffee Americans drink, although it has changed where they drink it. According to the poll, 6 in 10 Americans drink nearly 3 cups of coffee every day. While home consumption has always been strong in the US, the results of the poll indicate that pandemic closures of coffee shops have grown the volume of coffee consumed at home significantly. But the desire to return to coffee shops is strong: more than half of typical coffee shop visitors indicated that they had already begun to return to coffee shops, or planned to do so in the next month. Avenues like app-based ordering, delivery, and drive-through ordering all saw an increase among people who reported drinking coffee regularly. The poll also reflects current tensions around mask-wearing, which is an effective barrier to COVID-19 transmission. Of those polled, 44% said they were comfortable visiting coffee shops when face coverings are required for all staff and guests, but 48% said they felt comfortable when workers alone wore protective items.This episode of Recap was made possible with the support of BRITA. If you want to dive deeper into anything you heard today, check out the links in the description of this episode. Recap will be back in two weeks’ time. Thanks for listening. Further Reading:  Number of Coffee Shops Set to Decline for the First Time Since 2011  Say Goodbye to Your Local Coffee Shop in America’s Cafe Shakeup (Bloomberg) Number of Coffee Shops Set to Decline for the First Time in a Decade, Says Report (Food & Wine) US National Coffee Association Releases Highlights from Coffee, Consumers, and COVID-19: Road Map to Recovery US Coffee Drinkers Consume as Much at Home During Pandemic - Poll (Reuters)  Americans Drinking as Much Coffee Now as Pre-Pandemic (Global Coffee Report)  Americans Still Drinking Three Cups of Per Day, But More At Home, NCA Report Shows (Daily Coffee News)  

#20 | October 22, 2020

Welcome to Recap, a brief overview of recent coffee developments every two weeks from the Specialty Coffee Association, made possible with the support of BRITA. Special Thanks to Our Sponsor, BRITAThis episode of Recap was made possible with support from BRITA. Inventor of the household water filtration jug in 1966, BRITA produces and distributes a wide range of innovative drinking water optimization solutions for private and commercial use. To learn how BRITA’s technology supports coffee professionals by providing control over one of brewed coffee’s main ingredients, visit www.brita.net. BRITA: Water is our element.International Coffee Day may have come and gone, but many of the initiatives launched on October 1 are long term projects. The International Coffee Organization, who first organized the holiday in 2014, focused this year’s activity on a project titled, “Coffee’s Next Generation.” While details are yet to be announced, the ICO said the program will involve financial support and training for young entrepreneurs in the coffee sector. The International Women's Coffee Alliance, or IWCA, launched a fundraising campaign called, “Empowered Voices.” The campaign will run until October 15, the International Day of Rural Women, and aims to recognize 100 women while raising US$10,000 to continue the work of the organization. The holiday also marked the launch of the Coffee Coalition for Racial Equity, founded by Phyllis Johnson of BD Imports. The coalition is described as “a robust, global community of coffee advocates driven to bring about