Riding astride coffee yield and quality in Nicaragua

Riding astride coffee yield and quality in Nicaragua

René Mendoza, Javier López, Ivania Rivera and Warren Armstrong[1]

Good coffee

“Do you know why I invited you to this coffee shop?, a European buyer, who is also a grade Q coffee-cupper, asked me. “Because they told me that they serve quality coffee here”, he responded to his own question. With that the waiter came up, and he asked for an expresso – coffee with more flavor and texture. When we were served, he took the first sip and made a face, “this is garbage.” Why? I asked. “There is no coffee shop in this country with good coffee, and we are in a coffee growing country!” His words shook the floor under me, and I came back at him, “you buy coffee throughout Latin America, where have you tasted good coffee?” Taking another sip of coffee, he said, “In Colombia, in Bogotá, even in the poorest coffee shop you find good coffee.” “Well… we are a coffee growing country, but the culture of coffee shops is new,” I said to him, “like looking for a needle in a haystack.” Looking at me with a certain amount of compassion, he said, “That explains it, but it does not justify it.”

(Based on a conversation between René Mendoza and a coffee buyer in 2019)

Coffee quality is expressed through its aroma, fragrance and flavor, the fact that its beans are healthy and clean, that they are dried well, grew on good soil, and in the company of other crops…Behind these attributes and actions are dozens of human hands in several phases and moments. That quality is relatively stable over time, as the French proverb says, “Price is forgotten, quality remains.” Prices can be like milk when it is boiling, they go up and down, while quality is more stable. What is happening with coffee quality in Nicaragua? The cupper-buyer in the story gives us a troubling indication: it could be that we do not have a good taste for coffee, and even so produce good export beans. Maybe.

Responding to the question, in this article we describe the situation of coffee yield and quality, we explain reasons why, we propose a path for improvement, and in the end provide conclusions that summarize the findings and leave the reader with the approach that should guide us. Even though the story about “good coffee” refers to national markets, and specifically to that of coffee shops, in this article we work more on coffee exports, whose quality is also connected to the quality of the coffee offered in the coffee shops of the country. We do this in good measure from the experience of Aldea Global, an association that sells more than 150,000 qq of coffee a year, and from the space of the dry mill where we want to look at the coffee chain, including its production and commercialization.

1.    Coffee Yield and Quality

The prices of goods and products in markets frequently vary, as do interest rates on money; in contrast, the productivity and quality of an agricultural or non-agricultural product are less unstable, change more slowly. In the last 40 years the productivity of several crops has been maintained with minimal variation: for example, coffee, the crop that this article addresses, varied from 9.23 to 12 qq export coffee per manzana[2] over a 50-year period!

Prices for coffee vary every day in New York (international point of reference) and in local markets; while the demand for quality coffee is increasing in international markets. In the 1990s there were few brands, among which fair-trade brand stood out. In contrast, in the current millennium there are dozens of brands  (rainforest, bird friendly, utz, 4C, Nespresso AAA, café practices, etc) and denominations of origin or geographic indication (Juan Valdez, Colombia; Marcala, Honduras; Blue Mountain, Jamaica; Volcán de Oro, Guatemala; Tarrazú, Costa Ríca) which illustrates the growing world demand for a quality product. Nevertheless, precisely when the demand for quality coffee is increasing, the yield and score that measures the quality of coffee in Nicaragua is dropping: see Graphs 1 and 2[3]. The yield we refer to is the quantity of pounds of parchment coffee (with 50 % of humidity) that are needed to get 100 lbs of export quality coffee (with between 10-12 % of humidity) – subtracting  a number of pounds of imperfect coffee (broken, black, severe insect damaged, withered beans). The quality score, for its part, measures fragrancy, aroma, taste, acidity, body, uniformity and sweetness of the coffee. This is expressed by cupping points: from 70-80 is “common or commercial coffee”, 80-83 are “specialty coffees”, 84-89 “regional exemplary plus +”, 90-95 is “Exemplary coffees” and 95 and above are “unique coffees”[4].

