The Effect of Coffee on Globalization

1173 WordsNov 15, 20065 Pages
The production of coffee is a process affected many people in the world today. Not only are the drinkers of the coffee affecting their own health, but the choice they make is also determining the quantity of goods purchased by Starbucks at the next trade time. If no one buys a particular brand, Starbucks will not purchase it. Consequently, the South American farmers exporting that particular type of coffee will not have any profit and will be unable to feed their families, plant new crop, or buy any materials to improve their overall quality of life. These poor farmers are excellent examples of the tragedy that occurs when coffee is exported and sent through numerous funnels before the consumer enjoys the delicious beverage. The awful…show more content…
If the farmers must challenge one another for the companies to buy their coffee, then they must ensure their products to be superior. Moreover, the farmers must maintain these crops all season long and cannot have a decline in quality. If anything is wrong with the product, companies will again look elsewhere, just as they would if price would increase in a region without reason. However, there is hope for the farmers in South America. This hope comes in the form of the current movement for fair trade among producers and the market. Overall, people are beginning to realize America is contributing to the companies exploiting the farmers. Recently, coffee prices have plummeted (Lee). Rather than Starbucks lowering the price of a tall latté, they are maintaining current prices. This results in a benefit for no one other than Starbucks. They do not allow the grower in the third world country to sell the crop for a fair price, or reduce the overall cost for consumers. As long as Starbucks benefits, they do not care about any one else. The dropping of the prices results in less money for the farmers, since the companies do not purchase a greater quality to offset the cost. In essence, fair trade is establishing a fair price per pound to pay the farmers, and eliminate the middlemen that essentially steals the profit of the farmer (Global Exchange). If the entire
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