Starbucks coffee roasted
Filed in archive Ethics by leon on February 02, 2007

's coffee growers are creating problems for Starbucks by screening the documentary Black Gold.
Ethiopian growers have shown Black Gold to British MPs. One of the main targets is Seattle-based Starbucks. Its annual turnover of $US7.8 billion is not much lower than Ethiopia's gross domestic product, reports The Guardian.Ethiopia's premium coffees reportedly sell for fair trade export at about $1.60 a pound. After deducting costs, the growers get about $1.10. Roasters sell the coffee on at $20-$26 a pound. Retailers such as Starbucks make 52 espressos from a pound of coffee. That's worth up to $160 a pound. Quite a margin.
According to activist group Oxfam, Starbucks has refused permission for Ethiopian farmers to trademark their beans. Oxfam is campaigning to change that.
For its part, Starbucks says it would be illegal for the Ethiopians to trademark their beans in the US but it insists that it is a socially responsible company. More on this video:
The question is whether consumers care enough to know where their coffee comes from and how much the people are growing it are paid.
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