Starbucks purchase Farm to study New Coffee varieties and Rust Control methods
Starbucks has bought its first-ever farm in Costa Rica, with plans to cultivate new varieties of coffee and test the "coffee rust" that afflicts the industry.
Starbucks has bought its first farm in Costa Rica, the Wall Street Journal reported. The farm covers an area of 600 acres and plans to cultivate new varieties of coffee and test the prevention and control of "coffee rust" that afflicts the industry.
Starbucks decided to buy a farm in part because it is in a position to experiment with different ways of growing coffee and to understand what factors contribute to the prosperity of coffee cultivation at different elevations. Starbucks did not disclose the purchase price, but according to people familiar with the matter, farms in Costa Rica usually cost $50 billion to $10 million.
Starbucks will develop its own new coffee varieties and study various processing technologies on the new farm through hybrids rather than genetically modified ones. The farm will become Starbucks' fifth research center worldwide, with agronomists working with local farmers to increase coffee production.
Starbucks' purchase of Costa Rican farms comes amid heightened concerns about coffee rust in Latin America. Most of the coffee produced in Latin America is bought by Starbucks, a fungal disease that has ravaged many parts of Latin America, leading to lower forecasts for coffee production in the next growing season, and the president of Guatemala declared a state of emergency last month.
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