Saturday, May 31, 2003

Coffing up for coffee

Mike Girling and Zoe Flood find a fairer way to deal with producers of raw exports in the developing world

You haven't started the reading yet and the tutorial is tomorrow morning. The long night looms ahead of you, but one thing allows you to churn out the obligatory 2,000 words: the miracle drug that is coffee. Students across the University rely on the stuff for their academic survival, but for millions of people across the globe, their lives are dependent on coffee.

As the price of coffee fluctuates on the world commodity market, the farmers at the bottom of the scale are left vulnerable to these unpredictable volatilities. Over the last couple of years, the cost of raw coffee has plummeted, leaving millions of farmers worldwide unable to provide for their families. It is a sad but chilling law of economics; as the supply outstrips demand, the price falls and consequently most producers are now selling below the cost of production.

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