Can developing countries trade their way out of poverty? International trade has grown dramatically in the last two decades in the global economy, and trade is an important source of revenue in developing countries. Yet, many low-income countries have been producing and exporting tropical commodities for a long time. They are still poor. This book is a major analytical contribution to understanding commodity production and trade, as well as putting forward policy-relevant suggestions for ‘solving’ the commodity problem. Through the study of the global value chain for coffee, the authors recast the ‘development problem’ for countries relying on commodity exports in entirely new ways. They do so by analysing the so-called coffee paradox – the coexistence of a ‘coffee boom’ in consuming countries and of a ‘coffee crisis’ in producing countries. New consumption patterns have emerged with the growing importance of specialty, fair trade and other ‘sustainable’ coffees. In consuming countries, coffee has become a fashionable drink and coffee bar chains have expanded rapidly. At the same time, international coffee prices have fallen dramatically and producers receive the lowest prices in decades. This book shows that the coffee paradox exists because what farmers sell and what consumers buy are becoming increasingly ‘different’ coffees. It is not material quality that contemporary coffee consumers pay for, but mostly symbolic quality and in-person services. As long as coffee farmers and their organizations do not control at least parts of this ‘immaterial’ production, they will keep receiving low prices. The Coffee Paradox seeks ways out from this situation by addressing some key questions: What kinds of quality attributes are combined in a coffee cup or coffee package? Who is producing these attributes? How can part of these attributes be produced by developing country farmers? To what extent are specialty and sustainable coffees achieving these objectives?

The Theory of Fair Trade; Is Fair Trade Free Market?; Benefits & Detriments of Fair Trade; Alternatives to Fair Trade; Fair Trade as a Long-Term Development; Conclusion.

Fair trade and Development : Seventh report of session 2006-07, Vol. 2: Oral and written Evidence

Arising from recent developments at the international level, many developing countries, indigenous peoples and local communities are considering using geographical indications (GIs) to protect traditional knowledge, and to promote trade and overall economic development. Despite the considerable enthusiasm over GIs in diverse quarters, there is an appreciable lack of research on how far and in what context GIs can be used as a protection model for traditional knowledge-based resources. This book critically examines the potential uses of geographical indications as models for protecting traditional knowledge-based products and resources in national and international intellectual property legal frameworks. By analysing the reception towards GIs from developing countries and advocates of development in the various legal and non-legal regimes (including the World Trade Organization, World Intellectual Property Organization, and the Convention on Biological Diversity and the Food and Agricultural Organization), the book evaluates the development potential of GIs in relation to ensuing changes in international intellectual property law in accommodating traditional knowledge. Teshager W. Dagne argues for a degree of balance in the approach to the implementation of global intellectual property rights in a manner that gives developing countries an opportunity to protect traditional knowledge-based products. The book will be of great interest and use to scholars and students of intellectual property law, public international law, traditional knowledge, and global governance.

This accessible report, with illustrations and many visual aids, outlines the extent of the crisis in the coffee market and the reasons behind it, and presents a strategy for action.

We are told that simply by sipping our morning cup of organic, fair-trade coffee we are encouraging environmentally friendly agricultural methods, community development, fair prices, and shortened commodity chains. But what is the reality for producers, intermediaries, and consumers? This ethnographic analysis of fair-trade coffee analyzes the collective action and combined efforts of fair-trade network participants to construct a new economic reality. Focusing on La Voz Que Clama en el Desierto-a cooperative in San Juan la Laguna, Guatemala-and its relationships with coffee roasters, importers, and certifiers in the United States, Coffee and Community argues that while fair trade does benefit small coffee-farming communities, it is more flawed than advocates and scholars have acknowledged. However, through detailed ethnographic fieldwork with the farmers and by following the product, fair trade can be understood and modified to be more equitable. This book will be of interest to students and academics in anthropology, ethnology, Latin American studies, and labor studies, as well as economists, social scientists, policy makers, fair-trade advocates, and anyone interested in globalization and the realities of fair trade.

In a world of high finance, unprecedented technological change, and cyber billionaires, it is easy to forget that a major source of global wealth is, literally, right under our noses. Coffee is one of the most valuable Southern exports, generating billions of dollars in corporate profits each year, even while the majority of the world’s 25 million coffee families live in relative poverty. But who is responsible for such vast inequality? Many analysts point to the coffee market itself, its price volatility and corporate oligarchy, and seek to "correct" it through fair trade, organic and sustainable coffee, corporate social responsibility, and a number of market-driven projects. The result has been widespread acceptance that the "market" is both the cause of underdevelopment and its potential solution. Against this consensus, Gavin Fridell provocatively argues that state action, both good and bad, has been and continues to be central to the everyday operations of the coffee industry, even in today’s world of "free trade". Combining rich history with an incisive analysis of key factors shaping the coffee business, Fridell challenges the notion that injustice in the industry can be solved "one sip at a time" - as ethical trade promoters put it. Instead, he points to the centrality of coffee statecraft both for preserving the status quo and for initiating meaningful changes to the coffee industry in the future.

We study the structure and performance of the coffee export sector in Ethiopia, Africa’s most important coffee producer, over the period 2003 to 2013. We find an evolving policy environment leading to structural changes in the export sector, including an elimination of vertical integration for most exporters. Ethiopia’s coffee export earn-ings improved dramatically over this period, i.e. a four-fold real increase. This has mostly been due to increases in international market prices. Quality improved only slightly over time, but the quantity exported increased by 50 percent, seemingly explained by increased domestic supplies as well as reduced local consumption. To further improve export performance, investments to increase the quantities produced and to improve quality are needed, including an increase in washing, certification, and traceability, as these characteristics are shown to be associ-ated with significant quality premiums in international markets.