As reported online recently, the African country of Ethiopia is having great success in the coffee industry. Ethiopia is already, in fact, the continent’s largest coffee producer and the blends from the country are loved all over the world.
However, Ethiopia has surpassed itself and has just earned a stunning $841.6 million from exporting almost 200,000 tonnes of coffee in the previous year. Why the sudden record-breaking export figures? Experts ascribe the success to two factors in particular: first, the other two heavyweight coffee producing South American countries, Columbia and Brazil, have had a lower output recently and, secondly, the big export markets of India and China have increased demand as their appetite for coffee has been whetted.
This is not the end of the story however. The Ethiopian coffee industry does not want to sit on its laurels, but rather increase the output further. The current target, according to recently published statistics, is to implement a five year economic development plan. What does this mean in terms of the coffee export industry? The aim, by the year of 2015, is to increase the coffee export to 700,000 tonnes.
Another way that the coffee market is improving is the introduction in 2008 of a commodity exchange market, which promotes transparency in dealings. A former head of the Ethiopian Coffee Exporters Association has been quoted as saying that this, too, has increased revenue very significantly. Ethiopian traders are notorious for hoarding stock out of fear of volatile prices.