more equity and diversity into the coffee community.” In its first webinar, the group introduced its first board members and set out a one-year timeline of activities that includes a range of educational and outreach initiatives. Indonesia’s coffee producers are asking for help with financing as the pandemic continues to impact the demand for coffee. The Jakarta Post reports that tons of coffee are being held under what is known as a warehouse receipt, a system that allows smallholders to deposit their harvest in a warehouse as collateral for a loan. Both smallholders are exporters face difficulty under this system, particularly when prices are low and there are few buyers. And this is before most of the coffee has been harvested: almost 70% of Aceh’s harvest, currently projected at 52,000 tons, will take place between October and January. Indonesia’s Ministry of Cooperatives and Small and Medium Enterprises is preparing multiple financing schemes. Other financing organizations, like the state-owned bank, are also offering support through warehouse receipt subsidies.Australian-based Breville Group has acquired the US-based grinder maker, Baratza, for US$60 million according to a report in Finance News Network. Breville produces a range of small kitchen appliances with an emphasis on the home coffee segment. Baratza, established in 1999, is known for its production of commercial-level quality burr grinders for home use. Breville Group says the acquisition brings together two of the world’s leading companies in the design and global distribution of coffee products. A recent feature in Asia Times explores how women entrepreneurs in the Gulf are working to overcome the additional hurdle of the COVID-19 pandemic. Amid the backdrop of recent economic and social reforms aimed to increase women’s participation in the workforce, the feature explores how gender biases have made it more difficult for female entrepreneurs to access to stimulus packages, lending, or private investors. Nooran Al Bannay, the founder of Coffee Architecture in Abu Dhabi, is among those interviewed. The first female Q Grader in the region, Nooran opened her shop in 2018 after convincing her family members of her dream to open a coffee shop. This episode of Recap was made possible with the support of BRITA. If you want to dive deeper into anything you heard today, check out the links in the description of this episode. Recap will be back in two weeks’ time. Thanks for listening. Further Reading:  International Coffee Day Announcements International Coffee Day 2020: Supporting the Next Generation (International Coffee Organization)  ICO Seeks Support for Coffee’s Next Generation on International Coffee Day (Daily Coffee News)  Celebrate Empowered Voices: 2020 International Coffee Day and the International Day of Rural Women (International Women’s Coffee Alliance) Coffee Coalition for Racial Equity  Notes from the Coffee Coalition for Racial Equity Launch Event (Sprudge)  Brewing Tension: Coffee Producers Call for Help as Virus Saps Demand (The Jakarta Post) Baratza Acquired by Breville Group Baratza Acquired by the Breville Group (Sprudge Wire) Breville Acquires US Grinder Maker Baratza for US$60 Million (Daily Coffee News) Breville Group Acquires Baratza for US$60 Million (Global Coffee Report) Breville (ASX:BRG) acquires Baratza (Finance News Network) Gulf Women Entrepreneurs Overcoming Challenge (Asia Times)  Sarah Al-Ali Visits Abu Dhabi (25) 

