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SOCIO-ECONOMIC FLAVOURS OF ETHIOPIAN COFFEE: REVIEW

Sivakumar, K.P1*., Tigist Tarekegne2 and Uma Natarajan3

1IGNOU Regional Centre, St. Mary’s University College, Addis Ababa, Ethiopia;2 Gender Diversity and Inclusive Education Directorate, Ambo University, Ethiopia;3 School of Natural and Computational Sciences, Ambo University, Ethiopia.*Email: sivakumarkp001@gmail.com Mob: 00251 921762265

Abstract: Ethiopia is home to two thousand indigenous strains of coffee of which 24 formal varieties of Arabica coffee areidentified through researches. Eight popular varieties of Ethiopian coffee that have demand across the world includeYirgacheffee, Harar, Sidama, Limmu, Djimma, Tepi, Bebeka and Lekempti. Coffee that constitutes major share of totalexports is cardinal to Ethiopian economy and a significant means for livelihood for over fifteen million people. Coffeegrows wild in forests along the south-west parts of the country and serves as a copious genetic resource. Ethiopia is notedfor producing forest coffee, semi forest coffee, garden coffee and plantation coffee. Coffee farmers of the country show highresilience over challenges of time and keep the country at sixth position in the list of largest coffee producing countries.The largest regional state, Oromia produces largest share of coffee – 64 percent followed by Southern Nations andNationalities People’s Region – 35 percent. Country’s coffee industry is vibrant at four levels: Primary level coffee transactioncentres, Ethiopian Commodity Exchange which provides secondary level coffee transaction and international coffeemarket. According to Ethiopia’s Ministry of Trade, in 2011-12 the country exported 196117 tons of coffee to 54 countries tofetch US$ 841.65 million. Out of the 120 exporters, 95 percent is private entrepreneurs; 5 coffee growing farmer cooperativesand two government enterprises. Germany, US, Saudi Arabia, Belgium and Italy are principal importers of Ethiopian coffee.Emerging from a country famous as the birthplace of coffee, Ethiopian coffee could get an inimitable brand name.Ethiopian coffee is exported as green bean which is roasted by receiving countries. Ethiopian coffee has got a significantplace in the global value chain due to its exceptional quality. Ethiopia is also noted for being the largest coffee consumeramong African countries. While examining the social aspects, it is vivid that coffee is well ingrained in the social fabric ofthe country. Coffee for Ethiopians is among the sentiments insulating them against the cultural penetration in the era ofglobalisation. People of Ethiopia continue practicing traditional coffee giving ceremony with all its charm. Coffee givingceremony finds women as chief organisers and occurs every day at workplaces and residences – either as a ritual or as a markof honour to guests. The ceremony is noted for the prominence of women in its organization, and as a means forsocialisation and communication. Piggybacking of coffee ceremony for participatory communication is being successfullyadopted by organisations to sensitize people on a number of socially significant issues like child abuse and HIV/AIDSawareness. Though landholdings of women is lesser compared to men, coffee becomes a means for women empowermentas more women come into the fore as coffee growers. Women enjoy equal rights with men in holding and administeringrural land for coffee cultivation. In a country where male domination is not uncommon, coffee serves dignity for women.Despite daily household chores, women prove their skills as labourers in coffee rearing, harvesting and post harvesting.Women coffee drink vendors are also common in Ethiopia. Female imprints on the value chain of Ethiopian coffee arehence undisputable. Based on the review of available literature, it is assumed that coffee in Ethiopia has manifoldimplications that include means of livelihood, employment, foreign currency for the country, upkeep of a heritage andwomen empowerment. Couple of threats recently noticed in the coffee production include a root disease that frequentlyoccurs and the popularity gained for growing ‘Kchat’ a legal stimulant plant variety. The government upholds a promising‘agricultural development led industrialization strategy’ which envisages rapid growth of the agricultural sector to enhancethe industry’s share and social services in terms of output and employment. Such committed and concerted efforts providea promising future of sustainability for Ethiopian coffee.

