Coffee production in Costa Rica

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A coffee plantation in the Orosi valley DirkvdM orosi valley bird.jpg
A coffee plantation in the Orosí valley

Coffee production has played a key role in Costa Rica's history and continues to be important to the country's economy. In 2006, coffee was Costa Rica's number three export, [1] after being the number one cash crop export for several decades. In 1997, the agriculture sector employed 28 percent of the labor force and comprised 20 percent of Costa Rica's total GNP. [2] Production increased from 158,000 tons in 1988 to 168,000 tons in 1992. The largest growing areas are in the provinces of San José, Alajuela, Heredia, Puntarenas, and Cartago. The coffee is exported to other countries in the world and is also exported to cities in Costa Rica.

Contents

As a small country, Costa Rica now provides under 1% of the world's coffee production. [3] In 2015, the value of its coffee exports was US$305.9 million, a small part of the total agricultural exports of US$2.7 billion or of the total of all exports which was US$12.6 billion. [4] [5] Coffee production increased by 13.7% percent in 2015–2016, declined by 17.5% in 2016–2017 but was expected to increase by about 15% in the subsequent year. [6]

History

Coffee production in the country began in 1779 in the Meseta Central which had ideal soil and climate conditions for coffee plantations. [7] Coffea arabica first imported to Europe through Arabia, whence it takes its name, was introduced to the country directly from Ethiopia. In the nineteenth century, the Costa Rican government strongly encouraged coffee production, and the industry fundamentally transformed a colonial regime and village economy built on direct extraction by a city-based elite towards organized production for export on a larger scale. The government offered farmers plots of land for anybody who wanted to harvest the plants. The coffee plantation system in the country therefore developed in the nineteenth century largely as result of the government's open policy, although the problem with coffee barons did play a role in internal differentiation and inequality in growth. [2] Soon coffee became a major source of revenue surpassing cacao, tobacco, and sugar production as early as 1829.

Early plantation workers in Costa Rica Coffee plantation in Costa Rica.jpg
Early plantation workers in Costa Rica

Exports across the border to Panama were not interrupted when Costa Rica joined other Central American provinces in 1821 in a joint declaration of independence from Spain. In 1832, Costa Rica, at the time a state in the Federal Republic of Central America, began exporting coffee to Chile where it was re-bagged and shipped to England under the brand of “Café Chileno de Valparaíso”. In 1843, a shipment was sent directly to the United Kingdom by the Guernseyman William Le Lacheur, captain of the English ship, The Monarch, who had seen the potential of directly cooperating with the Costa Ricans. He sent several hundred-pound bags and following this the British developed an interest in the country. [8] They invested heavily in the Costa Rican coffee industry, becoming the principal customer for exports until World War II. This led to the establishment of the Anglo-Costa Rican Bank in 1863, which provided finance to allow the industry to grow. [9] Growers and traders of the coffee industry transformed the Costa Rican economy, and contributed to modernization in the country, which provided funding for young aspiring academics to study in Europe. The revenue generated by the coffee industry in Costa Rica funded the first railroads linking the country to the Atlantic Coast in 1890, the “Ferrocarril al Atlántico”. The National Theater itself in San José is a product of the first coffee farmers in the country. [8]

Coffee was vital to the Costa Rican economy by the early to mid-20th Century. Leading coffee growers were prominent members of society. Due to the centrality of coffee in the economy, price fluctuations from changes to conditions in larger coffee producers, like Brazil, had major reverberations in Costa Rica. When the price of coffee on the global market dropped, it could greatly impact the Costa Rican economy. [10]

In 1955 an export tax was placed on Costa Rican coffee. The current export tax is levied at 1.5%. [11] In 1983, a major blight struck the coffee industry in the country, throwing the industry into a crisis that coincided with falling market prices; world coffee prices plummeted around 40% after the collapse of the world quota cartel system. By the late 1980s and early 1990s, coffee production had increased, from 158,000 tons in 1988 to 168,000 in 1992, but prices had fallen, from $316 million in 1988 to $266 million in 1992. [2] In 1989, Costa Rica joined Honduras, Guatemala, Nicaragua, and El Salvador to establish a Central American coffee retention plan which agreed that the product was to be sold in installments to ensure market stability. There was an attempt by the International Coffee Organization in the 1990s to maintain export quotas that would support coffee prices worldwide.

At present, the production of coffee in the Great Metropolitan Area around the capital of San José has decreased in recent years due to the effects of urban sprawl. As the cities have expanded into the countryside, poor plantation owners have often been forced to sell up to building corporations.

Production

Coffee growing regions of Costa Rica
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Valle Occidental
Tarrazu
Tres Rios
Orosi
Turrialba
Valle Central
Guanacaste
Brunca Costa Rica Coffee Growing Regions.svg
Coffee growing regions of Costa Rica
  Valle Occidental
  Tarrazú
  Tres Ríos
  Orosi
  Turrialba
  Valle Central
  Guanacaste
  Brunca

Coffee production in the country relies on cheap, seasonal labor: Nicaraguan immigrants are often employed on these plantations. Coffee cultivators in the country are paid very little, often as little as US$1.5 per basket picked, but the wages are not less than in many other industries of the Costa Rican primary sectors. [12] The berries are picked by the workers and are transported to processing plants to be washed and to remove the pulp around the beans. In Costa Rica the processing plants where this process is done are called beneficios but the effects of pulp removal may result in non-beneficial environmental effects (see below). The beans are then laid out to dry in the sun, then sorted according to size and shape. Although mechanical drying is gradually replacing manual labor in places, time-consuming sun drying, and equipment are required to dry the wet seeds after pulping. [13] Once processing is complete, the coffee is bagged into burlap sacks (with or without a moisture barrier bag) and stored until exported.