#19 | October 8, 2020

Welcome to Recap, a brief overview of recent coffee developments every two weeks from the Specialty Coffee Association, made possible with the support of DaVinci. Special Thanks to Our Sponsor, DaVinciThis episode of Recap is made possible with support from DaVinci. With its heritage in specialty coffee and expertise in trends and menu innovation, DaVinci is the beverage brand of choice for the foodservice professional. Their product range is designed to provide end-to-end solutions and support specialty coffee professionals in their mission to create inspirational beverages. Follow us at DaVinci Europe, DaVinci North America, or using #WeAreDaVinciGourmet. Two economists from the International Coffee Organization suggest that a rise in protectionist economic policies has not yet resulted in trade barriers significantly impacting the coffee sector. In a feature for Global Coffee News, Dr. Christoph Saenger and Carmen Steinmetz shared a quantitative analysis of trade interventions implemented between 2009 and 2019. The analysis compares the number of “harmful” or “protectionist” interventions, like tariffs and state loans, against “liberalizing” interventions across member countries, but does not track the impact of individual interventions on the coffee sector. The feature also notes that interventions are reported with a time-lag, with the figures for 2019 and 2020 understating the true number of policies implemented in those years, which reflect a period of increased stress on the international trade system, including the ongoing Sino-American trade war. Coffee berry borer has been discovered on the Hawaiian Island of Kaua’i for the first time. The pest, whose larvae feed on coffee beans, has devastated coffee production throughout parts of Africa and the Americas for decades. Despite strict green coffee quarantining measures in effect for Hawaii’s islands, the borers have been previously found on the island of Hawai’i in 2010, the island of O’ahu in 2014, and on Maui in 2016. The island of Kaua’i is home to the largest coffee farm in the United States, Kauai Coffee, which maintains 4 million coffee trees on more than 3,000 acres. A coordinated effort to contain and manage the pest has begun as harvest season on the island—also home to several smaller commercial coffee farming and roasting operations—is already underway. Readers of the UK’s popular press have been inundated with stories of the London arrival of Neguse Gemeda Mude’s top-scoring lot from the inaugural Ethiopian Cup of Excellence competition, covered in Recap Episodes 10 and 12. Harrods, a luxury department store, and Difference Coffee, who specialize in producing specialty microlot capsules from rare and expensive lots, successfully bid for the top lot with a buying group featuring Japan’s Maruyama Coffee and Saza Coffee, the US’ Comeeter and Goodboybob Coffee, and Taiwan’s Orsir Coffee. Most of the coverage from the UK’s popular press is unfortunately focused solely on the price of the winning coffee as sold by Queens of Mayfair, who were granted exclusive access to some of Difference Coffee’s share. Offering only 15 total servings, two of which have been purchased by media outlets reviewing the coffee, Queens of Mayfair has priced its tableside service of Neguse Gemeda Mude’s coffee in a crystal wine glass at GB£50 per cup. Conversely,  two long-form accounts of challenges facing coffee’s complex value-generating ecosystem and the impacts they’ll have on coffee farmers were also recently released. In the Atlantic, Maryn McKenna traced the history and impact of coffee leaf rust in a story spotlighting Guatemalan farmers. Acknowledging the role of colonialism in coffee’s history, the feature critically covers the historic and present role of the Norman Borlaug Institute for International Agriculture at Texas A&M University, who are a part of the global research infrastructure working to find solutions to coffee leaf rust. Similarly, a video by VOX Atlas explores the impact of climate change on the future of coffee production with a particular focus on Colombia, featuring interviews with coffee farmers alongside historic footage of previous coffee crises. These popular media features mark a step forward in socializing the myriad impacts of the climate crisis on the complex coffee system. This episode of Recap was made possible with the support of DaVinci. If you want to dive deeper into anything you heard today, check out the links in the description of this episode. Recap will be back in two weeks’ time. Thanks for listening. Further Reading:  ICO Economic Report: The Ultimate Disrupter (Global Coffee Review)  Coffee Borer Discovered on Kaua'i  Coffee Borer Found for First Time on Hawaiian Island of Kauai (Daily Coffee News)  First Coffee Berry Borer Beetle Detected on Kauai (Honolulu Star-Bulletin)  The First Kaua’i Coffee Borer Beetle Has Now Been Confirmed (Sprudge)  Coffee Berry Borer Confirmed on Kauai (Hawaii Tribune Herald)  Queens of Mayfair Promotes Arrival of Ethiopian Cup of Excellence Coffee  ‘Reminds Me of Vegetable Soup’: How Does a GB£50 Cup of Coffee Taste? (The Guardian)  London Coffee Shop Sells “Most Expensive Cup of Coffee in UK” for GB£50 (The Independent)  Wake Up and Smell the GB£50-a-cup-coffee… and a Whiff of Money to Burn (The National)  A Latte Dosh: The Most Expensive Coffee Served in the UK Costs a Staggering GB£50 a Cup (The Sun)  Other recent coverage of specialty coffee has taken a more nuanced approach Coffee Rust is Going to Ruin Your Morning (The Atlantic)  The Global Coffee Crisis is Coming (Vox Atlas)  

