Emerging possibilities and constraints to Papua New Guinean smallholder coffee producers entering the speciality coffee market

Papua New Guinea produces around 1 percent of the world's coffee, most of it Arabica. The average price it achieves for its coffee is below the price of many comparable Arabica-producing countries. Most of Papua New Guinea's coffee comes from smallholders producing parchment using a villag...

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Main Authors: Murray-Prior, Roy, Batt, Peter
Format: Conference Paper
Published: FAO-UN 2007
Subjects:
Online Access:http://hdl.handle.net/20.500.11937/26408
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author Murray-Prior, Roy
Batt, Peter
author_facet Murray-Prior, Roy
Batt, Peter
author_sort Murray-Prior, Roy
building Curtin Institutional Repository
collection Online Access
description Papua New Guinea produces around 1 percent of the world's coffee, most of it Arabica. The average price it achieves for its coffee is below the price of many comparable Arabica-producing countries. Most of Papua New Guinea's coffee comes from smallholders producing parchment using a village-level, wet processing method. One of the major obstacles to the improvement of coffee quality in Papua New Guinea is the failure of the current marketing system to give the right price signals to growers, in terms of different prices for different qualities of parchment. The marketing system is highly competitive, with large numbers of traders and roadside buyers purchasing small quantities of parchment from smallholder coffee producers. Since many of the taste faults in coffee cannot be detected at the parchment stage it is not possible to reward smallholders who produce superior tasting coffee. Historically, two coffee chains have coexisted in the Papua New Guinea industry, with the plantation chains, a remnant of colonial occupation, producing higher quality coffee for the speciality market. In contrast, the smallholder chains produce coffee for the soluble market. While the market determines quality and hence price essentially by consistency of taste, the government regulated grading system for green bean determines quality by bean size and the level of defects. The two are not necessarily correlated. Furthermore, cultural differences between plantation farmers, exporters and smallholder farmers, contribute to the perception by smallholders that lower prices are due to excessive profits in the processing export sector rather than to any inherent problems with coffee quality. A number of solutions have begun to emerge which will be explored.
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spelling curtin-20.500.11937-264082017-01-30T12:53:16Z Emerging possibilities and constraints to Papua New Guinean smallholder coffee producers entering the speciality coffee market Murray-Prior, Roy Batt, Peter smallholder coffee chains quality Papua New Guinea produces around 1 percent of the world's coffee, most of it Arabica. The average price it achieves for its coffee is below the price of many comparable Arabica-producing countries. Most of Papua New Guinea's coffee comes from smallholders producing parchment using a village-level, wet processing method. One of the major obstacles to the improvement of coffee quality in Papua New Guinea is the failure of the current marketing system to give the right price signals to growers, in terms of different prices for different qualities of parchment. The marketing system is highly competitive, with large numbers of traders and roadside buyers purchasing small quantities of parchment from smallholder coffee producers. Since many of the taste faults in coffee cannot be detected at the parchment stage it is not possible to reward smallholders who produce superior tasting coffee. Historically, two coffee chains have coexisted in the Papua New Guinea industry, with the plantation chains, a remnant of colonial occupation, producing higher quality coffee for the speciality market. In contrast, the smallholder chains produce coffee for the soluble market. While the market determines quality and hence price essentially by consistency of taste, the government regulated grading system for green bean determines quality by bean size and the level of defects. The two are not necessarily correlated. Furthermore, cultural differences between plantation farmers, exporters and smallholder farmers, contribute to the perception by smallholders that lower prices are due to excessive profits in the processing export sector rather than to any inherent problems with coffee quality. A number of solutions have begun to emerge which will be explored. 2007 Conference Paper http://hdl.handle.net/20.500.11937/26408 FAO-UN fulltext
spellingShingle smallholder coffee chains quality
Murray-Prior, Roy
Batt, Peter
Emerging possibilities and constraints to Papua New Guinean smallholder coffee producers entering the speciality coffee market
title Emerging possibilities and constraints to Papua New Guinean smallholder coffee producers entering the speciality coffee market
title_full Emerging possibilities and constraints to Papua New Guinean smallholder coffee producers entering the speciality coffee market
title_fullStr Emerging possibilities and constraints to Papua New Guinean smallholder coffee producers entering the speciality coffee market
title_full_unstemmed Emerging possibilities and constraints to Papua New Guinean smallholder coffee producers entering the speciality coffee market
title_short Emerging possibilities and constraints to Papua New Guinean smallholder coffee producers entering the speciality coffee market
title_sort emerging possibilities and constraints to papua new guinean smallholder coffee producers entering the speciality coffee market
topic smallholder coffee chains quality
url http://hdl.handle.net/20.500.11937/26408