Key words: Arabica coffee, Coffee giving ceremony, Participatory communication, Women empowerment

Received on: 10 October 2013, accepted on: 12 December 2013

INTRODUCTION

As a drink, coffee is one of the world’s mostpopular beverages. Each year over 500 billion cupsof coffee are consumed throughout the world.Coffee plant requires at least 3-4 years for gettingthemselves mature enough to bear in each of

them around 450 grams of coffee beans perseason. Legends linked to coffee dates back to9th century tale of an Ethiopian goat herdernamed Khaldi who noticed abnormal excitementamong his goats. He could f ind that the reason

Journal of Aquatic Biology and Fisheries Vol. 2/2014/ pp. 717 to 727

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for excitement was attributed to the animalsnibbling certain red berries that were laterintroduced to the world as coffee (www. facts.randomhistory.com). Ethiopia is the sixth largestproducer of coffee in the world and largestproducer in Africa. About 15 million people ofEthiopia, i.e. almost 20 percent of the country’spopulation directly or indirectly depend oncoffee for their living (Global AgriculturalInformation Network, 2012). With a populationof around 75 million, Ethiopia is Sub-SaharanAfrica’s second most populous nation. It is alsoone of the world’s poorest countries with a percapita income of US$ 220, much lower thanSub-Saharan African average. Ethiopia ranks169 of the 177 listed according to HumanDevelopment Index by the UNDP in 2007 andthe World Bank in 2009.

Ethiopia is one of the fast growing non-oileconomies of Africa. Tremendous efforts towardspoverty reduction are fetching slow progresses.The number of people living in poverty has fallenfrom 46 percent in 1995-96 to 39 percent in 2004-05. High fuel and food price has emerged as achallenge resulted from twin threats of balanceof payments and domestic inflation. Agricultureis Ethiopia’s key sector contributing around 46.3percent of gross domestic production in 2007.Among the major bulk of exports from Ethiopiaare coffee, pulses and oil seeds (OverseasDevelopment Institute, 2009).

In Ethiopia, coffee’s economic signif icance isdue to several facts including coffee’s topposition in the list of exports. Enormous resolveexhibited by the government, foreign aidagencies and the farmers for keeping coffeebrewing successfully in the country, is worthlearning. Inevitable impacts of global coffeeprices upon the Ethiopian scenario, the historiclegal f ight that won the patent battle in favourof Ethiopia, are all resplendent of the country’swill to safeguard one of its precious traditionalnatural resources. Social signif icance of coffeeemerges from antique tales of origin of coffee,diverse original varieties of coffee forming a nicegenetic resource, women’s enhanced role incoffee cultivation and post harvest processes;and the indispensable custom of ‘coffee givingceremony’ that forms a medium for socialisation,and bondage between members of families andfriends. An International Trade Centre analysis

unveils that in Africa, over 70 percent ofmaintenance and harvesting jobs are done bywomen. Though women rarely own land orf inancial control, coffee production has got aconsiderable share of women input. Training andproper networking would enable women to enhancetheir legitimate share out of coffee scenario.Prospects women earn from coffee sector, similarto their earnings from any f ield, can fetch multiplebenefits according to an observation made by EastAfrican Fine Coffee Association. This is becausewomen use their earnings for the well-being of theirchildren, family and community (Sarah, 2012). Thishas been underlined by an International TradeCentre report that states that women should beoffered sufficient place in regional and global coffeevalue chains since women tend to reinvest almost90 percent of their income in their family, comparedto males. Major share of women’s investmentswould be in health and education (www. intracen.org). Altogether, these points substantiate theinspiration for conceiving this review paper basedon literature available.

Social features of coffee in Ethiopia

Genetic resource

According to a project prof ile published by theGerman Federal Agency for Nature (BfN), Coffeaarabica is one of the economically importantendemic varieties of coffee in Ethiopia. Thisvariety, popularly known as Arabica coffee isgrown wild along the mountainous regions ofthe country. Wild coffee is not only consumedlocally and sent commercially to worldwide, butconstitutes a key breeding stock for newvarieties. This has got added signif icance as theforest cover of Ethiopia has already beenshrunken to a less than 3 percent of its landsurface. Hence wild coffee population is alsofacing a concomitant threat of becomingendangered. Another document published bythe Ethiopian Ministry of Trade (2012) proclaimsthat the country is a resource for about twothousand varieties of coffee. Among these, 24varieties are better and eight varieties havebecome most popular. Eight most popularvarieties of coffee f rom Ethiopia areYiragacheffee, Harar, Sidama, Limmu, Djimma,Tepi, Bebeka and Lekempti. Major harvestingseason for Ethiopian coffee falls during October– December (www.longbottomcoffee.com).