#18 | September 24, 2020

Welcome to Recap, a brief overview of recent coffee developments every two weeks from the Specialty Coffee Association, made possible with the support of DaVinci. Special Thanks to Our Sponsor, DaVinciThis episode of Recap is made possible with support from DaVinci. With its heritage in specialty coffee and expertise in trends and menu innovation, DaVinci is the beverage brand of choice for the foodservice professional. Their product range is designed to provide end-to-end solutions and support specialty coffee professionals in their mission to create inspirational beverages. Follow us at DaVinci Europe, DaVinci North America, or using #WeAreDaVinciGourmet. In Episode #15, we covered the rise of the C market price for coffee, largely attributed to the shifting relationship between the US dollar and the Brazilian real. An increase in price was further bolstered across August by concerns over low levels of coffee outputs and exports. But supplies may not be tight for long: Brazil has managed a bumper crop this year despite difficult weather and COVID-19 restrictions. Combined with a weak currency, this has made Brazilian coffee more competitive than washed Arabica from Central America. Bloomberg reports that major traders are preparing to ship Brazilian coffee to warehouses for approval to replenish dwindling coffee stockpiles, at their lowest level since 2000. On Tuesday, September 7, Reuters reported that 855 60 kg bags of Brazilian Arabica were accepted by exchange warehouses in Antwerp, more than doubling the amount of Brazilian coffee in the warehouse in one day. Accepted deliveries of Brazilian coffee to the exchange are rare: Arabica futures are backed by washed coffees, while Brazil produces mostly natural and pulped natural, or “semi-washed,” coffees. However, this season’s record crop is of high quality and expected to contain a fair amount of semi-washed coffees, which are more likely to be certified as deliverable. If further shipments are accepted as meeting the requirements of the commodity market, the increase in warehouse supply could destabilize the steady growth of the C market price over the past two months. Qima Coffee, a Yemeni coffee specialist, announced it has discovered a new genetic group of Arabica. In partnership with coffee geneticist Christophe Montagnon, Qima Coffee undertook a multi-year research project that conducted genetic fingerprinting of over 130 Arabica samples across 25,000 sq. km. The new genetic group has been named Yemenia, which can be translated to “the Yemeni mother,” and has been touted as the most significant finding in Arabica coffee since the centuries-old discoveries of the other major Arabica groups Typica, Bourbon, and the SLs. The results of the research project have been submitted for publication to the Genetic Resources and Crop Evolution Journal. Qima Coffee will partner with the Alliance of Coffee Excellence to host a public auction focused entirely on Qima’s coffees, with 15 of the 20 lots on offer made up of the newly discovered, high-scoring Yemenia genetic group. The International Coffee Organization, Inter African Coffee Organization, and the Center for Agriculture and Biosciences International have proposed a plan to alleviate the impacts of the COVID-19 pandemic on the African coffee sector. The US$14 million dollar plan is designed to improve food security for smallholders suffering from a prolonged period of low coffee prices exacerbated by the effects of the pandemic on infrastructure and markets. Scheduled to take place over three years and across 11 countries, the plan seeks to both boost coffee exports and encourage the addition of other crops for cash and consumption. Supported by the African Union Commission, the proposal has now been submitted to the European Commission for consideration. Flash Coffee, an Indonesian coffee chain that recently made the jump to Thailand, appears to be thriving despite the difficult operating conditions of the pandemic. Seeking to blend a specialty coffee menu with affordable prices and tech, Flash Coffee worked with Thai World Latte Art Champion Arnon Thitiprasert, to build their offering. The company’s Managing Director, Pan Leenutaphong, remarked, “if anything, COVID-19 has facilitated our launches, and landlords have been more welcoming to our new concept.” Flash Coffee Thailand launched their first store in May of this year with funding from Rocket International, a Berlin tech incubator. The company plans to use technology to enhance operational performance and to facilitate other core parts of its business. This episode of Recap was made possible with the support of DaVinci. If you want to dive deeper into anything you heard today, check out the links in the description of this episode. Recap will be back in two weeks’ time. Thanks for listening.Further Reading:  Coffee Struggles for Direction as ICE Prepares Brazil Supply Dump (FXDaily Report)  August Marks the Second Consecutive Monthly Rise in Coffee Prices (Global Coffee Report)  Brazil is Preparing to Flood the NY Coffee Market with Beans (Bloomberg)  Rare Batch of Brazilian Coffee Certified by ICE Exchange (Reuters)  Yemenia: The Coffee Discovery of the Century (Qima Coffee)  Making Coffee History: Yemenia (Fresh Cup)  Qima Auction Brings World’s First Offering of Yemenia Coffee Genetic Group (Global Coffee Report)  ICO, IACO, and CABI Launch US$14 Million Plan to Improve Food Security for Coffee Farmers in Africa (Daily Coffee News)  Building the post-COVID-19 Resilience for Africa’s Coffee Sector (Global Coffee Report)  This Startup Coffee Chain is Everywhere and Pan Leenutaphong Tells Us All About It (Prestige)  

