Leaf rust sweeps coffee plantations in Central America

According to a recent report released by the International Coffee Organization, the production of coffee crops in Central America was reduced by about 15% in 2012, due to leaf rust. As the overall economic growth in Central America slows, coffee growers in the region will suffer a double whammy of reduced production of coffee crops and a collapse in coffee prices, which will also hit the economies of Central American countries hard. Due to the declining share of coffee crops in the international coffee market in Central America, coffee traders began to seek new sources of goods in Brazil, China, East Africa, Vietnam and other places. However, experts point out that for a long time, the supply of high-quality coffee in the international market will still be affected.

Employment was affected and economic losses amounted to 600 million US dollars.

According to an article published on July 21 by Peru's official Andean news agency, Peruvian Minister of Agriculture Von Esser said that due to leaf rust, Peruvian coffee production is expected to drop 30% in 2013 compared with the same period last year. Peru is not the only country in Latin America that has suffered from leaf rust. Coffee crops in most Central American countries have also been hit hard by leaf rust, including about 70 per cent in Guatemala, 32.8 per cent in Honduras and 32 per cent in Nicaragua.

A recent report released by the International Coffee Organization also pointed out that due to the impact of leaf rust, Central American coffee crop production was reduced by about 15% in 2012 and 2013. Most coffee traders believe that this type of leaf rust will have a more significant impact on coffee crops in 2013 and 2014.

It is not only coffee production that is affected. Since most of the employment in the region is driven by the coffee industry, with more than 2 million coffee workers, the severe reduction in coffee production has directly led to a sharp decline in employment. Figures released by the International Coffee Organization show that 440000 people lost their jobs in 2012 and 2013 due to leaf rust, and that number is expected to continue to increase in 2013 and 2014.

Leaf rust causes the leaves to dry and turn black by parasitizing germs on the leaves of coffee trees. The disease first broke out on a large scale in 1976, and this is the most serious one. Silva, head of the International Coffee Organization, said in an interview with the media that "this is a regional disaster" and a fatal blow to the economies of Central American countries. According to data released by the Inter-American Development Bank, the economic loss caused by leaf rust is as high as 600 million US dollars.

The effect of treatment is limited, and the disease spreads to high altitude areas.

Rajhosio, a coffee research expert at the Brazilian Agricultural Research Institute, said in an interview with our reporter that the outbreak of this type of leaf rust is mainly due to the following factors: first, coffee varieties grown in Central America are very vulnerable to this type of pathogen, and because of the large planting area, the disease spreads more rapidly; secondly, a large number of pathogens of this type of leaf rust have access to these coffee plantations. Thirdly, the large-scale outbreak of leaf rust in Central America is related to climate change in the region. In recent years, high temperature and frequent rainfall in this area, hot and humid weather has become a hotbed of fungal reproduction. This outbreak of leaf rust is also different from the past, starting to appear at higher elevations or even in areas where the disease has never been seen before.

La Ehocio pointed out that although the fight against leaf rust is costly and time-consuming, as long as countries in the Central American region correctly learn from the experience of countries such as Brazil and Colombia and take appropriate measures, the problem can be solved as soon as possible. According to him, in the 1970s, the Colombian coffee industry collapsed due to the attack of leaf rust, and then, with the support of the state, the National Coffee Association invested 1.4 billion US dollars to solve the problem. Finally, a variety of coffee varieties that can resist leaf rust were developed, and the relevant fertilization and cultivation experience were taught to coffee growers, basically solving the problem of leaf rust. In addition, La Ehocio also suggested that Central American countries can spray specific chemical sprays to control leaf rust, depending on the degree of infection in coffee plantations.

However, because the financial resources of Central American governments are limited, and most of the growers are small farmers, they lack sufficient financial resources, so the control effect of leaf rust is not significant. Most coffee growers can only uproot diseased coffee crops and replant them, while new coffee crops will not produce beans until at least three years later. Instant Coffee

Market share changes, Brazilian coffee exports get a good opportunity

Central America is famous for its high-quality Arabica coffee beans in the world. Mexico and Central America supply about 1% of the world's Arabica coffee beans. Arabica beans are also used by coffee retailers such as Starbucks to make espresso and cappuccinos.

Natalya Fernandez, technical director of the Brazilian Federation of Agriculture and Animal Husbandry, pointed out in an interview with our reporter that in the past, due to its huge market share, the price of coffee beans in Central America determined the market price. Therefore, even if there is a large-scale outbreak of leaf rust and the supply crunch in the coffee bean market drives up the price of coffee beans, it will not cause much loss to coffee growers in the region. However, this time the situation is different, as the overall economic growth in Central America slows, coffee growers will suffer the double whammy of reduced production of coffee crops and plummeting coffee prices.

With the decline of the share of coffee crops in the international coffee market in Central America, coffee traders began to seek new sources in Brazil, China, East Africa, Vietnam and other places. Among them, Brazil, the world's largest coffee producer, undoubtedly occupies an absolute advantage, and its coffee crop has had a bumper harvest for the second year in a row. Fernandez believes that the poor harvest of coffee crops in Central American countries has undoubtedly created good opportunities for Brazilian coffee exports. In view of the fact that the Central American countries are greatly affected by leaf rust, the supply of high-quality coffee on the international market will continue to be affected for a long time.

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