Every Friday, Perfect Daily Grind rounds up the top coffee industry news from the previous week. Here are this week’s stories.
Mon, 7 Mar
- Winners of the 2022 Tanzania Ngorongoro Private Collection Auction announced. The highest-scoring coffee was a carbonic maceration N39 Bourbon variety from Finagro Plantations, receiving 88.22 points. The 20 winning lots will be available at the auction on 22 March.
- Kenya’s High Court suspends newly announced coffee growing regulations. Kenya’s governors challenged the regulations under the Crop Act and claimed they were not established through “public participation”. The new regulations have now been annulled under a High Court ruling.
- Russia-Ukraine conflict may lead to fertiliser shortages. Economic sanctions imposed on Russia after the invasion of Ukraine on 24 February have essentially halted most of Russia’s international trade. Russia supplies around 22% of Brazil’s fertilisers, which are used in the coffee industry. Shortages may lead to higher fertiliser prices, which may also increase global coffee prices.
- J.M. Smucker reports coffee sales as biggest driver of growth in 2021 Q3 results. The US coffee and food manufacturer stated net sales of its retail coffee business increased by US $35.9 million to US $661.8 million. The company’s out-of-home sector saw net sales increase by 13% to US $265.6 million.
- Specialty Coffee Association announces 2022 Sustainability Award winners. Caravela Coffee received the Business Model award, Coffee Circle’s Jimma agro-biodiversity programme received the Project award, and CEO of Enveritas David Browning received the Individual award. The winners will be formally recognised at the Re:co Symposium from 6 to 7 April.
- Starbucks fires employee over unionsisation efforts. The Buffalo, New York employee was fired for reportedly “violating time and attendance policies”. Another Buffalo Starbucks employee involved in unionisation efforts was also fired in February.
Tue, 8 Mar
- Colombia’s February coffee exports drop by 23%. Exports fell to 980,000 bags in February 2022, compared to 1.3 million in February 2021. So far throughout 2022, production has reached 1.8 million bags in the country – down 18% from the 2.2 million bags produced during the same period in 2021. Unfavourable weather conditions have been cited as the reason for this fall.
- Automated coffee shop brand Rozum Café plans expansion in Europe and US. The robot coffee shop company operates several locations in Dubai, but plans to open franchise locations in Cyprus, Poland, Germany, and the US.
- Michigan chain Biggby Coffee to increase direct trade sourcing to 50% by 2023. The company aims to increase its direct trade sourcing capacity to 100% in the years that follow.
- Equal Origins launches Gender Equity Index tool. The GEI tool is used to promote gender equity in coffee and cacao supply chains. Equal Origins (formerly the Partnership for Gender Equity) partnered with roasters, green coffee traders, and non-profits such as Lavazza, Caravela Coffee, and Lutheran World Relief to develop the tool. The GEI provides targeted recommendations for companies to improve gender equity.
- Schaerer to launch new fully automatic Coffee Skye machine. The new model will be showcased at the Internorga Trade Fair in Hamburg from 30 April to 4 May. Schaerer will also debut its new Twin Milk system, which can prepare a range of plant-based milks.
- Russian coffee companies release joint statement on Ukraine invasion. The statement announces that the Russian coffee industry is against the conflict in Ukraine, but emphasises how Russian citizens are largely unable to publicly condemn the Kremlin’s invasion of Ukraine. The statement also expresses concern over the economic sanctions imposed on Russia.
- Annual National Coffee Association convention takes place virtually. The 2022 A world of possibilities virtual convention hosted various speaker sessions – including CEO of World Coffee Research Vern Long and founder of J. Ganes Consulting Judith Ganes. The event also included an exhibition and networking opportunities.
- First-time competitor wins 2021 World AeroPress Championship. Tuomas Merikanto of Finland was awarded first place, while Dutch competitor Maru Mallee and South African competitor Brandon Smith respectively came second and third. All top three competitors used the inverted brewing method.
- Steeped Coffee showcases single-serve coffee products at Natural Products Expo West. The exhibition is taking place in Anaheim, California from 8 to 12 March. Guests at Steeped Coffee’s trade show booth included Emmy award-winning chef Nick Stellino and VP of Sales for Mr. Espresso Luigi DiRuocco.
Wed, 9 Mar
- International development charity Christian Aid states women must be at forefront of responses to climate change. The charity’s report, entitled Women on the Front Line: Healing the Earth, seeking justice, claims climate change responses must be shifted towards countries in the Global South – including coffee-growing countries. Christian Aid claims women will be disproportionately affected by climate change.
- Luckin Coffee concludes provisional liquidation. The Chinese coffee chain’s Chapter 15 bankruptcy case will now be officially closed. Luckin filed for Chapter 15 bankruptcy in the US in February 2021 in order to restructure its financial obligations.
- Coffee trading platform Sustainable Harvest launches online education centre for producers. The EDU platform offers free access to courses and training tools. The first two courses (currently available in Spanish) focus on green coffee quality and nursery management.
- Alliance for Coffee Excellence to host women-grown Nicaraguan coffee auction in June. The Super Mujeres auction is part of ACE’s 2022 Private Collection Auctions. The event will be held on 23 June.
- Colombian coffee chain Juan Valdez launches in Canada. The company will sell its products online and in Canadian retail stores. Juan Valdez expanded into the US market in 2021.
