Starbucks Partners with Pu'er to Boost China Coffee Production

In late 2010, a key moment unfolded for China’s coffee industry—not in a café, but at a signing ceremony where global coffee giant Starbucks committed to helping transform Yunnan province’s coffee sector. This wasn’t just another corporate deal; it marked the start of a structured push to make Yunnan, and specifically Pu’er, a globally recognised origin for high-quality coffee.

Starbucks established its first-ever global coffee farm base and its first Asia-based coffee farming support centre in Pu’er, partnering directly with local growers to improve yield and quality. This collaboration was part of a larger provincial plan to boost output from 38,000 to 200,000 tonnes and expand planted area from 26,000 to 100,000 hectares by 2020.

The Historic Partnership

On November 12, 2010, Starbucks Coffee Company signed two separate Memoranda of Understanding—one with the Yunnan Academy of Agricultural Sciences and one with the Pu’er Municipal Government. These agreements symbolised a strategic milestone in Starbucks’ engagement with China’s coffee supply chain and signalled Pu’er’s ambitions to develop a modern, large-scale, standardised, and export-oriented coffee industry.

The signing was preceded by a meeting between Yunnan Provincial Vice Governor Kong Chui-zhu and Starbucks CEO Howard Schultz, during which Kong highlighted Yunnan’s status as a premium coffee-growing region already exporting to 24 countries. Schultz described the partnership as a “milestone” building on initial ties established in 2007, aiming to bring Yunnan coffee to the world through Starbucks’ global expertise.

Starbucks' On-the-Ground Commitment

The very next day, Howard Schultz and his team flew to Pu’er to tour the Yunnan Coffee Trial Demonstration Farm and meet with local coffee farmers. They also visited the Sanglait Coffee Company, gaining firsthand insight into regional growing and processing practices.

As part of the collaboration, Starbucks committed to setting up its first global coffee planting base and its inaugural Asia-based Coffee Farming Support Center in Pu’er. These facilities would station Starbucks agronomists and quality specialists on-site, working directly with local farmers. Their focus included improving yields, developing disease-resistant varieties, refining flavour profiles, and researching new coffee cultivars suited to the local terroir.

The Bigger Yunnan Coffee Plan

Beyond Starbucks’ initiatives, the Yunnan provincial government unveiled an ambitious roadmap to elevate the region’s coffee industry. By 2020, the province aimed to increase annual coffee bean production from 38,000 tonnes to 200,000 tonnes and expand planted area dramatically—from 26,000 to 100,000 hectares.

This growth strategy relied on integrating advanced agricultural practices, strengthening farmer training, and attracting investment in infrastructure and processing capabilities. The Starbucks partnership played a central role in realising these goals by introducing global standards, technical expertise, and market access to Yunnan’s emerging coffee sector.

Frequently Asked Questions

What did Starbucks agree to do in Pu’er in 2010?

In 2010, Starbucks agreed to establish its first global coffee planting base and its first Asia-based Coffee Farming Support Center in Pu’er. Agronomists and quality experts would work directly with local farmers to improve yield, quality, and disease resistance, while researching new coffee varieties suited to the region.

Did Starbucks sign any agreements with government bodies?

Yes. Starbucks signed two Memoranda of Understanding—one with the Yunnan Academy of Agricultural Sciences and another with the Pu’er Municipal Government—on November 12, 2010. These marked a formal collaboration to develop the local coffee industry.

What were the targets for Yunnan’s coffee production by 2020?

The Yunnan provincial government planned to increase coffee bean production from 38,000 tonnes to 200,000 tonnes and expand the coffee planting area from 26,000 hectares to 100,000 hectares by 2020, with significant investment and technical support.

Who did Howard Schultz meet during his visit to Pu’er?

Howard Schultz met with local coffee farmers and toured the Yunnan Coffee Trial Demonstration Farm and Sanglait Coffee Company. He also held a meeting with Yunnan officials, including Vice Governor Kong Chui-zhu, before the signing ceremony.

Why was the 2010 Starbucks partnership significant for Yunnan?

The partnership was Yunnan’s first major collaboration with a global coffee company, bringing technical expertise, international standards, and market access. It helped launch the region’s shift toward large-scale, standardised, and export-oriented coffee production.

Recommended FrontStreet Beans from Yunnan

Explore FrontStreet Coffee’s Yunnan offerings, starting with the Yunnan Huila Natural, a bright, juicy cup with notes of dark cherry and caramel. For something more floral, try the Yunnan Geisha, showcasing jasmine and tropical fruit. Both beans highlight the region’s potential for high-quality specialty coffee. Freshly roasted within 5 days · Orders placed before 17:00 ship the same day · Next-day delivery across most of Guangdong Province.