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World’s only wild population of wild Coffeaarabica grows along Ethiopian montane forests.Around 75% of the world’s coffee production isfrom Coffea arabica, which is hence def initelycritical for coffee breeding (Gete, 2010). Effortsare on to preserve the natural virtue andwellbeing of wild coffee in Ethiopia. There areindigenous endeavours as well as ventureslaunched with due foreign assistance. Forexample, participative forest management andUNESCO biosphere reserve were sought as twooptions for conserving the wild coffee reservesof Ethiopia at a workshop on BiodiversityConservation and Poverty Reduction inHuman-transformed Landscapes in Ethiopiaheld in Addis Ababa in 2006. The BfN prof ilementions about German Ministry of Educationand Research funding investigations held bythe University of Bonn for conservation ofsuch forests and their biodiversity during2002-2009.

The intimate nurturing of coffee plants requiresenough shade provided by other plants thatsurround the plantation. Hence coffee growingproduces a concomitant improvement in thelocal environment by way of protecting thegreenery of the area. Sentimental attachmentsto coffee plants as well as plants that provideshade for it are reported f rom Yirgacheffe(www.oxfam.org).

Gender aspect

In addition to the age old bondage betweencoffee, its origin and Ethiopia, the former hasgot a deep rooted place in the social fabric ofthe country. A Coffee Roundtable held in AddisAbaba in 2010 has unveiled the increased role ofwomen in the activities related to coffeecultivation and processing. African women ingeneral and Ethiopian women in particularenjoy huge involvement on family owned coffeeplantations. Most of the exported coffeeoriginates from such plantations. While lookinginto the distribution of income generated outof coffee, it has been noted that women do notenjoy a proportionate control over theproceedings. Generally, the market potential ofcoffee relies in the hands of males.

Coffee needs increased nurturing especially atyounger stages of growth. Women are found toprovide more care for young as well as old coffee

plants along Ethiopian plantations. Women alsoforms considerable part of labour engaged withpost harvesting activities of cleaning and makingcoffee beans ready for market introduction.

In Ethiopia, large scale coffee cultivation revolvesaround two major policy measures: one, RuralLand Administration and Use Policy; and two,Investment Policy. There are no genderdiscrimination with the content and meaningof these policies; instead there are all sorts ofencouragement for women entrepreneurs toenter large scale investment in agriculture. Thishas paved way for many women farmers to provetheir potential in coffee arena.

There are many organisations formed to sensethe local pulse of the agricultural initiatives ingeneral and coffee farming in particular. Forexample, the Coffee Growers, Producers andExporters’ Association strives for enhancing thequality and quantity from coffee plantations.Still, out of the sixty members, only f ive arewomen in this association.

It is also observed that Ethiopian women engagedwith coffee growing is driven by a passion formeddue to the fact that they are born under its lovingshade or that they have been seeing coffee plantssince their birth. Exemplary talent and leadershipexhibited by women coffee planters, their hardwork led by a vision for benef iting individuallyand collectively are also visible. International TradeCentre, in cooperation with the InternationalWomen’s Coffee Alliance promotes constitutingwomen’s coffee associations with special attentiontowards East Africa of which Ethiopia is a part.These associations offer women a chance to worktogether to solve issues they face collectively soas to progress more socially and economically. Aspart of these initiatives, along with other Africancounterparts, Ethiopian women in coffee sectoralso obtain leadership training, microf inance andbranding (www.intracen.org).

A few women could also enter and establish aplace in the coffee export scenario. For example,Tseganesh Taye in 2009 constituted MechaCoffee Farmers’ Cooperative in westernEthiopian locality. Her optimism is that throughcoffee income, families there can lower povertyand gain better living conditions. Over 30 percentof the 96-member cooperative is constituted bywomen (www. courageina cup.com).

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Women’s increased role in coffee productionand sales is not influenced by the headship ofhouseholds – whether male-headed or female-headed (Overseas Development Institute, 2009).According to Eastern African Fine CoffeesAssociation, in order to promote women incoffee f ield, necessary are: equity in decisionmaking in coffee growing families; right to haveand make choices; access to opportunities as wellas training in the f ield; and an overall sense ofworth and accomplishment.