Graph 1 shows us that to get 100 lbs of export coffee in the middle of the 1990s 215 lbs of parchment coffee was needed, then 3 more pounds, and since 2010 it shot up requiring 232 lbs by 2020. In that same period the rate of imperfect coffee has increased from less than 5lbs/qq in the 1990s (and export quality coffee of 96-98%) to more than 10 lbs/qq in 2020 (and export quality coffee of 85-90%). The same thing is happening with coffee producer families, in the 1990s with 18 to 19 buckets of raw cherry coffee they were able to get a load of coffee (200 lbs of parchment coffee), and in 2020 that load required more than 22 buckets of raw cherry coffee, “My coffee weighs less and less” observe the small producers.

Graph 2 shows us that coffee quality, after jumping between 1990-2000 from 80 to 84 (range of “regional exemplary plus+”), thanks to the differentiating actions of cooperatives within the fair trade framework (Mendoza et al, 2012; Mendoza, 2012[5]), has been systematically dropping, finding ourselves now in “specialty coffees” with scores of 82, 81 and 80. Organizations that are looking for quality coffee are going find it with difficulty: a score of 84 you will find in no more than 15% of total coffee, the rest is “commercial coffee” with scores below 82.

 

Table 1. Evolution of coffee production, Central American countries (in 1,000 sacks of 60 kg)
1990/91 1999/00 2009/10 2018/19
Honduras 1568 2985 3603 7328
Nicaragua 461 1554 1871 2510
Guatemala 3271 5120 3835 4007
Costa Rica 2562 2485 1477 1427
El Salvador 2465 2598 1075 761
Panama 215 166 138 130
Source: http://www.ico.org/historical/1990%20onwards/PDF/1a-total-production.pdf

So while markets are increasing their demand for quality coffee, because the societies´ tastes are improving and differentiating, and countries like Colombia; and Costa Rica are out ahead responding to these international and national demands, and Honduras is taking huge steps in production volume, quality, organization and branding[6], Nicaragua is being overlooking and is losing terrain (See Table 1 that compares the production volume among Central American countries from 1990/1 to 2018/9: Costa Rica, El Salvador and Panama are going down; Guatemala is maintaining their levels; Nicaragua is growing and Honduras is unstoppable). Even though we are paying attention to volume, let us focus on our question: What is causing this systematic drop in coffee yield and quality in Nicaragua?

2.    Elements that are affecting this quality and yield

These healthy or broken beans, with good favor or undrinkable, are determined by human actions in the space of farms, wet mills (pulper, washing and drying) and dry mills (drying, hulling reprocessing and selection). After looking at Graphs 1 and 2, what are their causes? The three responses commonly heard are: there is a scarcity of labor, and therefore the coffee ferments on the plant itself; that producer organizations increasingly are buying poor quality coffee from intermediaries and non-members, which is why their own members become disillusioned with their organizations, and have quit producing quality coffee; and that the State, in contrast to Colombia, Costa Rica and Honduras, is not investing in coffee growing, nor in positioning the country internationally.

These three responses have some basis. In this section we will focus on two elements of the context, climate change and lack of liquidity/resources, and within this framework, coffee growing culture and the dry milling process.

2.1  Climate variability

Climate variation, combined with farm neglect, affect coffee quality and yields. We provide three elements that illustrate this fact. The first, in 2012 this combination of factors contributed to the fact that coffee rust and anthracnose wiped out a good part of the coffee (Mendoza, 2013[7]; Brenes et al, 2016), particularly the varieties of caturra, maragogipe and bourbon –varieties of the arabica species. Caturra constituted more than 60% of the coffee in the country, considered to be a high- quality variety[8]. As a consequence, caturra coffee plants were replaced by catimor plants; catimor is more resistant to rust, has the potential for producing larger volumes, but has a modest contribution to coffee quality. Catimor today represents more than 60% of the total coffee in the country.

The second element, mold and coffee with phenol. One hears more frequently that coffee has “severe mold” and even “phenol”. The mold is from over fermentation, be that on the plant itself, or because the pulped and washed coffee was not immediately dried, which in turn is due to rain, heat, or lack of coffee pickers. The phenol is the change in the chemical composition within the bean as an effect of drought and heat in the coffee plants, as well as the storage of wet coffee; coffee in humid environments gets dampened, generating fungi that produce the taste of mold and phenol. Generally, when cupped these coffees are classified as “undrinkable”.

