Value Added Coffee: the next level!

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Value-adding is simply the act of adding value to a product, whether you have grown the initial prod­uct or not. It involves taking any product from one level to the next. For farmers, value-added has a particular importance in that it offers a strategy for transforming an unprofit­able enterprise into a profitable one.

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For example, a coffee farmer who simply grows and harvests his or her coffee cherry, and then sells it “as is” to a local processor, usually sells at a price below the cost of production. This marketing plan may be viable in the short run, because it covers the cash costs involved in producing the crop. But what if the farmers dreams of bigger and better things, like extending his farm, buying some new equipment or upgrading his donkey for  the latest model? That’s where it’s kind of handy to have a few bucks left over after all the basic bills have been paid. In other words, selling coffee ‘as is’ at the current market prices will never be a profitable option  when it comes to Farmer Joe.

Check out the full article here

Author: Kent Fleming from the Department of Tropical Plant and Soil Sciences