#17 | September 10, 2020

Welcome to Recap, a brief overview of recent coffee developments every two weeks from the Specialty Coffee Association, made possible with the support of DaVinci. Special Thanks to Our Sponsor, DaVinciThis episode of Recap is made possible with support from DaVinci. With its heritage in specialty coffee and expertise in trends and menu innovation, DaVinci is the beverage brand of choice for the foodservice professional. Their product range is designed to provide end-to-end solutions and support specialty coffee professionals in their mission to create inspirational beverages. Follow us at DaVinci Europe, DaVinci North America, or using #WeAreDaVinciGourmet. Welcome to Recap, a brief overview of recent coffee developments every two weeks from the Specialty Coffee Association, made possible with the support of DaVinci. As communities endure lockdown around the world, market researchers are tracking a strong increase in at-home consumption. In the UK, the Guardian reports that consumers spent an additional GB£24 million in tea and coffee sales across July. Across the Atlantic, Keurig and Breville both reported increases in sales of their respective home brewing devices. Searches for coffee subscription services—whether for whole bean, ground, or specialty instant offerings—yield numerous features across popular media outlets touting lists of “the best coffee subscriptions for every kind of coffee lover.” Less anecdotally, the SCA’s own research with Square showed a 109% increase in subscription coffee sales for coffee shops. A separate SCA COVID-19 community impact survey confirmed this trend, reporting that 42% of the responding businesses saw a significant increase in online coffee revenues. As specialty coffee roasters around the world worked to grow their online sales, an explosion of brew guides and other home-consumption content appeared across our feeds. This trend for increased at-home coffee consumption is reflected across investment news outlets. JDE Peet’s, which encompasses several coffee brands including Peet’s Coffee, L’OR, Douwe Egberts, Tassimo, and Kenco, reported growth across the first half of 2020 despite the challenges of the COVID-19 pandemic. The company attributed this to the variety of companies in its portfolio, remarking that it allowed them to “quickly adapt to rapidly changing consumer habits, following the dynamic shift of cups from the away-from-home to the in-home environment.” Nestlé and Nespresso reported similar growth across the first half of 2020, particularly across their coffee at-home product category. But the trend isn’t limited to large, multinational brands: At this year’s Re:co event, James Watson, a beverage analyst with Rabobank, reported strong growth in US grocery sales of whole bean coffee since March. This metric is often used as a proxy for specialty coffee sales.As the pandemic continues to push consumers into this segment of the market, some specialty coffee companies have begun to focus on making coffee easier for consumers to access and enjoy. In Australia, Market Lane set up a vending machine full of roasted coffee and brewing equipment outside of their shop for customers’ 24-hour access. Online retail is one way to reach customers through fluctuating lockdowns, so some roasting companies are exploring more “ready to drink” options, like white-label specialty instant coffee services or growlers of cold coffee. Notably, Cometeer, a company offering frozen specialty-grade coffee has participated in group purchases of the 2020 Cup of Excellence winning lots across Ethiopia, Nicaragua, Guatemala, El Salvador, and Costa Rica. Cometeer’s coffee capsules were the recipient of a 2019 Specialty Coffee Expo Best New Product Award in the Open Class category. Despite more people brewing at home, coffee companies are still struggling with the current climate of work closures and social distancing measures. In the second iteration of our COVID-19 community impact survey, 48% of respondents said the impact on their business was significantly or existentially negative. However, there was a significant shift in optimism between the surveys, opened in March and June, as specialty coffee companies are learning to adapt and survive in the current pandemic.This episode of Recap was made possible with the support of DaVinci. If you want to dive deeper into anything you heard today, check out the links in the description of this episode. Recap will be back in two weeks’ time. Thanks for listening. Further Reading:  Market researchers are tracking a strong increase in at-home consumption. COVID-19 and Specialty Coffee Survey Response: Survey Results and Key Learnings (SCA News) Second Community Survey: Continued Impact of COVID-19 (SCA News; results forthcoming!)  Specialty Coffee Consumption and COVID-19: The 2020 Square x SCA Coffee Report (SCA News)  JDE Peet’s In-Home Sales Leads to Strong Growth in First Half of 2020 (Global Coffee Report) Nestle and Nespresso Report Growth Despite COVID-19 in Half-Year Results (Global Coffee Report) Caffeine Consumption ‘Spiking’ As People Swap Cafés for Coffee at Home (Rolling Stone) 12 Best Coffee Subscriptions for Every Kind of Coffee Lover (Good Housekeeping) JDE Peet’s, Nestle, and Nespresso report growth in the first half of 2020.  JDE Peet’s In-Home Sales Leads to Strong Growth in First Half of 2020 (Global Coffee Report) Nestle and Nespresso Report Growth Despite COVID-19 in Half-Year Results (Global Coffee Report) Specialty coffee companies have focused on new ways to make coffee easier for consumers to access and enjoy.  Market Lane set up a roasted coffee and equipment vending machine (Instagram)  Independent coffee hosp reported a 129% increase in sales of “growlers,” large glass jugs filled with ready-to-drink cold coffee (2020 SCaure x SCA Coffee Report)  Cometeer has participated in the winning bids for the top lots of all 2020 Cup of Excellence Auctions so far (Alliance for Coffee Excellence) Ethiopia 2020 Nicaragua 2020  Guatemala 2020  El Salvador 2020  Costa Rica 2020  Despite more people brewing at home, coffee companies are still struggling with the current climate of work closures and social distancing measures. The World is Drinking Less Coffee While Office Workers Stay at Home (Bloomberg)  Somehow We’re All Getting By on Less Coffee Than Usual This Year (Food and Wine Magazine) Coffee Drinkers Stay Home, Hitting Some Beans Harder than Others (Wall Street Journal) 