Finally, withered beans, beans that even though red, have a ripe side and another speckled side; small beans also are an effect of climate change. In the last 3 cycles coffee has been observed that had a good appearance, but had small hair or fuzz that was left on the bean, which is due to lack of water. These types of affected beans are on the increase, made worse in the 2019/20 cycle due to the fact that during 2019 there were droughts of up to 30º C, and very hot early mornings, which caused uneven and misshapen maturation. If between September and October it either rained a lot, or it did not rain at all, that affected the ripening of the coffee, which, no matter how good a job is done in the wet mill, will result in insect damaged and spoiled beans. All this has affected the coffee yield and quality. Table 2 summarizes the physical defects of the beans and their possible causes

 

Table 2. Coffee defects and their causes
Physical defects of coffee Causes
Climate change Beans with brown or black coloring Lack of water during the development of the fruit
Misshapen and wrinkled beans Poor development of the plant due to drought or lack of nutrients
Beans with small and dark perforations Attack by insects (coffee berry borer or weevil)
Scarcity of resources Yellow colored bean Problem of soil nutrients
Management of farm and wet mill Shell bean Over ripened raw cherries picked up from ground
Broken/chipped/cut bean Poorly calibrated pulper
Withered bean Prolonged fermentation

 

Beans with changes in its normal coloration Prolonged storage and poor storage conditions
Beans with intense yellow caramel or reddish coloring Delay between picking and pulping
Silverskin, can tend toward reddish brown coloring Dirty fermentation tank, use of contaminated water, overheating, storage of wet coffee.
Management of dry milling Flat bean with partial fractures Coffee walked on during drying process; hulling of wet coffee
Bean with white veins Dampened after being dried
Source: based on Federacafe – Comunidad Madrid, http://cafe-noticias.over-blog.com/article-36108278.html

2.2  The “suffocating embrace” of prices

Added to this adverse environment is the so called “suffocating embrace”, which is a harmful embrace that is asphyxiating the peasantry. With the “left arm”, coffee prices go up and down, like milk when boiled, but seen over a 100 year period producer prices are decreasing in terms of the final value of coffee (Mendoza y Bastiaensen, 2003; Mendoza 2013[9]); and with the “right arm”, the prices of farm inputs are systematically rising. So, this “big embrace”, the price of coffee dropping and the prices of inputs and capital rising, is suffocating producer families. If costs of production surpass $100/quintal, and the price of coffee drop to close or equal to $100, it is difficult for coffee to receive its 3 fertilizations, 2 moments for shade management, weeding and 4 leaf sprays a year. If the application of inputs drops, that not only affects the volume of coffee, but also increases the rate of imperfect beans, and lowers the cupping score – for example, it is difficult for a bean with little fertilization to ripen properly. In addition, the catimor variety, that has more potential in terms of production volume, also is more demanding in terms of fertilizers – what has a greater yield, eats and drinks more.

This “embrace” was more suffocating in the last two years (2018 and 2019). In the 2018/19 cycle coffee prices dropped to $98 in September 2018, and to $100 in December 2018, while prices for agro-chemicals rose by 30%, as a result of the new tax policy in the country starting February 28, 2019[10]. In addition, due to the political crisis of the country, financial institutions (formal banks and micro-finance organizations) decided not to provide credit, except for Aldea Global, that instead expanded their rural credit portfolio and geographic coverage; due to that same crisis, international coffee buyers signed fewer purchase contracts, contracts that tend to allow cooperatives to get loans from the social banking sector. In other words, producer families did not have resources, which is why they applied little or no chemical or organic inputs. The effects of this are expressed now in the 2019/20 cycle in higher rates of imperfections and lower coffee quality.

Organizations are also experiencing another type of “embrace”. With the “left arm” they feel international pressure for better coffee quality, and with the “right arm” the parchment coffee (APO) that they receive from the producers is of lower quality. Between 1996 and 2010 it was just the reverse, the demand for quality coffee was less, and the producer families were providing better quality coffee, which is why it was relatively simple to sell large volumes of coffee. They were the times when the international perception of the quality of coffee in Nicaragua was good; that perception changed over the last 8 years, the coffee quality of the country is in question, correspondingly buyers are diverting their paths to other countries.

