I already referred to this topic in the past but not in detail. I would like to write in a very simple way about the current process of grading and pricing the coffee in Colombia right after the dry parchment leaves the farm.
In Colombia, the coffee is mostly traded in dry parchment with average moisture content of 10% to 12.5%. Growers harvest the ripe cherries then undergo a wash and dry process before it’s ready to trade. Growers packed the coffee in bags with an average weight of 62.5 kg (138 Lb) each. Two of these bags made one “carga”.
Every day, when the C market closes, the National Federation of Coffee Growers (FNC) posts the daily official price on his website as base price to paid: (http://www.federaciondecafeteros.org/static/files/precio_cafe.pdf)
Growers usually have two options to sell their product. One is the local coffee coop, which works best with the daily official price or the private buyers who work for big coffee multinational. The majority of the coffee sold is bought according to its physical quality. The purpose of this article is not to argue between these two buying options but I believe the more alternatives farmers find in their local community the better chances to negotiate a better price.
When a parchment is analyzed, two main components of the price are recognized to growers. What we called “almendra sana” or healthy green bean and “almendra defectuosa” or low-grade bean. For instance, if any grower shows up with 1 “carga” at the buying point a sample may be pulled then reduced to a small batch or analytical sample. Based on that analytical sample of 250 grs (8,8 oz) of parchment, the process starts by hulling it then decomposing in two main groups of beans, one containing the healthy beans and the other one the low-grade beans. At this point the remaining husk is discarded. If the healthy beans represent more than 75% of the initial weight of 250 gr. the grower received an “Incentivo” or extra money.
Following the example, if the growers with 1 “carga” reach the buying point, after performing the analysis they found 80% of healthy beans and 0 % low grade beans the final price paid for that “carga” may increase around 7%.
This buying system replaces the yield factor method that was based on healthy green content as well as size of the green beans. I would like to add that prices paid to the grower may vary up and down if the cupping or tasting analysis turn out to be a splendid coffee or completely the opposite. In addition, growers who farms have been certified with a Fair Trade, Rain Forest or any other seal may able to receive an additional price.
I do believe that growers must get paid more if they are able to produce coffee based on exceptional physical and taste characteristics.
I have a question for you, despite if I look stupid I am interested to know and am having a hard time fining out for sure. Is Portland Roasting Co. Fair Trade certified? You mentioned that those farmers who are should be paid more for their coffee. I am wondering if you are Fair Trade certified?
I hope that makes sense.
Thank you for writing, we are not trading Fair Trade coffee in quantity, just few of our seasonal offerings are Fair Trade certified. We believe our approach is better because we do not only care about the social conditions of the growers but also pay above fair trade price which currently is 1,31 per pound. We are not only paying way above that price to farmers who signed in Farm Friendly program but also provide further incentives through out specific projects in those coffee growing areas. Hope this help.
Hello
I am trying to understand the buying process of coffee from Colombian farmers, with the purpose of exporting to the U.S., Canada, and Europe. Could you please explain the process or refer to useful resources? Thank you in advance.