Pages

Wednesday, December 14, 2011

Ethiopia: Foreign Buyers Protest Coffee Shipping Restriction


By Staff Reporter

December 14,  2011

The mandatory bulk container shipping regulation instituted by the Ethiopian government on November 11, 2011 has spurred a rush of complaints from foreign buyers.

Bulk Container Shipping uses one container size bag into which coffee is stored instead of the conventional 60 kilogram bags. German and Switzerland Associations representing major importers of Ethiopian coffee have written letters in opposition to the mandatory bulk container shipping Ethiopian embassies, Foreign Ministry and Minister of Trade. According to sources 10 Associations of Ethiopian coffee importers amongst which are the major importing countries have voiced dissatisfaction with the Bulk Shipment of Coffee regulation and there are reports of them turning to other exporting countries as a result.

Sources further disclosed that Colombian and Kenyan Coffee Exports have risen in the Arabica type category of the international coffee trade, and that Ethiopia's sales requirement of 30,000 tons for this week has went unsold. The mandatory bulk container shipping regulation has raised strong protests by the coffee exporters community in Addis Ababa as well, many of which said the directive will hurt the country's coffee industry and that their foreign buyers marked dissatisfaction with the arrangement in a meeting with state Minister of Trade Yacob Yala this week. 

Sources have told The Reporter that the Ethiopian Coffee Exporters Association (ECEA) will submit a letter which protests the directive to the Prime Minister's office tomorrow, Thursday November 15, 2011.

A notable majority of Ethiopian coffee exporters view the bulk container shipping regulation as suicidal to Ethiopia's coffee business, a few have decided to ignore it and face consequences where as on the other side a small number are exporting successfully. Minister of Trade told coffee exporters this week in a consultative meeting that bulk container coffee shipments had risen from the previous year.