2.3  Coffee management on the farm

Even though climate change and the scarcity of resources through the “suffocating embrace” are having an impact on coffee yield and quality, coffee growing families also are experiencing structural changes within themselves. Producer families who established their coffee farms and other crops starting in 1990, after the “big war”, are getting beyond 60 years of age, which is why part of their offspring are taking on farms now divided up through inheritance.

This transition from one generation to another is facing challenges. First, farming is less diversified, it is more specialized in coffee or cattle or vegetables. This means that, in the case of coffee, families receive income practically only once a year. Secondly, a good number of the generation that are taking over farms now, inherited that culture of “coffee growers”, with the difference that now they only have 2 or 4 manzanas of coffee, and many times those manzanas are affected by rust and anthracnose. Third, with the end to the agricultural frontier, crop rotation with uncultivated areas is reduced, and with that, land has lost fertility (“it is tired”); the low application of inputs is only able to maintain production volumes, which is why the farm is less profitable for them. Fourth, the work culture “from sunup to sundown” of the older generations has ended, the new generation that grew up under the belief that “a pencil weighs less than a machete” mostly works only in the morning; and many times, erroneously interpreting what it means to be “coffee growers”, only want to “be in charge”. With only 2 mzs of coffee!

Consequently, that generation in transition that feels itself to be “coffee growers”, lack income in the months from March to October, in a context of climate changes and under the “big embrace”, have not been careful with their farms: i.e. take care to regulate their pulpers, not pulp too early nor wash too late, but respect the fact that coffee needs 12 hours of fermentation, calibrate the pulper depending on the coffee variety, being watchful over the drying…In a parallel fashion, the communities where they live seem to have lost that social warmth that encouraged them to cooperate, now they have less or nothing in their gardens (“my Mom´s green thumb”), and nearly work only on coffee, so have less reasons to exchange…The absence of that social cushion seems to put a damper on their economic life.

2.4  Coffee management in the dry mill

The dry mills receive the coffee that is the fruit of the effort of those producer families who find themselves economically, socially and environmentally asphyxiated. That is why this coffee comes in the form of shell beans, broken beans, with strident flavors, insect damaged, moldy, or healthy, clean beans with acidity and great flavor and aroma…In the dry mill they can take some actions to improve that coffee, even though their possibilities for maneuvering are reduced.

They cannot reduce the imperfection rate, they measure it, and can reprocess the coffee to achieve a certain level of quality, and with a certain number of defects that the markets demand. Likewise with the mold, even severe mold can be removed in drying with the sun; in the case that they are not able to get rid of that mold, they separate that coffee so that it does not affect the rest of the coffee, and sell it separately.  They can manage it in micro-lots and have more control over its defects, mix varieties and improve something of its quality; but nothing more. They can also keep the yield from dropping too much, if they avoid trails of coffee on broken plastic or loss of beans from moving coffee from one place to another.

They can do that, if the dry mill is managed honestly, transparently and with access to the right technology. It is common to hear workers of the dry mills say that “they switched out the coffee” of such and such cooperative, or such and such members, that “the coffee got mold in the truck because there was no patio space to unload it”; or hear managers say that “they reprocessed it twice” without the owners of the coffee being present to know if they really did “reprocess it”, and whether they did it because it was necessary, or only to earn $2 or 3 per quintal, or that the “yield was 235 lbs for 100lbs” without there being proof of the weight, and control over the movement of the coffee in the reception area to the patio, to the warehouse, to the huller, to the sack…In many cases, those rumors are unfounded, but as the saying goes, “where there is smoke there is fire.”

Also from an external perspective, it is heard that buyers are looking for scores of 84, and in the dry mill, on not finding coffee from anywhere with that score, and on not being able to improve coffee quality based on re-processing the coffee with less than 5 defects, “they send coffee with a score of 82 saying that it is 84”. This might work once, in the short term, but in the medium and long term these practices of deceit undermine good relationships with buyers.