- Starbucks suspends all business activity in Russia due to Ukraine invasion. Starbucks operates around 130 licensed stores in Russia, but will “pause” all operations and shipments in the country. The coffee chain donated US $500,000 to the World Central Kitchen and Red Cross to support humanitarian efforts for Ukraine.
Thu, 10 Mar
- Certification agency 4C Services hosts gender equity webinar. The Strengthening Gender Equality and Social Challenges in Coffee webinar was the first webinar in the new sustainability-focused series, co-hosted with the IWCA Brazil chapter.
- Thai-Italian Chamber of Commerce hosts Piazza Italiana coffee and gelato event. The B2B event was held in Bangkok and included exhibitions from Italian coffee companies.
- Brazil’s coffee exports to UK hit US $45 million in 2021 final quarter. Despite Brazil’s coffee exports to the UK dropping, Cecafé states the strong economic performance is down to high exchange rates and rising domestic coffee prices.
- Confederation of British Industry to host webinar on social certifications. The virtual event will explore trends in social certification standards (such as Fair Trade and Rainforest Alliance) for a number of supply chains – including coffee. The CBI webinar will be held on 24 March at 11:00 CET.
- The Barista League hosts 2022 High Density. The virtual conference included a series of speaker sessions and panel discussions, including co-founder of Coffee Collective Klaus Thomsen and Managing Director of Yunnan Coffee Traders Joshua Jagelman.
- First origin-roasted coffee shop in Glasgow sells Mother’s Day gift box. Andina Colombian Coffee is selling two bags of coffee from the Valle del Cauca region, as well as three bars of dark chocolate.
- Westrock and S&D Coffee & Tea unite under Westrock Coffee brand. Westrock acquired S&D in January 2020 for around US $405 million. Together, the companies offer a number of services, including private label roasting and packaging.
- International Coffee & Tea Asia 2022 exhibition to take place from 19 to 21 May. The ninth annual event will be held alongside the Café Asia, Sweet & Bakes Asia, and Restaurant Asia 2022 exhibitions in Singapore.
Fri, 11 Mar
- Seventh annual Glasgow Coffee Festival to be held in May 2022. The event will return after a two-year hiatus due to Covid-19 restrictions. Over 40 exhibitors will be present at the festival, which will also include coffee cupping sessions. Glasgow Coffee Festival will take place from 7 to 8 May at Bridgegate market hall.
- HOTELEX Shanghai 2022 rescheduled to August. The 31st annual coffee and hospitality event is set to attract over 220,000 visitors and 3,000 exhibitors. HOTELEX Shanghai will take place from 4 to 7 August.
- De’Longhi reports 37% increase in 2021 revenue. The company also reported a 55% increase in net profits on 2020, with strong growth in the coffee segment.
- Tim Hortons China receives over US $94 million for five-year expansion plan. The Chinese division of the Canadian coffee chain is seeking to open 1,500 stores over the following five-year period. Tims China is also seeking up to US $100 million in credit as the company has readjusted its IPO entry valuation from US $1.7 billion to US $1.4 billion.
- International Café & Beverage Show 2022 to be held from 19 to 21 May. The exhibition will be held in Kuala Lumpur, Malaysia and will include over 150 coffee brands. The event will also host the 2022 Malaysian National Coffee Championships.
- Oatly announces over 52% increase in 2021 revenue. However, the company also reported a pre-tax loss of US $215 million, compared to US $58 million in 2020. The loss is attributed to supply chain shortages.
Here are a few news stories from previous weeks that you might find interesting. Take a look.
- Mon, 28 Feb – Ember Technologies opens regional headquarters and R&D centre in Singapore. The temperature-controlled technology company aims to increase its presence across the Asia Pacific region.
- Tue, 1 Mar – Dunkin’ awards US $100,000 in inaugural scholarship programme. In partnership with Scholarship America, Dunkin’ will award 40 students with individual US $2,500 scholarships for college, university, or vocational training programmes.
- Tue, 1 Mar – Sainsburys to open 30 in-site Starbucks cafés. The UK supermarket chain will close 200 of its own in-store cafés as part of its new partnership with Starbucks.
- Wed, 2 Mar – Coffee traders seek advance payments from Russian companies. After Russia was cut off from the international banking messaging system SWIFT, Brazilian traders have added Russia to the list of countries which must pre-pay to secure coffee. As such, several European traders have stated they will not take on new supply orders from Russian roasters.
- Thu, 3 Mar – Costa Coffee launches new food items in partnership with Marks & Spencer. The new range includes 33 M&S food items, now available in over 2,500 UK Costa stores.
- Fri, 4 Mar – Greenesso launches refillable coffee capsules on Kickstarter. The stainless steel reusable capsules are compatible with Nespresso machines. Greenesso capsules can be adjusted to contain varying quantities of coffee.
- Sat, 5 Mar – Dalla Corte to host latte art throwdown at SIGEP. Participants will compete one-on-one using nontraditional milk pitchers. SIGEP will be held in-person from 12 to 16 March in Rimini, Italy.
- Sun, 6 Mar – SCA 2022-23 Judge Calibration to be held on 23 and 24 April. SCA-certified judges are qualified to judge national SCA coffee championships. The calibration session will be held at Cimbali in Elstree, UK. Applications are limited to 50 people.
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Photo credits: Henry Wilson