MCC U.S. Coffee Project

Policy Action Update

Nearly 25 million coffee farmers worldwide have seen prices fall by 70 percent in the last five years. Many coffee farmers can no longer afford food or medical care for their families; some are even losing their land.

Causes and solutions

U.S. Plans to Rejoin International Coffee Organization

from Oxfam America

The International Coffee Organization (ICO) plays a central role in developing solutions to the global coffee crisis. Now, in response to a campaign led by Oxfam, the United States has expressed its intention to rejoin the ICO. Write a letter or send an e-mail to President Bush thanking him for this decision and asking him to work with the ICO to restore prices for coffee farmers.

In a move praised around the world by coffee farmer advocates and coffee consuming countries alike, the United States government announced its intention to rejoin the International Coffee Organization, the international forum for coffee trade policy and production.

About 25 million farmers depend on coffee crops to feed their families. But plummeting coffee prices have created a global humanitraian criss where farmers in poor countries sell their coffee beans for much less than they spend to harvest them, creating increased poverty, hunger, and disloacation in 50 coffe-growing countries.

The U.S. government's involvement with the ICO could help strengthen international efforts to alleviate that problem, said Seth Petchers, Coffee Program Coordinator for Oxfam America.

As the largest coffee importing nation in the world, representing about a quarter of the world's consumption, the U.S. can push for quality improvement programs, direct market access, and diversification initiatives, which could help increase the price that family farmers receive.

"Coffee plays a crucial role in the economic health of communities in poor countries all over the world," Petchers said. "If the U.S. steps up to the plate, they might be able to put serious money into development programs that would increase the share of the price of coffee farmers receive."

Robert Nelson, president and CEO of the National Coffee Association, said the U.S. had made a "historic decision."

"I belive the main goal of representatives from U.S. government when they go to the ICO will be to promote policies and practices that ultimately create an environment where farmers can effectively compete in the global marketplace," Nelson said. "U.S. membership, through taking an active leadership role, can very much ensure future sustainability of the worlwide coffee industry."

The U.S. was a founding member of the ICO in 1963, but it left the group in 1993 to protest what it regarded as one group impeding the free market system.

Some belive the ICO's approach has appeared more market-oriented in recent years.

Plus, nongovernmental groups like Oxfam America have worked with congress people on both sides of the aisle to encourage the U.S. government to realize the important role it could play if it returned to the ICO.

U.S. Rep. Sam Farr (D-Calif.), who pushed for U.S. intervention in the coffee crisis, said he saw firsthand how important coffee crops could be to sustaining developing nations when he worked as a Peace Corps volunteer in Colombia in the 1960s.

U.S. membership in the ICO won't immediately solve the problems of coffe farmers around the world, he said, but "it's a gigantic step forward."

Oxfam America urged the U.S. to rejoin the ICO through its Make Trade Fair campaign. Oxfam America also assists coffee growing cooperatives, educates consumers, and promotes the retail sales of Fair Trade Certified coffee.

Mail to:
President George W. Bush
The White House
Washington, DC 20500

or

e-mail:
president@whitehouse.gov
(be sure to include your postal address)

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