How is Ethiopian coffee traded? introduction to the price of Ethiopian coffee beans.

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According to Ethiopian law, there are three coffee export systems: (1) the largest private processing plant system through ECX bidding;(2) cooperative system; and (3) single farm system. Of these three systems, cooperatives and single farms are not directly exported without ECX bidding, and can be said to have completely reliable traceability/product traceability.

However, if we go back to the bottom, after all, co-operatives are purchasing cherries harvested by small farmers for centralized processing, and they are not 100% traceable. A single farm is, after all, the only possibility of moving forward to the next generation.

Source: ECX

Ethiopia Ethiopia Commodity Exchange

The Ethiopia Commodity Exchange (ECX) was founded in 2008 by Eleni Gabre-Madhin, a former World Bank senior economist and director of the International Food Policy Research Institute (IFPRI). The original intention of ECX was to establish the first commodity exchange in Ethiopia and even Africa. By introducing modern trading rules and technologies such as pricing mechanism, warehousing logistics and instant communication means, ECX changed the situation of high transaction risk and high transaction cost in Ethiopian agricultural products market and built an effective, reliable and transparent commodity market.

ECX was widely acclaimed at its inception as transforming Ethiopian agriculture and reducing famine and poverty. In the past, Ethiopian farmers have often been accused of providing market access to more than 2.4 million smallholder farmers through rural cooperatives, as claimed by ECX in overwhelming media coverage.

ECX's coffee trading model goes something like this: First, farmers sell coffee berries to local washing plants, some of which pay higher prices for better quality coffee berries. The processing yard will deliver the processed raw beans to the warehouse of the delivery station.

ECX is equivalent to a "distribution center", which does the following:

1. With better price protection, it buys coffee beans from coffee farmers at a constant and better price and stores them.

2. Coffee classification, the best price is higher;

3. Information timely, coffee farmers can call, immediately get the transaction price, the regional processing station, the regional coffee warehouse and other information;

4. Establishment of storage & processing plants, as of 2012, Ethiopia has 56 warehouses distributed in 17 locations, 9 of which have coffee warehouses, reducing transportation costs.

For example, in the Yerca Sherphine region, the delivery point is Dila, and the raw beans are labeled according to the production area and graded according to the quality and quality of the raw beans. The higher the overall quality, the higher the selling price. Traders buy raw beans through ECX, but the packaging only indicates the origin and village, such as "Yirgacheffe: Konga"(Yirgacheffe: Konga). Yirgacheffe: Kochere

Ethiopian Coffee Cooperative

Farmers 'Cooperative Union

In order to facilitate the direct export of farmers 'cooperatives to the outside world, farmers' cooperatives in various places have set up their own cooperative unions. At present, there are 6 Farmers 'Cooperative Unions in Ethiopia, namely

● Oromia Coffee Farmers Cooperative Union （OCFCU）

● Sidama Coffee Farmers Cooperative Union （SCFCU）

● Yirgacheffe Coffee Farmers Cooperative Union （YCFCU）

● Kafa Forest Coffee Farmers Cooperative Union （KFCFCU）

● Bench Maji Coffee Farmers Cooperative Union （BMCFCU）

● Tepi Coffee Farmers Cooperative Union （TCFCU）

The advantage of cooperative alliance is to unite scattered small farmers with cooperatives to form a large collective, participate in international projects, such as Firetrade, provide a unified export to contact buyers, pay a certain proportion of the harvest to cooperatives, deduct management expenses, reserve part for community development, and pay the rest to small farmers. Small farmers can obtain income more stably and conveniently to meet planting and living expenses. This is why more and more smallholders are willing to join cooperatives.

Sisiga Cooperative (1600-2500 m)

Region: Gedeo-Kochere Kochere

Number of members: 1862

Land Attribute: Red Brown Soil

Certificates: Fair Trade, UTZ Sustainable Grown, Organic Coffee

Finchewan Cooperative (1450- 2000m)

Origin: Gedeo-Wenago

Number of members: 1,271

Land attribute: Red Brown Soil

Certificate: Fair Trade, Organic Coffee

Konga Konga Cooperative (1750- 2300m)

Production area: Gedeo-Yejia Shefei

Number of members: 1,556

Land Attribute: Red Brown Soil

Certificate: Fair Trade, Organic Coffee

Hafursa Cooperative (1750-2300 m)

Production area: Gedeo-Yejia Shefei

Number of members: 1975

Land attribute: Red Brown Soil

Annual production of green coffee beans: 798000 kg

Average farm size: maximum 4 hectares, annual yield of approximately 600 kg per hectare

Cooperative has washing station

Certificate: Fair Trade, Organic Coffee

Resa Cooperative (1000-1400 m)

Origin: Gedeo-Wenago

Number of Members: 2,719

Land attribute: Red Brown Soil

Two sets of coffee processing equipment available

Certificate: Fair Trade, Organic Coffee

Addis Katema Cooperative (1000-1400 m)

Origin: Gedeo-Wenago

Number of members: 891

Cooperative has washing station

Land Attribute: Red Brown Soil

Certificate: Fair Trade, Organic Coffee

Biloya Cooperative (1600-2500 m)

Region: Gedeo-Kochere Kochere

Number of members: 1,203

Land Attribute: Red Brown Soil

Two sets of coffee processing equipment

Certificate: Fair Trade, Organic Coffee

Worka Woka Cooperative (1650-2700 m)