#16 | August 27, 2020

Welcome to Recap, a brief overview of recent coffee developments every two weeks from the Specialty Coffee Association, made possible with the support of DaVinci. Special Thanks to Our Sponsor, DaVinciThis episode of Recap is made possible with support from DaVinci. With its heritage in specialty coffee and expertise in trends and menu innovation, DaVinci is the beverage brand of choice for the foodservice professional. Their product range is designed to provide end-to-end solutions and support specialty coffee professionals in their mission to create inspirational beverages. Follow us at DaVinci Europe, DaVinci North America, or using #WeAreDaVinciGourmet. Last week, Arabica coffee futures rose to US$1.27 per pound, up from this year’s low of US$0.92 per pound in June. But there’s little cause for celebration: the rise in price can be attributed to a shifting relationship between currencies. Although coffee is traded in US dollars on the Intercontinental Exchange, local production costs of the biggest coffee producer are measured in Brazilian reales. As a result, coffee prices tend to rise when the real strengthens against the dollar, as it has been doing for the past few weeks. The interplay of exchange rates adds a layer of complexity to C market price, especially when other currencies don’t have a similar relationship with the US dollar. A drop in the real against the dollar usually means the dollar goes further in covering Brazilian farmers’ costs. However, if another coffee producing country’s currency remains stable, the dollar will be worth the same in worker wages and fertilizer as it's always been—but the producer will receive less.One of Beirut’s first specialty coffee shops is seeking support to rebuild following a devastating explosion at the Port of Beirut last Tuesday, August 4. Located within 2km of the blast site, Kalei Coffee Co.’s Mar Mikhael coffee shop first opened in 2015, preserving a 1950s house abandoned in 1984 during Lebanon’s civil war. Kalei Coffee, like many businesses in Beirut, had just survived a two-month closure during Lebanon’s COVID-19 lockdown. Across social media, the Kalei team confirmed that they all survived the explosion but acknowledged that the damage to the shop is considerable. The message continues: “The thought of rebuilding is definitely not our first instinct, because we reject the idea that our people should continue to accept to be called ‘resilient’ at the price of starting over and over again this way.” However, messages of support have encouraged the team to start a fund to rebuild Kalei Mar Mikahel, with any donations beyond what’s required sent to a trusted, local NGO. Despite opening at a lowered base price to account for pandemic-related financial hardship, the 17th El Salvador Cup of Excellence Auction set a new price per pound record of US$23.53, nearly US$10 higher than the previous record set in 2017. The winning lot, a natural anaerobic process Pacamara from Roberto Samuel Ulloa Vilanova of Finca Divinia Providencia, received US$80.10 per pound, the second-highest price paid in the Salvadoran competition’s history. As with previous years, nearly 65 percent of this year’s top-scoring coffees were Pacamaras, a cross between the Pacas and Marigogipe varieties, grown primarily in El Salvador. While capable of producing exceptional cup quality, Pacamara is highly susceptible to coffee leaf rust, coffee berry disease, and nematodes. A recent survey by the nonprofit Hanns R. Neumann Stifung, or “HRNS,” suggests that COVID-19 will have a long term impact on the livelihood of smallholder families. The survey solicited responses from smallholder farmers across Indonesia, Ethiopia, Uganda, Tanzania, Brazil, Guatemala, and Honduras. Echoing other recent surveys by the International Coffee Organization and Caravela Coffee, the HRNS survey results suggest that the effects of climate change might be more difficult to manage for smallholders. The ongoing pandemic makes it difficult to access farm labor and resources used in coffee production like equipment and fertilizers, both of which are often used to mitigate the effects of climate change like drought and increased pest activity. According to the survey report, “farmer families face higher production costs at a prospect of lower revenues.” Given the C market’s continued volatility and the impact that currency exchange rates have on how far revenues might—or might not—stretch to cover farm costs, this is a grim prospect for smallholder coffee farmers everywhere. This episode of Recap was made possible with the support of DaVinci. If you want to dive deeper into anything you heard today, check out the links in the description of this episode. Recap will be back in two weeks’ time. Thanks for listening. Further Reading:  With USD Slump, Sugar Becomes Sweeter and Coffee Percolates to the Upside (Investing.com) Help Us Fix Kalei Mar Mikhael #Beirut Explosion (GoFundMe) Message to Kalei Friends (Facebook) / Message to Kalei Friends (Instagram) Beirut: Kalei Coffee’s Beautiful Vision for Cafe Culture in Lebanon (Sprudge) Beirut Baristas Try to Revive City’s Once Vibrant Cafe Culture (The Guardian)  Beirut Residents Mourn Destruction Amid Transformed Cityscape (Reuters)  Lebanon Restaurants on the Brink: Corona Intensifies Economic Crisis (Saudi Gazette) Kalei Coffee Co.  El Salvador Cup of Excellence 2020 Results  Alliance for Coffee Excellence  El Salvador 2020 - Cup of Excellence  Pacamara - Variety Catalog, World Coffee Research  Impact of COVID-19 on Smallholder Families’ Livelihoods (Hanns R. Neumann Stifung) 