Ethiopian Coffee Development Programme hasbeen giving added importance for enhancingwomen’s role in coffee value chain. Project areawomen are supported to receive maximumability of women in gathering necessarysynergy for the production and developmentof coffee.

An evaluation study of 2010 among tea andcoffee smallholder certif ication in Ethiopia,Kenya and Uganda by the InternationalDevelopment Corporation of the Ministry ofForeign Affairs, Denmark could unveil certainpromising evolvements. Fairtrade certif ied casestudies underline effective female participationin farmer organizations. While inspecting non-randomly selected group of participants, directand indirect gender benef its throughsustainability schemes could be observed. Thestudy was primarily analysing Fairtrade, UTZCertif ied and Rainforest Alliance standardsamong tea and coffee farmers of these countries(Riisgaard et al., 2010). ‘UTZ Certif ied’ is afoundation for the worldwide implementationof a standard for responsible coffee, cocoa andtea farming and sourcing.

Good number of young females is employed inrestaurants and coffee shops as coffee drinkservers. Besides such positive gender inputs, thehuge domestic coffee consumption is a meansfor good employment for both male and femaletechnicians. A recent report published inAllafrica.com speaks on the technicians whorepair as well as rent out repaired coffeevending machines for earning monthly incomeranging f rom 400 to 700 Ethiopian Birr. Amachine service can earn up to Birr 250 to 1100Birr, depending upon the gravity of themachine’s issue (www.allafrica.com).

Coffee ceremony and participatorycommunication

Coffee (Bunna) ceremony is integral of Ethiopianhouseholds. It is practiced once or more times aday in almost every household. Women have gota lead role in the coffee ceremony which servesas a warm, daily get-together of family members,f riends and guests. Thus coffee becomes asymbol that bounds together members of familyand hence society. Women get a chance for nicesocialisation during coffee ceremony. It is alsoan occasion for enjoying three courses of pureand natural coffee drink. Female identityformation is largely furthered through thisintimate ceremony. The ceremony begins withdried coffee beans being friend until aroma f illsthe air. Dried coffee beans are powdered andpoured into boiling water in a traditional earthenpot placed over traditional charcoal-burningtraditional kiln. When ready, the coffee drink isserved thrice – f irst with high concentration andfollowing cups with lesser concentration.Altogether, the traditional coffee ceremonyprovides ample time for the members to gatherand talk and exchange fraternity. Since it ishappening on a daily basis, possibility ofparticipatory communication is huge. Coffeeceremony is in a way a ritual, too, conductedwithin religious context or to honouring a guest.The coffee preparation is delayed deliberately toenjoy more time chatting with the guest makingit more an opportunity for communication,socialization and friendship fostering(Brinkerhoff, 2011). Figure 1 shows a coffeeceremony scene inside a home.

Fig. 1. A woman engaged in coffee ceremony ather home in Ambo, Oromiya region, Ethiopia.

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geographical indication rights, Ethiopia turnedwisely towards obtaining intellectual propertyrights (www.wipo.int). Ethiopia’s initiative tosecure intellectual property rights for its f inespecialty coffee was in the wake of coffee giantslike the Starbucks revolutionizing the industrywith huge demand for specialty coffee. It wasin 2003 with a strong initiative of GetachewMengiste, then Director General of the EthiopianIntellectual Property Off ice (EIPO) that thecountry surged ahead into the trademarkregistry initiative. In 2004, funded by the UKDepartment for International Development,Ethiopian Coffee Trademarking and LicensingInitiative were launched. This has unleashed alegal f ight between business giant Starbucks andthe Ethiopian authorities. Finally, determinedand concerted efforts f rom Ethiopia dulysupported by Oxfam, could win over Starbucksto get registration for Yirgacheffe, Sidamo andHarar/Harrar varieties (Sereke-Brhan, 2010).World Intellectual Property Organization hasviewed that the achievement by Ethiopia wouldhave def inite impacts beyond coffee as well asbeyond the borders of Ethiopia. Since manydeveloping countries continued to get marginalreturns, more of them would emulate Ethiopiantale and gain benef its from their intellectualproperty assets (www.wipo.int).