Production area: Gedeb

Number of members: 305

Land attribute: Red Brown Soil

Annual production of green coffee beans: 457000 kg

Average farm size: maximum 4 hectares, annual yield of approximately 699 kg per hectare

Cooperatives have all the treatment equipment

Certificate: Fair Trade, Organic Coffee

Koke Co-op (1750-2300 m)

Production area: Gedeo-Yejia Shefei

Number of members: 828

Land attribute: Red Brown Soil

One set of treatment devices available

Certificates: Fair Trade, UTZ Sustainable Grown, Organic Coffee

Hama Cooperative (1600-2500 m)

Region: Gedeo-Kochere Kochere

Number of members: 1,505

Land attribute: Red Brown Soil

One set of treatment devices available

Certificate: Fair Trade, Organic Coffee

Chichu Cooperative (1410- 2000m)

Production area: Gedeo-Dila

Number of members: 1,675

Land attribute: Red Brown Soil

Average farm size: maximum 4 hectares, annual yield of approximately 591 kg per hectare

One set of treatment devices available

Certificate: Fair Trade, Organic Coffee

Michile Cooperative (1410-2000 m)

Production area: Gedeo-Dila

Number of members: 1,206

Land attribute: Red Brown Soil

Average farm size: Annual yield of approximately 592 kg/ha

One set of treatment devices available

Certificates: Fair Trade, UTZ Sustainable Grown, Organic Coffee

Hase Haro Cooperative (1450- 2000m)

Origin: Gedeo-Wenago

Number of members: 1,519

Land attribute: Red Brown Soil

Average farm size: maximum 4 hectares, annual yield of approximately 591 kg per hectare

One set of treatment devices available

Certificate: Fair Trade, Organic Coffee

Dumerso Cooperative (1750-2300 m)

Production area: Gedeo-Yejia Shefei

Number of members: 246

Land attribute: Red Brown Soil

Two sets of treatment devices available

Certificate: Fair Trade, Organic Coffee

Tumticha Cooperative (1410- 2000m)

Production area: Gedeo-Yejia Shefei

Number of members: 960

Land attribute: Red Brown Soil

Two sets of treatment devices available

Certificate: Fair Trade, Organic Coffee

Aramo Cooperative (1750-2300 m)(90+ Clinique)

Production area: Gedeo-Yejia Shefei

Number of members: 2,254

Land attribute: Red Brown Soil

Two sets of treatment devices available

Certificate: Fair Trade, Organic Coffee

Edido Cooperative (1750- 2300m)

Production area: Gedeo-Yejia Shefei

Number of members: 1044

Land attribute: Red Brown Soil

One set of treatment devices available

Certificate: Fair Trade, Organic Coffee

Adame Cooperative (1000-1400 m)

Origin: Gedeo-Wenago

Number of members: 533

Land attribute: Red Brown Soil

One set of treatment devices available

Certificate: Fair Trade, Organic Coffee

Belekara Cooperative (1000-1400 m)

Origin: Gedeo-Wenago

Number of members: 685

Land attribute: Red Brown Soil

One set of treatment devices available

Certificate: Fair Trade, Organic Coffee

Adado Cooperative (1200-1700 m)

Production area: Sidamo-Bule

Number of members: 1,128

Land attribute: Red Brown Soil

One set of treatment devices available

Certificate: Fair Trade, Organic Coffee

Haru Cooperative (1200-1700 m)

Production area: Gedeo-Yejia Shefei

Number of members: 1,187

Land attribute: Red Brown Soil

One set of treatment devices available

Certificate: Fair Trade, Organic Coffee

In July 2017, two new coffee trade regulations could change this by giving coffee farmers the option to sell coffee beans to coffee processing plants within three days of their arrival at ECX warehouses.

Ethiopian Coffee Bean Single Farm

The system has always existed in Ethiopia, but it has not been a high proportion, and it has traditionally been a large commercial batch that does not pay attention to quality. With Ethiopia's emergence in the third wave of fine coffee in the past 20 or 30 years, in addition to traditional coffee practitioners, Ethiopia has gradually emerged a group of new talents influenced by western culture and hoping to bring changes to this industry. In addition to traditional exporters putting into production, it has also attracted a group of upsurge returning from Europe and America to their hometown.

How important is the Single Farm Project (SFP)? We all know that Ethiopia is dominated by smallholder systems, but it is impossible to achieve complete traceability in smallholder systems.

Single farms are the only answer to all these questions. Single variety batches, special treatment batches, customized batches, etc. Fine coffee development is a very important implementation concept,

For example, this bean belongs to a single farm, the micro-production area Hambella Hambella Manor.

Ethiopia Hambera Manor Single Farm Holy Lion Village

Ethiopia Hambela Benti Nenqua G1

Country: Ethiopia

Origin: Oromia Region

Guji Zone

Hambela Woreda

Benti Nenqua Kebele

Altitude: 2,150 m (GPS measurement height of treatment plant)

Breed: Heirloom

Annual rainfall: 1,500 - 2,000 mm

Treatment plant: Hambela

Ethiopian coffee beans

Front Street Coffee roasts Ethiopian coffee beans with full guarantees of brand and quality. More importantly, the cost performance is extremely high, a pack of half pounds 227 grams, the price is only about 90 yuan. According to the calculation of 15 grams of powder per cup of coffee, a pack can make 15 cups of coffee, each cup only costs about 6 yuan, compared with the coffee shop sells hundreds of dollars a cup price can be regarded as conscience recommendation.

Related recommendations: Ethiopia YCFCU Cooperative Several characteristics of varieties recommended Introduction Flavor Description