Even when the dry mill is managed honestly and transparently, they can incur in deficient management and neglect the importance of being committed to coffee quality. They could order containers of coffee with 11 defects, and that in the end they are prepared with 10 defects. It could be that a lot of coffee is classified as second quality, because it has fermented beans or some other damage, but that it is recoverable as first quality coffee with timely cupping, preparing the coffee with a smaller number of defects and working on it with different preparations. These errors can be due to the fact that there was a change in personnel, and this new staff did not have enough training and coordination to be watchful over the coffee drying; or it could be due to inefficient organization, top-down with office managers, which limits the responsibility of each person and makes them dependent on doing work that only is directed from above. A form of vertical organization that takes agency away from the people doing the work digs its own grave. If dry mills only bet on volume, not quality, they mix coffee indiscriminately, not guided by the cupping scores, even worse if the container to be sold is commercial grade 79, 80 and 81. They even store coffee with different weights, without controlling the coffee yield [resulting from the milling process]

The management in the dry mills also has to do with technology. The drying is done by the sun and hundreds of people, mostly women, under an unforgiving sun. Given that workers´ pay is low, we assume that they are not thinking about coffee quality, but about that sun and the time when the day will end. The consequence of that type of drying is that the beans end up uneven and over-dried. Also, most of the dry mills work with old processing equipment (huller, densimeters, vibrating bean separators, elevators, mechanical driers and electronic bean selectors), or new equipment from cheap brands, instead of the latest generation in quality and technology.

Concluding this section, the causes of coffee yield and quality are found throughout the chain, from the farm to its roasting. A family can pick just the red beans, and even so lose  quality for not drying it quickly enough, or because of lack of space in the dry mill, it is left wet for two days. Several actors can make the effort to achieve good coffee, but the increase in temperature and drought can affect the coffee plants. You can have quality coffee, and even so damage it when the appropriate technology is missing – the latest generation. The quality is changed, not from one month to another, but in terms of years and decades. Coffee, and farming itself, is a long- term art, and involves several hands and minds.

3.    Governing coffee

In the years between 1990 to 2000, it was the cooperatives who took on the leadership in improving coffee quality in the country; they did it in a context of relative peace, slight impact of climate change, and more than anything inspired by the fair trade movement. Today the context is different, climate change has worsened, the generational transition has not found its way and the fair trade movement lost strength and became bureaucratized[11], even so, cooperatives and associations can promote the improvement of coffee quality again. How? Figure 1 shows the importance of combining a coffee farming culture with an alliance for a quality cup and principles of well-being, and processing that adds value. These three mechanisms, mediated through coordination in learning, can make a difference. These are not proposals that are pulled from the sleeve of some magician, nor just the result of data analysis and literature, they come from observing and experiencing in the field this combination that the figure expresses as the pathway.

The first pillar, differentiating action on the part of producer families. That they renovate and repopulate their coffee fields, and scale up in their treatment of coffee processing. They can recover varieties of arabica coffee with high quality potential, and grow them under agro-forestry systems, adapting their management in accordance with their variety[12]. A problem with catimor, for example, is when the producer gives it the same treatment that he gives a native variety; catimor should be picked when it is red (not speckled nor green), providing it more fermentation time than the caturra variety. To feed the soil (fertilize it), the chemical or organic input should be based on the formula resulting from the soil analysis. For the producer family to get those inputs, it must have in-kind credit under arrangements with input companies that lower their prices by volume purchasing, which is what Aldea Global does, and it works. They can experiment with coffee  processing (wet milling); for example, so as to not mix qualities in the pulping stage, they can have a water tank that serves as a separator of floater of green, empty or poorly formed beans; or manage the fermentation by coffee varieties.[13]. This requires a new culture of being coffee producers, who are motivated by a spirit of studying their realities (farms, families and communities), observing them, investigating new information, recording data, analyzing it, being guided by soil analyses and climate forecasts to manage their farms[14]; all this is more possible with the current generation, which has higher levels of formal education, and makes more use of the internet.

The second pillar, the construction of direct connections between buyers and groups of producer families, based on quality cupping scores and principles. In terms of quality, each producer turns in coffee individually, and the dry mill can manage it by group and lots, register the information and have the coffee cupped by farm, so that buyers are guided by the cupping score; a family receives payment/price based on the quality of their coffee. It is assumed that they will invest more to improve the quality of their coffee even more.

