Burning down the Company town
For over 150 years, coffee country has been enslaved by "the Man". Back in the early 1900's, Kona farmers would pick coffee at midnight and sell to the independent mills under cover of darkness to earn a few cents more than their Company mill paid. When the Company system broke down, a number of mills jumped up to take their place. But not much has changed over the years. The mills still pay subsistence-level prices for a gourmet crop that sells at big-buck prices on the mainland.
And funny, how the processors all offer the same subsistence price too. In some industries, this is known as "price-fixing" and politicians call Congressional hearings. In this industry, it is called "business-as-usual".
But lo, here comes the internet. A new business model! New opportunities! Starbucks and Peets turn people onto good coffee! The specialty coffee industry is born, and entrepreneurs jump on board. I don't have to sell coffee cherry anymore. I can sell roasted coffee direct to the buyer and keep all the money the Processors were taking. Yeah! Sound like a good plan. Sounds a lot like those early farmers who sold under cover of darkness. Sounds like rebellion from the Man.
Well, the Man didn't like it. And he pushed back a few weeks ago. Our dear dear local organization, the Kona Coffee Council, was being driven by this new breed of farmer. The Processors felt threatened and responded in a time-honored American way. They bought the election. The Processors signed up 200 new "members" (mostly employees, family members, children and maybe even dogs) and used their votes by proxy to push their slate of people onto the board of directors. The new board's first moves were to stall or kill all the progress the farmers had made in promoting 100% Kona coffee (the processors largely sell ten-percent Kona Blends).
All this politicking has been well documented on Alt.Coffee, in the Honolulu Star Bulletin and other coffee blogs.
Huck 'em I say. Huck 'em right into the volcano.
So, we, the mighty farmers, are pushing back. We have founded the Kona Coffee Farmers Association. We are going to move forward without the bastards. We are NOT surrenduring to a dead business model.
This is the new generation of Farmgirl. We are sharpening our pitchforks, and we are fighting mad.
And funny, how the processors all offer the same subsistence price too. In some industries, this is known as "price-fixing" and politicians call Congressional hearings. In this industry, it is called "business-as-usual".
But lo, here comes the internet. A new business model! New opportunities! Starbucks and Peets turn people onto good coffee! The specialty coffee industry is born, and entrepreneurs jump on board. I don't have to sell coffee cherry anymore. I can sell roasted coffee direct to the buyer and keep all the money the Processors were taking. Yeah! Sound like a good plan. Sounds a lot like those early farmers who sold under cover of darkness. Sounds like rebellion from the Man.
Well, the Man didn't like it. And he pushed back a few weeks ago. Our dear dear local organization, the Kona Coffee Council, was being driven by this new breed of farmer. The Processors felt threatened and responded in a time-honored American way. They bought the election. The Processors signed up 200 new "members" (mostly employees, family members, children and maybe even dogs) and used their votes by proxy to push their slate of people onto the board of directors. The new board's first moves were to stall or kill all the progress the farmers had made in promoting 100% Kona coffee (the processors largely sell ten-percent Kona Blends).
All this politicking has been well documented on Alt.Coffee, in the Honolulu Star Bulletin and other coffee blogs.
Huck 'em I say. Huck 'em right into the volcano.
So, we, the mighty farmers, are pushing back. We have founded the Kona Coffee Farmers Association. We are going to move forward without the bastards. We are NOT surrenduring to a dead business model.
This is the new generation of Farmgirl. We are sharpening our pitchforks, and we are fighting mad.
3 Comments:
I found your blog on "the man" very interesting. I've been researching the Rainbow Ranch coffee plantation and the Kona coffee world today and it all looks very competitive. I currently am the business manager for a lavender farm in Washington state, http://www.purplehazelavender.com, and see a lot of similiarities. We have an annual festival too. http://www.lavenderfestival.com. I was curious if you'd tell me what you know about the Rainbow Ranch - it doesn't seem like he's marketing his business at all, and his 2.9 mil asking price sounds ridiculous. Ya think? Judi
Actually Judi, most coffee farmers are not competitive with each other. The market is wide open enough that there is plenty of room to float all boats. At issue right now is the battle between the farmers and the large-scale processors. THAT is where the competition is. The small farmers are now starting to wield enough power to impinge upon the business model of the processors. It's complex, but most (and I stress most) farmers are working together on the goal of great coffee.
As for the Rainbow Ranch, 2.9mil sounds high, but real estate has gotten out of hand here and a lot of people are looking to cash in on the bubble. The Ranch is right below me and is a well-developed property with great views. Still, it's not going to sell fast at that price.
If you'd like more, hit me up by email sshriner[AT]yahoo.com. An open blog isn't the best place to talk particulars about some of this stuff.
Aloha!
Suzanne
Hmmm... email expired it said. I'd love to resend my email to you. Or you can email me at mooncaat at earthlink.net. thx!
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