Coffee Supply Chain

The 21st century has seen several companies cross international borders to look for new markets to conduct their business and increase shareholders’ return. The process was fuelled by opening of borders and advancement in transport mode and technology in the 21st century. The situation has complicated the attempts to fully understand the process of global production. However, the research and different literatures in the recent past have given customers and scholar a good read on forms of labour which go into producing the product or service, and how this work is globally distributed (Coe, Dicken and Hess 2008, p.274). The development has made customers to strongly know what they want and what they consume. Therefore, this essay will analyze the Global Production Network (GPN) of coffee and discuss who benefits most from the structure of this GPN. In the analysis, the essay will focus on three different aspects. First, the paper will analyze various forms of labour that go into creating the product and how is this work globally distributed. The essay will also analyze how the value is captured at each stage of production distributed along the network. Lastly, the essay will focus on the institutional arrangements that explain the structure of this GPN.

Coffee production in India is dominated in the hill tracts of South Indian states, also including the state Karnataka which accounts to 53% followed by Kerala 28% and Tamil Nadu 11% of production of around 8,200 tonnes. The Indian coffee is the very finest coffee grown in the shade rather than direct sunlight anywhere in and around the world. There is approximate 250000 coffee growers in India; 98% of them are the small growers. As 2009, the production of coffee in India was only about 4.4% to 4.5% of the total production in the world. About 80% of country's productions is been exported of the which is exported, about 70% bound for Russian federation, Germany, Spain, United States, Belgium, France, Slovenia, Japan, Netherlands and Greece, and Italy accounts for 29% of the total export. It deals with the different functions of cost parameter and identifies the excessive costs to maximize the profit in future on Tata coffee Limited.

Costa Rica now provided raw material for Starbucks which accounted for about 15 percent of the total coffee beans Starbucks needed every year. Costa Rica as one of the raw material suppliers plays an important role in global value chain. Coffee has played a pivotal role in the development of Costa Rica. It has shaped social, cultural and political institutions and is still one of country’s major agricultural exports. (Anywhere, 2016) The global value chain in this coffee industry can be described that Starbucks, the centre in this coffee global value chain, purchasing raw materials (coffee beans) from coffee farms in Costa Rica, reprocessing and reproducing in retail shops, selling the finished products (various kinds of coffee) to customers in the world.

Coffee is then sent to roasting facilities where it is blended. By “manipulating the composition of the blend, roasters

This report will analyze and discuss the Manufacturing process that begins with procuring raw material (i.e. coffee beans), transporting the raw material to roasting plants, and manufacturing and packaging the end product for consumption by the retail stores.

1. Coffee is one of the most common breakfast items found on any table in the morning and now sold all throughout the day. Coffee is grown and exported from places like Columbia and the Asian Pacific, to anywhere like Hawaii and the biggest producer, Brazil. 1/3 of the world 's coffee supply comes from Brazil, because of the nations tropical climate it is able to grow coffee very easily and plentiful. Brazil had many other types of climates but the hot and tropical one is great for the production of coffee.

insights which have been neglected by the later literature of new growth theory and new trade

After coffee is harvested, it must be dried, packaged in sacks, and transported. During this stage, energy is sued for drying, storing, and mechanically hulling the coffee beans. This stage of the value chain also includes transportation of green coffee beans to facilities.

There are a number of significant competitive barriers within the coffee bean and coffee grind industry. While virtually any firm can purchase the raw materials or even the finished product in the form of ground coffee, the packaging and distribution of the product is a much more sophisticated endeavor. The most significant

There are four types of coffee in Togo such as, forest coffee, garden coffee, semi forest coffee and plantation coffee. They are all different in their unique ways.First the coffee is handpicked and fertilized with organic wastes.The coffee farmer then transports his coffee to the second process by hoof or by foot.The red coffee bean cherries are placed into a large, cement hopper.Workers pick out any leaves, sticks and debris.Special equipment is used to rub the layer of cherry off of the coffee bean. Then the beans are processed through a machine that separates the light colored beans and the denser beans, the beans are then sorted and set into separate bags and the light beans are sold to locals. After a good wash the beans are laid out on flat screens to drip dry. the beans are then put into large bags and left for several weeks to thaw and ripen, they are then graded according to its weight and the best quality goes on to the international market. These beans are transported internationaly through large boats and kept under a persise tempeture and is taken care of extreamly.One of the positive things about Togo coffee is that all of it is organically produced. In Dilla and Kafa Sheka state for example,

For each cup of fresh coffee, coffee beans should be grounded just before brewing. Therefore, for each customer, the coffee is treated as fresh produce. Coffee should not be overexposed to oxygen, light, heat and moisture. In order to save customer from the time of waiting for the clerk to grind their coffee, customers can grind their own coffee beans in the store. Instead of walking in to wait in line, customers can help the process by grinding their own coffee beans before getting in line. The grinder will be pre-set to grind the coffee beans to the perfect texture of fineness.

Cameron’s Coffee was founded in 1978 by Jim Cameron and was later on purchased by Jim Kirkpatrick in 1999. The company specializes in ‘…premium flavored coffees, teas and powdered cocoa and cappuccino mixes (Petersen).’ Even though the coffee market is almost saturated, Cameron is looking to expand its operations not only in the United States, but in Europe and other continents. The company currently has a great advantage in this tight market, due to its dedication to quality. But in order to increase the probability for success, Cameron’s Coffee will need to expand its knowledge and involvement in technology and communication.

There’s not clear information about how coffee arrived in Colombia. The historic archive says that the Jesuits brought the seeds around 1730. The tradition says that the seeds arrived threw the east of the country, and the harvest where registries in Giron, Santander and Muzo, Boyacá. In 1835 the first commercial production produced 2560 bags and they were exported from Cucuta’s custom. Then the coffee extended to the center and west of the country in the departments of Cundinamarca, Antioquia and the zone of old Caldas. The consolidation of coffee as a product for exportation was from the second half of XIX century. The great expansion of the world economy in that period made that the Colombian peasants find an attractive opportunities in the International market. Between the end of 70s of the XIX century and the start of the XX century the annual production of coffee passed from 60.000 bags to 600.000 bags, this was made in the main big farms of the departments of Santander and Cundinamarca, having at the end of XIX century, 80 percent of the total coffee national production. There was a decline in the international prices in the first years of the XX century; this made a big change in the Colombian coffee cultivation. It can be concluded that in the period between

The question is what exactly goes into the process from cocoa beans in a field to a steaming cup of delicious coffee. Starbucks has created an amazing strategy of Supply Chain Management that spans across almost nineteen countries, that means cocoa beans can come from one country while milk could come from an entirely different nation hundreds of miles away. Through this global resource span Starbucks can expand the company and reach more countries than ever before. Starbucks also makes sure that they supply the best ingredients to their coffee drinkers for a lower price. All raw materials are sent to roasting manufacturing and packaging plants. Starbucks itself has six roasting manufactories, which seems very few for such a big company, but they are using a very effective centralized system.

• Since the early 1900's, when Luigi Lavazza first invented the concept of the blend, the art of mixing coffee of different origins to obtain a harmonious and tasty product. Today Lavazza is the leader when it comes to quality and is the symbol of Italian espresso and Italian identity worldwide.