#15 | August 13, 2020

 Welcome to Recap, a brief overview of recent coffee developments every two weeks from the Specialty Coffee Association, made possible with the support of DaVinci. Special Thanks to Our Sponsor, DaVinciThis episode of Recap is made possible with support from DaVinci. With its heritage in specialty coffee and expertise in trends and menu innovation, DaVinci is the beverage brand of choice for the foodservice professional. Their product range is designed to provide end-to-end solutions and support specialty coffee professionals in their mission to create inspirational beverages. Follow us at DaVinci Europe, DaVinci North America, or using #WeAreDaVinciGourmet. World Coffee Events and the Specialty Coffee Association have announced the cancellation of the 2020 World Coffee Championship events due to the impact of pandemic-related international visa and travel restrictions. The 2020 World Barista Championships and World Brewers Cup were scheduled to take place November 3-6 at the Melbourne International Coffee Expo (MICE) trade show, which has now been canceled. The World Coffee In Good Spirits, World Latte Art, World Cup Tasters, World Coffee Roasting, and Cezve/Ibrik Championships were scheduled to take place during World of Coffee Warsaw October 15-17. The SCA is currently working with partners at the Warsaw PTAK venue to cancel the 2020 World of Coffee trade show and postpone the contract to a future year; more information on this will be available in the coming weeks. The World Barista Championship, World Cup Tasters Championship, and Cezve/Ibrik Championship will next be held at the World of Coffee Athens trade show in June of 2021.More than 100 scientists published a signed statement to reassure the public that reusable containers are still safe to use amid the ongoing pandemic. Some cafés have stopped accepting reusable containers over fears of virus contamination. While studies show that the virus can remain infectious on surfaces, the scientists’ statement advises that reusable containers can be used safely once thoroughly washed with hot water and detergent or soap. Some coverage of the statement suggests that reusable containers could actually be safer if regularly and properly washed rather than single-use items that have been exposed to the environment before use. Others note that a washed reusable container could still become contaminated with and transmit the virus as it’s passed between a customer and server. As the environmental battle to reduce single-use plastic waste clashes with the measures taken to mitigate risk during the pandemic, there are fears that the push for sustainable and reusable packaging is being set back. While some packaging companies are attempting to leverage the pandemic against government initiatives to reduce waste, a ban on single-use plastics is still scheduled to come into force in Europe next year.Xinhua reports that a Ugandan start-up, Volcano Coffee, is using coffee kiosks to drive domestic consumption. Focused on specialty Arabica grown on the volcanic Mount Elgon ranges in eastern Uganda, Volcano Coffee is hoping to shift the perception that coffee is only for export. Uganda’s population only consumes 4-5% of the coffee produced in the country, despite it being the second-largest producer of coffee in Africa after Ethiopia. In addition to growing domestic consumption, Volcano Coffee also aims to tackle Uganda’s significant youth unemployment by reintroducing them to agriculture through its youth academy, which focuses on the coffee value chain. According to Volcano Coffee’s founder,  Gerald Katabazi, a developed domestic market is less likely to suffer global upsets like the COVID-19 pandemic. The company’s efforts come at a time when Uganda is also looking to expand exports beyond the traditional market in Europe: last year, the country had signed an agreement with China’s Yunnan Coffee Exchange and was due to feature as the China International Specialty Coffee Expo’s portrait country this year. This episode of Recap was made possible with the support of DaVinci. If you want to dive deeper into anything you heard today, check out the links in the description of this episode. Recap will be back in two weeks’ time. Thanks for listening. Further Reading:  World Coffee Events and the Specialty Coffee Association have announced the cancellation of the 2020 World Coffee Championship events.  More than 100 scientists published a signed statement to reassure the public that reusable containers are still safe to use amid the ongoing pandemic. Reusable Containers Safe During COVID-19 Pandemic Say Experts (The Guardian) Coronavirus: Why We Should End the Pandemic Ban on Reusable Cups (The Conversation) Ugandan Startup Drives Domestic Consumption in Tea-Drinking Nation (Xinhua)  