According to the Overseas DevelopmentInstitute’s Ethiopia Trademarking and LicensingInitiative of 2006-2007, there has been an Aidfor Trade initiative that aimed at increasingEthiopia’s coffee export income and ensuringhigher and predictable income for coffeefarmers of the country. The programme forexample, envisaged registration of trademarksfor Ethiopia’s three leading high quality coffeevarieties, which would enable farmers tonegotiate more conf idently with exporters andretailers. Value chain analysis, trademarking andbranding; licensing and brand management;and creating a transparent market are allcontained in this project.

There have been strong initiatives from the partof the Government of Ethiopia since 1992onwards. Many reforms since then could leadto an increased participation of private sector atdifferent levels of marketing chain; increasedexport price received by growers; and a positivesupply response and improved coffee export

quality coffee in domestic market. There arediscrete licenses applicable for entrepreneursfunctioning as roasters, domestic wholesalersand exporters. Also, everyone in the exportsupply chain are required to get certif ied theirquality by the government during collection,processing, storing and transporting coffee(Global Agricultural Information Network,2012). Existing value chain of coffee is shown asFig. 4.

Opportunities and challenges

Coffee has got a historical tie with Ethiopia andits ageless culture. The climatic conditions alsofavour growth of coffee in Ethiopia. The countryhas got altitude, rainfall and optimumtemperature for coffee growth. Fertile soil, lowlabour costs and suitable planting materialsfurther the coffee prospects of the country. Byprudently exploiting these favourableconditions, Ethiopia can widen its export scopesthrough sustainable production and supply off ine coffee of all types. Thus it can meet up thechallenge of other coffee sources of the world.Ethiopia’s domestic coffee consumption is alsoconsiderable – highest in Africa. Since coffee isf irmly ingrained into Ethiopian culture, thedomestic consumption would only go onincreasing. International price as well asbehaviour of the world coffee market alwayshave got signif icant influence upon Ethiopiancoffee sector. Petit (2007) quoted the UNDP’sobservation that ‘what happens in internationalcoffee markets has a profound bearing onEthiopia’s prospects for achieving theMillennium Development Goals’. For example,in 2003, using household-level data, the UNDPestimated about US$200 loss in income perhousehold; and US$1 loss per each US$2 receivedin aid by Ethiopia – all due to slump in coffeeprices. Coffee in Ethiopia is hence extremelyvulnerable to exogenous shocks.

Winning intellectual property rights: Ethiopiancoffee beans are noted for the unique qualitythat is often used to ‘upgrade’ coffee blends toenhance overall f lavour and aroma. Coffeefarming in the country is distributed along overfour million small plots of land looked after byabout 600 thousand independent farmersthrough remote locations. Hence instead ofgoing for impractical solution of gaining

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performance. Too complex system of imposinghuge export taxes were replaced by single tax of6.5 percent in 1998. This simplicity couldconsiderably reduce smuggling of coffee toneighbouring countries. Once, in 2002, thegovernment showed its inclination for farmer’swelfare by even removing taxes when coffeeprices went down world over, with an intentionto reinstate taxes when the prices become better(Petit, 2007).

According to a USAID study in 2010, Ethiopia’scoffee prospects would soar higher if thequantity of specialty coffee is increased. Thecountry has got a potential for transforming upto two-thirds of coffee into speciality kind. Thiscan be achieved by way of establishing morewashing centres and exporting more washedcoffee beans. Moreover, the sundried coffeecould be certif ied rainforest or organic makingit top quality to catch up to 80 per cent of exportsas specialty. Congruent to this idea, theInternational Trade Centre (ITC) has launcheda project aimed to eliminate the hugeinformation gap that exists among scatteredfarmers of Ethiopian coffee sector, whoseknowledge on required quality is insuff icientor even nil. Duly assisted by the ITC, theMinistry of Agriculture and Rural Developmentof Ethiopia steers the project. The projectenvisages these cardinal things: Empoweringproducers with knowledge over their product;securing earnings out of all levels of coffee tradeby enhancing the volume of export qualitycoffee; discouraging mixing of lower and higherquality coffee types and increasing the amountof specialty or higher grade coffee; andincreasing the pace with which the coffee reachthe export point after quality tests (ITC, 2011).

