Tuesday, January 11, 2011

Coffee is The World's Giant

The amount of coffee traded on the present era is very large, coffee became the second commodity most heavily traded after crude oil. World coffee production in 2004 is projected to approximately 63 million metric tons. According to the source of Global Exchange, 2004, coffee sales worth about $ 50 billion with producers receiving a share of $ 8 billion.

Brazil, Colombia and Vietnam is the best coffee producers in the world, accounting for around half of global production in 2001. Because of the importance of coffee exports in their economies, a number of Latin American countries to make regulations before World War II to allocate export quotas so that each country will be guaranteed to get a certain portion of U.S. coffee market. Regulatory approval first coffee quota was implemented in 1940 and the following agreements negotiated back in 1968, 1976, and 1983. However, due to a shift in the balance of production, the countries that participate failed to sign a new pact approval in 1989 and world coffee prices plummeted because production exceeds demand, and resulted in "the global coffee crisis."

"Fair trade" designed to help farmers who only get the 8 million from 2.6 billion pounds, or 0.3% of coffee sold each year in the USA. With estimates there are 20 million workers who rely on coffee all over the world, developing nations hit hard by the global coffee crisis, due to lower selling prices than the cost of production. Modern farming technology, combined with excess production, mainly due to the economic development of Vietnam and the Ivory Coast, brush contribute to the crisis.

In Latin America tens of thousands of peasants and workers began to migrate to seek alternative employment for coffee plantations began to close. This is not the only disasters due to overproduction, which occurs due to pursuing the purpose of obtaining a cheaper coffee and grow faster. This objective is also the usual cause of forest clearance associated with low quality coffee. In Vietnam alone, the coffee production reached 11% of the world, nearly 15 million acres of land have been ditananami that affect the opening of a vast forest area.

Who is the biggest coffee drinkers? 
Just as with the global major producers, there are also big consumers globally. And if all coffee producing countries combined, they only consume less than a quarter of their production.
There are many variations in terms of domestic coffee consumption between one country to another. Germans consume about 7 pounds of coffee each year, the Austrians 8, the Netherlands 9, the Belgian 6, Italians 5, and the Danes 10. People merupkan Sweden and Finland are the most powerful in terms of consuming coffee, they spent 11 kilos per person each year, while the EU average consume 5 pounds per person each year.

The Americans and Canadians consume about 4.4 kilos of coffee each year, and those who regularly consume tea - the Irish and English-consume about 1.5 and 2.5 kilos per person each year.
Many major coffee producers such as Kenya, Cote d'Ivoire and Vietnam, domestic consumption of less than 0.2 pounds each year (International Coffee Organization -1997), they say that coffee is grown crops to make money.

Although not a producer country, Europe, in contrast to consume more than a third of world coffee production, and North America ranked fifth, and it is interesting to note that coffee consumption per person increased in the more northern group and during the winter.

For the USA the economic level, there are 108 million coffee consumers spent roughly $ 179 billion for coffee every year (SCAA 1999 - Marketing Report.) A quick calculation shows that coffee drinkers-drinkers spend an average $ 164.71 per year for stimulant beverages they love this.

National Coffee Association says that 54% of the adult U.S. population drank regular coffee per day and 25% occasionally (NCA, 2000). Drinkers, coffee drinkers in the United States consume an average of around 3.1 cups per day. In comparison, the Italians consume 14 billion cups of espresso each and every year, and the Italians consume about 3.7 kilos of coffee per capita, and employs more than 270,000 "baristas". USA imports about 120 million pounds of coffee a month, Germany 60 million, Italy 30 million and 15 million British.

With all the facts and figures, the fair for us to assume that coffee consumption has a major effect on social and economic spheres.


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