Sunday, July 26, 2009

Jamaican Blue Mountain Coffee Licensing and branding

According to COffee Industry Board Head Christopher Gentles, licensing and branding could position Jamaican dealers to sell their coffee in 21 countries, but on a broader scale the new rules are designed as well to ensure financial and technical competence and integrity of the coffee dealer and/or coffee plants in the production of the "world's finest coffee".

The 2009 coffee licensing regime was implemented under the Coffee Industry Regulation Act (CIRA), with the stated aim of ensuring the development of the coffee industry to international standards.

"The idea is that if the coffee dealer understands the dedication and financial requirements of running a coffee farm, he will make financial and policy decisions that benefit excellence in coffee production and will the farmer in the long run," the CIB head said.

Registered trademarks owned by the Coffee Industry Board are for the protection of the brand and improvement of the brand equity for future generations of Jamaicans, he asserts.

"The registration of brands in 21 countries around the world, and the hiring of watch services is an expensive business but very necessary in order to prevent the brand from misrepresentation by unscrupulous individuals, who seek to sell a lesser quality coffee than Jamaica Blue Mountain, in order to enjoy short-term profits."

Jamaican Blue Mountain coffee is grown and pulped only within the legally and geographically prescribed area defined as the Blue Mountains, and has to be certified as such by the CIB.

Other brands, for which the trademark licencing comes at a lower price, include Jamaica High Mountain Supreme, the premium brand for 'lowland' coffee, produced at a lower elevation than the Blue Mountain brand.

High Mountain Supreme is the third most expensive and widely traded coffee in the world and must be produced by licensed dealers certified to operate in high mountain regions at elevations of 1,000 feet above sea level, or higher.

The coffee also has to pass a taste test.

Rohan Marley - chairman of the 52-acre Marley Coffee farm in Chepstowe, Portland, who in June, attracted the ire of the CIB quality control unit for what appeared to be an attempt to leverage the Blue Mountain name to sell his product ahead of his licence application being approved - said the tough stance adopted by the board was making it harder for nascent businesses like his to take off.

Marley also acknowledged that licensing the branded name was "the only way to protect the coffee production coming out of the Blue Mountains of Jamaica", but said the regime should not be so stringent as to create a barrier to market entry.

"Being a Marley, I 'overstand' trademark infringements throughout the world. Unfortunately, the CIB's push to protect the brand has made trading a harder road for the smaller farms," said Marley, son of reggae icon, Bob Marley.

The board should come up with "ways that a smaller farmer like myself can still benefit from our production," he added.

"We have one of the best coffees in the world so we must have strict regulations on how we treat the second most sought after commodity outside of crude oil."

Coffee farming, according to Gentles, is an expensive venture and those without the required resources should consider staying out of the business.

It takes, he said, $3.5 million to grow 1,000 boxes of cherry coffee.

"The costs of mistakes are high and this is no game for weak-kneed amateurs."

Putting three acres of Jamaica Blue Mountain coffee under production requires investment of some $1.5 million, and it will be three years before the first crop.

A coffee dealer would have to have at least 60-80 acres, said Gentles, to meet the required minimum production to qualify for a licence.

But dealers are also allowed to make up volume through cherry purchases from other farmers.

The sector includes 23 licensed dealers, 17 of whom are Blue Mountain certified, while three of them deal high mountain coffee.

Largest purchasers

An estimated 7,000 farmers sell their beans to eight companies. Wallenford Coffee Company and the Mavis Bank Cooperative are said to be two of the largest purchasers.

Well-known coffee producers include Salada Foods, Wallenford, Mavis Bank Central Factory and Coffee Traders Limited, which are industrial sized coffee dealers with large amounts of capital, and boutique operators such as RSW Estates.

Whatever the size of the farm, "only the excellent products will be certified as our premium Jamaican coffee," said the CIB head.

A dealer's licence is restricted to trade in roasted coffee beans and coffee products. The CIB is the only entity allowed to export green beans for reasons of quality control.

A cess, ranging from US$53 to US$91 per box, is paid on cherry coffee and on green and roasted coffee sold both locally and abroad, earning the CIB so far this year US$36 million from 356,000 boxes processed.

Jamaica's coffee industry, measured by exports, was valued in 2008 at US$26.5 million.
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Jamaican Blue Mountain Coffee

I am dedicating this blog to all coffee drinkers, coffee lovers and to my family. I am wishing that someday, i will be able to taste Jamaican Blue Mountain Coffee, or even the Green Mountain Coffee. These two are the best coffee in the whole world and the most expensive coffee. Jamaican Blue Mountain Coffee is grown in the Blue Mountain of Jamaica wherein the climate has help the coffee beans to grow in the most perfect way which greatly affects the taste of Jamaican Blue Mountain Coffee.

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