Ethiopia’s Ministry of Trade has also wellidentif ied the strengths that can be gatheredand sustained so as to keep the country soarmore heights in the coffee cultivation andcommerce. Government’s commitment andpolicy pertaining to coffee cultivation, the wellestablished brand name of Ethiopian coffee ofbeing originated from the birthplace of coffee -are all noted as the strengths that can be furtherused to increase the coffee prospects of thecountry. Comparatively larger volumes ofproduction, splendid land availability andcheaper labour are also among the features that

assure a bright future for coffee. Government’sinitiatives like the ECX further makes thescenario conducive for small, medium and largescale farmers related with coffee trade. It ispromising to see that the ECX’s vision is torevolutionize Ethiopian agriculture through adynamic, eff icient and orderly marketingsystem. Since this vision ensures equal accessto power and participation, quality, marketaccess, risk management and planning for allfarmers, this should provide a benef icial futurefor the coffee farmers of the country (Eleni,2007). Girma (2011) could see the ECXspecif ically addressing the ways suppliers andexporters transact with transparency to improveaccess to information thereby strengthening thebargaining power of farmers.

The Ministry of Trade has also identif ied certainweaknesses that need immediate attention.These include among others, low productivity,low return for farmers and poor agriculturalpractices. There is also lack of a price riskmanagement system that would buffer thefarmers from the effects of severe price slumps.The comparatively longer chain from farm toport of discharge is also prohibitive. Spread of aroot disease and unbridled dispersal of a legalstimulant plant known as ‘kchat’ are alsolimiting coffee prospects of the country. Manycoffee plants are uprooted due to rotting of rootsin parts of Oromia, the region which constitutedmajor share of coffee. Along the trade routes tothe Middle East in the eastern parts of thecountry, the legal stimulant plant Kchat is gettingmore space in farming. Kchat has got hugeconsumption in the Middle East and the Hornof Af rica (Global Agricultural InformationNetwork, 2012). Fast growing and pest-resistantfeatures of Kchat and less labour demand makesit a better option for many farmers. More over abushel of Kchat could be sold for a high priceof US$9 whereas coffee in its place would earnjust US$0.01 (Sereke-Brhan, 2010).

The government is but aware of overcoming allsuch challenges through concerted efforts.Attaining improved production and consistentquality of farm products through appropriatetechnologies has already been well accepted.Improved post harvest technologies are alsoamong the goals to be reached faster.Traceability and transparency along value chain,

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enhanced promotion in the international arena,and inception of price risk management areseriously considered. Special support tocommercial coffee farmers as well as providingeasy access to capital for those who comeforward to purchase coffee or invest in coffee,are also among the priorities.

CONCLUSIONS

Coffee remains well ingrained in the social fabricof Ethiopia. Legends related to coffee’s evolutionin Ethiopia only strengthens the deep bondagecoffee has with Ethiopian culture. Ethiopiancoffee stands different from coffee originatedf rom other countries in many ways. Animportant difference is the wild forest coffee stillfound extensively in the country. Wild coffeeforests of Ethiopia hence stand as a preciousgenetic resource. By virtue of all these facts,coffee in Ethiopia has got extensive sociologicalvalue. Country’s women could establish anindisputable role in the coffee value chain.Women’s presence is conspicuous asentrepreneurs investing in coffee cultivation, asworkers related to post harvest processes andas coffee drink tenders along restaurants. Coffeeceremony, an inseparable traditional practicecarried out at least once a day throughEthiopian homes and institutions f inds womentaking lead role in making coffee drink andserving to participants. Cordial, very informaland f ree environment created by coffeeceremony has made it a very effective occasionfor participatory communication as used by anumber of government and non governmentorganisations. Coffee’s contribution to theEthiopian economy is commendable. Lion shareof Ethiopian export is coffee. Over one quarterof Ethiopia’s foreign exchange is fetched throughcoffee export. Among the government initiatives,the Ethiopian Commodity Exchange has gotwide popularity by virtue of its transparency andaccess provided for farmers of all scales.Ethiopian government’s will to foster coffeeeconomy is ref lected in its policies. Historicachievement of intellectual property right to thecountry’s major coffee varieties not onlyproclaims the Ethiopian will to preserve itstraditional coffee glory, but also serves as asource of inspiration for every country that seeksfor protecting its indigenous property. The

government has also identif ied signif icantchallenges and enormous opportunities in thef ield. Altogether such commitments form apromising picture for coffee scenario inEthiopia.

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