In terms of principles, Aldea Global has developed a procedure and mechanisms for providing incentives for good agricultural practices, which can inspire other organizations in the country. What does Aldea Global do? It provides awards for compliance with principles, like having an orderly farm, not using prohibited chemicals, paying laborers in compliance with the labor regulations in the country, management of honey waters, protection and conservation of nature, environmentally friendly practices, recycling containers. These awards depend on the score that each member achieves; producers with a score of 70% have access to “x” amount of award per quintal;  those that achieve 80% a bigger award, those with 90% an even bigger award, and those who achieve 100% get the “big” prize.

There can be producers who might receive a good price because of their cupping score, and not receive an award, if they get less than 70% in terms of their compliance with the principles. Even though it is more probable that a producer family with more than 70% compliance with principles would have coffee with a cupping score higher than 82. The logic is that complying with the principles is taking care of the farm and the well-being of the family, which is also going to be expressed in coffee quality and in good yields. Consequently, if buyers (national and international) and certifiers visit these producer families, and help them to establish themselves, they will be betting on the quality of family life, which leads to quality coffees in a sustainable and lasting manner.

The third pillar, the organization of the dry mill guided by values of honesty and transparency. To add value to coffee quality, the administration of the dry mill must have a counterweight in an autonomous board of directors with the capacity for supervision, and the owners of the coffee (members, cooperatives or organized groups) must have access to see the patios where their coffee is found, review their labels, be there at the moment of hulling, and review the data registry on the weight of the coffee at reception, on the patio, in the warehouse, before hulling and after hulling. With this three-way relationship of counterweights (administration, board members and owners of the coffee), the dry mill can manage micro-lots of coffee that come from different geographies of the country, and using different types of drying (natural, with honey and washed). This implies coordinating along the entire chain; for example, natural coffee implies picking only the red beans (none green or speckled), raw cherry coffee is transported that same day to the patio for drying, thus keeping the coffee from fermenting. The micro-lots of more than 50qq export coffee can be treated with differentiated qualities and respond to the demand of small roasters in the world. It also implies making use of appropriate technology (latest generation), like an industrial plant that treats coffee from its raw cherry state, thus preventing coffee from losing weight (2-3% in the fermentation and another 2-3% for the 12-13 days of drying) and conserving its quality.

These three elements of improvement are possible if a culture of learning is developed among the different actors around coffee. This is cultivating a spirit of investigating, observing, asking questions, recording information, taking notes, analyzing information and making use of the technology that todays world offers, including technology for massifying soil analyses, so that information flows to producers.  The producer family can manage catimor or maragogipe varieties if they learn how to do it in a differentiated way; coffee drying will add value if people know how their actions make a difference…Without awakening the worm of doubt that each one of us has inside us, any work will be boring, and any information will pass under our noses without us noticing; guided by questions and a procedure for organizing and analyzing information, every human person will be mobilized, taking on their task as a mission that is worthwhile carrying out.

4.    Conclusions

Failure is simply the opportunity to begin again, this time, more intelligently. Henry Ford

We began the article with the question about what is happening with coffee quality. That word quality is an aperture to agriculture and our society, it tells us on a small scale what is happening to us. And what is happening? Coffee yields and quality in the country are getting worse. What is the reason? Climate change, prices (of coffee and inputs), neglect of the farms and the not very transparent management of the dry mills, which are concentrated in few hands. The latter can be seen in light of the type of drying-hulling in countries like Guatemala and Colombia, where drying is done on the farms themselves and in grassroots organizations, without the drying and hulling being concentrated in few hands; or in countries like Costa Rica, where an industrial plant processes coffee from its raw cherry state to its hulling, with a positive effect on coffee quality.

In contrast to Colombia, Costa Rica and Honduras itself, Nicaragua has not had a State that invests in coffee growing with a long-term perspective. There has not existed an institute that studies each coffee variety, or that has laboratories for innovating varieties. The State does not regulate the weighing of coffee in commercial trading, and within the dry mills. There are no financial incentives nor human recognition for producing quality coffee. There is a need for a State that would work to position the brand of coffee of the country in the outside world, and that at the same time might work for the population to replace sugar with a good taste for coffee.