#14 | July 30, 2020

Welcome to Recap, a brief overview of recent coffee developments every two weeks from the Specialty Coffee Association, made possible with the support of DaVinci. Special Thanks to Our Sponsor, DaVinciThis episode of Recap is made possible with support from DaVinci. With its heritage in specialty coffee and expertise in trends and menu innovation, DaVinci is the beverage brand of choice for the foodservice professional. Their product range is designed to provide end-to-end solutions and support specialty coffee professionals in their mission to create inspirational beverages. Follow us at DaVinci Europe, DaVinci North America, or using #WeAreDaVinciGourmet. Three years after they announced plans to merge under the Rainforest Alliance name, Rainforest Alliance and UTZ have announced a new Sustainable Agriculture Standard that will replace both programs in July 2021. Over 1,000 people across more than 50 countries have contributed to the new standard’s development over the past two years. Expected to be adopted by an existing network of at least two million farmers around the world, the new certification program has separate requirements for farms and supply chains, as well as new compliance procedures and documents. According to Rainforest Alliance, the new seal that accompanies the program promises more “shared responsibility,” including a mandatory sustainability differential above the market price, a required sustainability investment component, and greater support for climate-adaptive agriculture. A training program for current certificate holders, Rainforest Alliance staff, and Certification Bodies will be available from September 2020. The International Coffee Organization has released the third report in its series on the impact of the COVID-19 crisis on the global coffee sector. Focused on exporting country members that represent more than 80% of global coffee production, the survey results provide a snapshot of current perceptions of trends, including expectations that employment, revenues, domestic consumption, and export will all be negatively affected by the pandemic over the next year. The report highlights a concern expressed by over half the respondents that sales contracts were canceled or changed, mirroring a recent prediction by the US Department of Agriculture that global coffee consumption is set to fall this year for the first time since 2011. Guatemala has officially begun its exit from the International Coffee Agreement of 2007, the driver of all the ICO’s activities. Following its departure on September 30, Guatemala will be the only major coffee-producing country that is not a part of the agreement. The 2007 agreement made headlines in 2018 when the US, a founding member of the original 1963 agreement, unexpectedly withdrew. These departures have a significant impact on the organization's budget, which is funded through contributions from its importing and exporting partners based on annual coffee trade volumes. Ricardo Arenas, head of Anacafe’s Board of Directors, said the Guatemalan coffee association had urged the government to cut ties with the organization as it did not do enough to protect producers’ interests. This episode of Recap was made possible with the support of DaVinci. If you want to dive deeper into anything you heard today, check out the links in the description of this episode. Recap will be back in two weeks’ time. Thanks for listening. Further Reading:  The Rainforest Alliance 2020 Certification Program Is Here  Rainforest Alliance Unveils Sweeping New Certification Program (Daily Coffee News)  Impact of COVID-19 on the Global Coffee Sector: Survey of ICO Exporting Members  ICO Surveys Exporting Members on Impact of COVID-19 (Global Coffee Report)  The World is Drinking Less Coffee While Office Workers Stay Home (Bloomberg)  Guatemala to Exit the International Coffee Agreement  Guatemala to Exit the International Coffee Agreement (Daily Coffee News)  Update 2: Guatemala to Leave International Coffee Organization, Sources Say (Reuters)  

#13 | July 16, 2020

Welcome to Recap, a new podcast from the Specialty Coffee Association that offers a brief overview of recent developments in coffee every two weeks.

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Recap: Recent Developments in Coffee

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