Monday, May 20, 2013

Latin American Coffee Market

From the Ground Up works in Nicaragua, Guatemala, Mexico and Peru, and therefore cares a great deal  about the people and economy in these countries. Overall, in the 2012-2013 harvest year, production was down 20% in Central America due to coffee rust ("La Roya") and adverse weather conditions. 
Coffee Rust Fungus is particularly hazardous for coffee regions of Latin America

Updates by country:

Production was estimated to be down by as much as 400,000 quintales this harvest due to La Roya. This decrease in production affects exports and also impacts coffee prices worldwide.

Coffee export sales down 17.9% in 2012 compared to the same period in 2011. Although they have increased export volume, the export sales by income has decreased. "According to Anacafe, thee Coffee Exporters Association, the drop in income is due to market supply and demand, the international economic crisis and increased production in Brazil and Vietnam." -Coffee Talk Magazine

The government of Mexico, through the Secretariat of Agriculture, has launched an emergency program to mitigate coffee rust, especially in Chiapas and Veracruz, the two main coffee-producing states. Fortunately, production volume is up by 3.5% from the previous year's harvest.

Low yields in the 2012 harvest due to scarcity of labor and the spread of coffee rust fungus caused an estimated 25% drop in production compared to 2011.

From the Ground Up is working with coffee farmers in Nicaragua to replace all old and dying coffee trees with new coffee trees in the next five years. Read more on our website: 

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