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Decaffeinated Agreement

By Wondwossen Mezlekia The Ethiopian American January 6, 2008 (Published on February 9, 2008) The trademark dispute between Ethiopia and Starbucks is deemed “resolved” to the satisfaction of both Starbucks’ executives and the Ethiopian Government. In November, 2006, Oxfam, the international development and relief agency, launched the unprecedented global campaign in support of Ethiopia’s coffee trademark initiative against Starbucks, the specialty coffee giant. “For every cup of Ethiopian coffee Starbucks sells, Ethiopian farmers earn 3¢. Tell Starbucks: Honor your commitments to coffee farmers.” goes the campaign’s leading caption. In June, 2007 the parties announced that they have signed a confidential agreement and, in November, 2007, they “turned the page of the misunderstandings, for a new beginning,” as put by Starbucks’ Chairman Howard Schultz after his meeting with Prime Minister Meles Zenawi in Addis Ababa. However, some questions still remain unanswered to the satisfaction...

Pura Vida Coffee Wins Support of the House

Jeff Angell, president of Pura Vida Coffee, seen at the Fremont store. He says the company also sells much of its coffee to hundreds of cafes on college and university campuses and they're "very discriminating consumers." TOM REESE / THE SEATTLE TIMES By Melissa Allison The Seattle Times February 07, 2008 Forget earmarks and political donations. Pura Vida Coffee, of Seattle, won the right to sell coffee at the U.S. House of Representatives through an old-fashioned taste test. Last November, about 40 House staffers chose Pura Vida over Fair Trade-certified coffees from Starbucks, Seattle's Best Coffee, Green Mountain Coffee Roasters and Bluebird Artisanal Coffee Roasters. "When we decided to switch to Fair Trade coffee, there was some nervousness about whether that coffee is as good as regular coffee, which is one reason we had the taste-off," said Dan Beard, the House's chief administrative officer. Pura Vida began supplying the House with coffee in ...

Challenges to Fair Trade Conference in Seattle

Co-sponsored by the Harry Bridges Center for Labor Studies Friday, February 8th - Saturday, February 9th, 2008 University of Washington What is involved in implementing fair trade, particularly in a university environment? The speakers--scholars, corporate representatives, and activists-- are all committed to fair trade but offer a variety of perspectives about implementation. The intent of this conference is to educate the university community about the issues involved in implementing fair trade, particularly in a university environment. Each of the scholars who is attending has something interesting to say about implementing fair trade. They've studied campaigns or monitoring or supply chains. They've thought about how to use consumer power to bring about change in the ways workers are paid or treated. The invitees represent a range of disciplines and research emphases. The conference is sponsored by The Daniel J. Evans School of Public Affairs with additional support from th...

Starbucks: Cool or a Commodity?

Coffeehouse conundrum facing returning CEO Howard Schultz A Starbucks coffee shop in the financial district of Boston experiences a high volume of business during the noon hour Wednesday afternoon, Aug. 1, 2007. Starbucks is expected to release quarterly earnings on Wednesday. (AP Photo/Stephan Savoia) By Jasmin Aline Persch MSNBC January 29, 2008 Starbucks brought us the Italian coffee experience, teaching us to sip fancy espresso drinks in quaint cafes. Now the trendsetter is falling out of vogue — and some question whether the ubiquitous coffee chain can be cool again or will sink to a commodity. That’s the conundrum facing Howard Schultz who’s returning as head of Seattle-based Starbucks, which for years was hailed by customers, investors and business professors, alike. That changed recently: The company’s stock price was slashed almost in half this past year. And store traffic slipped last quarter for the first time since the company went public. Many trust, though, that Schultz...

Kenya's Plan to Sell Roasted Coffee to China Hits a Snag

Solomon Mburu Business Daily (Nairobi) via All Africa January 28, 2008 The deal to sell 100 per cent Kenyan roasted coffee to China has hit a snag following a surge in the prices of the commodity. Prices of Kenyan coffee have been rising since late last year, with Mbuni heavy and Mbuni light which are the cheapest coffees from Kenya shooting up from $ 50 and $70, to $75 to $100 per 50 kilogramme bag, respectively. The price rallies have been caused by concerns over reduced supply due to low production expected this season. Experts say changing weather patterns were responsible for the 20 per cent drop in production. It has now emerged that due to the unprecedented price increases, the deal to open up the Chinese market for Kenyan coffee will have to be delayed. This will consequently hold up efforts to diversify the export market for Kenyan coffee, ensuring farmers get better value from the crop. The Kenya Planters Co-operative Union (KPCU) which is spearheading the deal said renegoti...

No Bonuses for Starbucks Top Execs as Coffee Retailer Struggles

By ELIZABETH M. GILLESPIE AP Business Writer The Seattle Times January 24, 2008 Neither Starbucks Corp. Chairman Howard Schultz nor the chief executive he recently replaced received bonuses last year, as the coffee retailer struggled with weak demand amid the U.S. economic downturn, high dairy and energy costs and growing competition from cheaper competitors. Schultz, who reclaimed the CEO title when Starbucks fired Jim Donald earlier this month, received compensation the company valued at $12.6 million in fiscal 2007, according to a filing with the Security and Exchange Commission on Wednesday. Schultz was paid a $1.19 million in salary, but his package for fiscal 2007, which ended Sept. 30, was boosted by stock options worth $10.6 million when they were granted and perquisites valued at $861,398. The perks included nearly $497,000 for personal security, $3,237 for health insurance premiums and an annual physical, $13,500 for retirement plan contributions, $155,100 for a personal sec...

Starbucks Testing $1 Cup of Coffee

By JANET ADAMY WSJ January 22, 2008 Starbucks Corp., the company that popularized the $4 cup of coffee, is testing a $1 cup of brew and free refills for drip coffee. The Seattle coffee giant is experimenting with selling a so-called "short" size drip coffee for $1 in the Seattle area, Starbucks spokeswoman Valerie O'Neil confirmed. The short size is an 8 oz. cup that is not officially on the Starbucks menu but has long been ordered by in-the-know patrons who want small drinks. Typically, a short, brewed coffee would sell for around $1.50, though that can vary by several cents depending on the store. Starbucks is also testing offering free refills for traditional brewed coffee, also in the Seattle area. Ms. O'Neil would not elaborate on the specifics of the tests or say how many locations in the Seattle area are doing it. She said the tests aren't indicative of any new business strategy. Starbucks has said that pressures on consumer spending have slowed customer t...

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