But at the same time Nicaragua has more than 30% of coffee producers organized into cooperatives and associations. Among those organizations is Aldea Global, which is committed to the use of technology and information, which it takes to the producers to manage their farms based on soil analysis and climate forecasts[15]. Also, Aldea Global is committed in the long term to improving coffee quality and yields based on technology that would help o control the temperature and humidity of the beans, and based on automated systems with sensors. These elements will guide the technical assistance provided to producer families and in the dry mills.

The fact that yields and quality are dropping is an opportunity, to paraphrase Henry Ford. Of course, Ford himself was surpassed by the Toyota industry, in spite of that, his phrase continues to have value[16], particularly seen as a society. How can coffee quality be improved “more intelligently”? Organizations (cooperatives, associations and businesses) must join efforts to organize a space for learning around coffee farms in association with other crops. Without investigation-learning, the different actors will be walking in the dark, and the producers, like oxen, will prefer their old yoke and sell coffee to traditional intermediaries, without concern about yields and quality, which means that in the long run the entire country will lose, including the producers themselves. A producer family can fill itself with passion, learn and seek their own vision, if organizations become democratic, transparent, efficient, and if together they organize information supported by technological and informational innovations, like big data and artificial intelligence (machine learning). This type of organization, like Aldea Global, having this learning infrastructure, would be able to accompany the entire coffee chain and other crops.

The old Fordist model continues guiding a good part of the coffee in Latin America, also expressed in its political structure of exclusion and inequality; so it is that we hear that “more volume, more earnings”, which lead us to coffee shops that the story at the beginning of the article talks about. Nicaragua can recover ground and position its quality coffee based on adopting a culture of learning, supported by information management and the latest generation technology. It could be that money might be a limiting factor in this, but like the history of so many innovations teach us, more important is the vision of transforming the countryside, pursuing product quality, pushed by families who are improving their lives. In this way we could hear that “the better the quality, the better our lives” which could include improving our own taste for quality coffee. It is not a matter of “adding money” and having coffee quality, it is a matter of “thinking more and running around less”, as they say in “tiki-taka soccer”.[17]

[1] Javier, Ivania and Warren are from Aldea Global (https://aglobal.org.ni/), president, vice manger and manager, respectively; René is a consultant to rural organizations and a collaborator of the Winds of Peace Foundation (https://peacewinds.org/). Even though most of the authors are from Aldea Global, we maintained objectivity in the analysis, and we added data and experiences of Aldea Global when they were needed.

[2] According to the 2017 Annual Statistics from the Central Bank of Nicaragua, the average coffee yield in 10 years between 2007 and 2017 was 11.97qq/mz; in the  2018 Annual report, a certain amount of improvement was noted between 2014/5 with 14.7qq/mz, and in the following two cycles 2015/16 and 2016/17 with 16.5qq/mz. We still do not have data for the last two cycles (2017/18 and 2018/19). For a study on the decade of the 1980s, see José L. Rocha, 2003, “Revolution in Nicaraguan Coffee Growing” in: Anuario de Estudios Centroamericanos. San José: Universidad de Costa Rica 29 (1-2).

[3] Both graphs are based on information from several coffee buyer organizations, and on data that we have followed since the 1990s, seer: R. Mendoza, 2003, La paradoja del café: el gran negocio mundial y la gran crisis campesina. Managua: Nitlapan-UCA; R. Mendoza, 2013, Gatekeeping and the struggle over development in the Nicaraguan Segovias, PhD thesis, University of Antwerp..

[4] The classification by scores is based on: Susana Gomez, “¿Cómo se determina la calidad del café?” en: QuéCafé, https://quecafe.info/como-se-determina-la-calidad-del-cafe/

[5] R. Mendoza, M.E. Gutiérrez, M. Preza and E. Fernández, 2012, “Las cooperativas de café de Nicaragua: ¿Disputando el capital del café a las grandes empresas?” en: Observatorio Social, Cuadernillo No. 13 El Salvador, http://www.observatoriosocial.com.ar/images/pdf_cuadernillos/cuader13.pdf; For English version see: https://peacewinds.org/wp-content/uploads/2020/02/Articulo-CAFENICA-Cooperativas-english.pdf ;  R. Mendoza, 2012, “Coffee with the Aroma of Coop” in: Revista Envío No. 372. Managua: UCA https://www.envio.org.ni/articulo/4558

[6] According to the International Coffee Organization (ICO), in 2018 Honduras was the seventh largest coffee producer and exporter in the world. In the last 10 years it has become the largest producer in Central America; in Latin America it is behind Brazil and Colombia. While the weight of coffee in farm production value dropped in Nicaragua, El Salvador, Costa Rica and Panama, in the case of Honduras it increased between 1980 and 2011 (G.C. Brenes, C. Soto, P. Ocampo, J. Rivera, A. Navarro, G.M. Guatemala y S. Villanueva, 2016, La situación y tendencias de la producción de café en América Latina y el Caribe. San José: IICA y CIATEJ).

[7] R. Mendoza, 2013, “Who is responsible for the Coffee Rust Plague and What can be done”, in: Envio 379, Managua: UCA, https://www.envio.org.ni/articulo/4664

[8] In terms of the effect of coffee rust and anthracnose in the region, Nicaragua was the country most affected; the neighboring country, Honduras was not much affected at all (See: Brenes et al, 2016).

[9] R. Mendoza y J. Bastiaensen, 2003, “Fair trade and the coffee crisis in the Nicaraguan Segovias. In: Small Enterprise Development, Vol. 14.2.

[10] If we add other costs to this, like labor, the situation is even more “asphyxiating.” Note that even though the price for a bucket of picked coffee is the lowest in Central America, the fact that a load of coffee (200 lbs of parchment coffee) that required 19 buckets prior to 2016, currently requires more than 22 buckets; this means that the producer families are paying for an additional 3 buckets, which increases the cost of production, which does not necessarily benefit the workers.

[11] Samanth Subramanian (2019, Is fair trade finished? The Guardian, https://www.theguardian.com/business/2019/jul/23/fairtrade-ethical-certification-supermarkets-sainsburys) analizes how Fair Trade (FLO), based on prices, is losing ground with the abandonment of the FLO seal on the part of large corporations, questioning whether fair trade is achieving what it promises, and preferring instead to organize their own seals and mechanisms to measure their social, economic and environmental impact. We have also warned from Central America about the involution of fair trade, see R. Mendoza, 2017, “Toward the Reinvention of Fair Trade, or “Hacia la re-invención del comercio justo”, en: Tricontinental, Bélgica, http://www.cetri.be/Hacia-la-re-invencion-del-comercio?lang=fr

[12] Aldea Global supports agro-forestry systems: 1,320 of its members are implementing it in 1500 mzs. There are also other organizations in the country that support these system; what is unique about Aldea Global is that they do it with the purposeof producer families improving their coffee quality.

[13] These experiments include testing the form of management common in Costa Rica, of receiving raw cherry coffee, and in a mechanized way, separating ripe beans from speckled and green ones, and then passing the uniform ripe beans directly from the pulper to the mechanical drier, eliminating fermentation. Ivan Petrich (2018, “Fermentación: Qué es & Cómo Mejora la Calidad del Café”, https://www.perfectdailygrind.com/2018/07/fermentacion-que-es-como-mejora-la-calidad-del-cafe/) explains the advantages of aerobic and anaerobic fermentation for coffee quality.

[14] For people of any age, but particularly young women and men, we have a guide to help them become students of their realities. See: René Mendoza, 2019, Jovenes y la oportunidad de construir puentes hacia el futuro. Una Guía para investigar e innovar. Managua: Nitlapan-UCA. It is also available at: www.coserpross.org . Aldea Global has information on more than 12 members with whom it works, information that anyone can access.

[15] Aldea Global is the only organization in Nicaragua that, starting in March 2020 will have their own first version of their app, to pilot providing personalized technical assistance by cell phone to 150 producers. The biggest challenge in this will not be providing that information, but using it. The app is a software progran that those 150 people will Access through their cell phones.

[16] A  2019 film “Ford vs Ferrari”, directed by James Mangold and written by Jez Butterworth, John-Henry Butterworth and Jason Keller, shows the change that Henry Ford II underwent in the competition with Ferrari. That precise moment of change: not just producing quantities of vehicles but winning competitions, illustrates the spirit we are seeking.

[17] Style of Barcelona where they pass between one another while opposing team wears itself out running after the ball, and when an opening appears, attack the goal.

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