Eight growing regions and seasons

The eight recognized growing regions and season are illustrated in the table below. The finest coffee is typically grown at altitudes of 1,200 to 1,700 meters, in a shorter winter growing season; the lower quality coffee is typically grown at altitudes below 1,200 metres, in a longer growing season that lasts from late summer through to winter. [8]

AltitudeHarvestBlend Nature
RegionSubregion6007008009001,0001,2001,3001,3501,4001,6001,6501,7001,900JunJulAgoSepOctNovDecJanFebMarAcidityBodyAroma
Valle Occidental [14] Very goodVery goodVery good
Tarrazú [15] High, fine, not pungentGoodExcellent
Tres Ríos [16] Very high, fineVery goodVery good
Orosi [17] Medium to lightGoodGood
Turrialba [18] NormalLittleGood
Valle Central [19] High, very fineVery goodVery good
Guanacaste [20] San Carlos, SarapiquíBalancedBalancedBalanced
Nicoya PeninsulaBalancedBalancedBalanced
PuntarenasBalancedBalancedBalanced
Brunca [21] Coto BrusNormalNormalNormal
Pérez ZeledónExcellentExcellentExcellent

Reputation

Costa Rican coffee beans are considered among the best in the world. [22] [23] Tarrazú is thought to produce the most desirable coffee beans in Costa Rica. [24] Following the great success of Panama Geisha coffee, Geisha Coffee production started in 2012 in the area of Tarrazú. Tarrazú Geisha coffee became the most expensive coffee sold by Starbucks in 48 of their stores in the United States, using the Clover automated French press. [25]

The Agriculture and Livestock Ministry and the Costa Rican Coffee Institute organize an annual festival: National Coffee Day, during which a producer is awarded the Cup of Excellence for the highest quality of coffee produced in Costa Rica. The winner sells their coffee through an auction to the international community. [26]

Environmental impact

Although coffee production in Costa Rica is a major source of revenue, it is not without its environmental problems. The main effect on the environment is the pollution of rivers during the separation and de-pulping process at the beneficio processing plants or mills. After the beans are separated from the pulp, the beans are left to ferment in a water tank to remove the gummy gel that surrounds the bean. By the end of the drying process, there is leftover pulp and sugar water. In the past, many coffee producers dumped the pulp waste directly into the rivers. Approximately 57% of the coffee bean consists of contaminants which destroy wildlife in rivers and may harm people.[ citation needed ] [27] The pulp as it decays in river water has the effect of depleting the water of oxygen and killing off aquatic life.

Coffee production may increase the risk of soil erosion Cafezal Faz Letreiro.jpg
Coffee production may increase the risk of soil erosion

By the early 1990s, the problem had raised serious concerns, and in January 1995 the government passed new legislation which imposed regulations on the proper treatment of solid and liquid waste. [2] Some farmers in the country have attempted to use the pulp waste in soils as a fertilizer, but deforestation for coffee production may result in soil erosion and additional environmental costs. Deforestation is not new in Costa Rica. Major deforestation began in the 1830s with the introduction of coffee cultivation in the Meseta Central region, which was the cradle of the nation's coffee industry. By 1900 however, deforestation had accelerated rapidly in other parts of the country. Coffee was ideally suited to the soil and bio-climatic conditions of the volcanic mountain ranges of the central meseta, but by this time cultivation had begun extensively in the more vulnerable hill forests to provide coffee that was in increasing demand for export. By the 1970s and 1980s, this along with the removal of forest for pasture land and ranching had resulted in an annual forestry loss of 4% per annum, one of the highest rates in Latin America at the time. [2] Such lands under pasture or coffee cropping can be subject to erosion by water.

See also

Related Research Articles

<span class="mw-page-title-main">Costa Rica</span> Country in Central America

Costa Rica, officially the Republic of Costa Rica, is a country in the Central American region of North America. Costa Rica is bordered by Nicaragua to the north, the Caribbean Sea to the northeast, Panama to the southeast, and the Pacific Ocean to the southwest, as well as maritime border with Ecuador to the south of Cocos Island. It has a population of around five million in a land area of 51,060 km2 (19,710 sq mi). An estimated 333,980 people live in the capital and largest city, San José, with around two million people in the surrounding metropolitan area.

<span class="mw-page-title-main">History of Costa Rica</span> Historical development of Costa Rica

The first indigenous peoples of Costa Rica were hunters and gatherers, and when the Spanish conquerors arrived, Costa Rica was divided in two distinct cultural areas due to its geographical location in the Intermediate Area, between Mesoamerican and the Andean cultures, with influences of both cultures.

<span class="mw-page-title-main">Economy of Costa Rica</span>

The economy of Costa Rica has been very stable for some years now, with continuing growth in the GDP and moderate inflation, though with a high unemployment rate: 11.49% in 2019. Costa Rica's economy emerged from recession in 1997 and has shown strong aggregate growth since then. The estimated GDP for 2023 is US$78 billion, up significantly from the US$52.6 billion in 2015 while the estimated 2023 per capita is US$26,422.

<span class="mw-page-title-main">Costa Rican cuisine</span> Cuisine originating from Costa Rica

Costa Rican cuisine is known for being mostly mild, with high reliance on fruits and vegetables. Rice and black beans are a staple of most traditional Costa Rican meals, often served three times a day. Costa Rican fare is nutritionally well rounded, and nearly always cooked from scratch from fresh ingredients. Owing to the location of the country, tropical fruits and vegetables are readily available and included in the local cuisine.

<span class="mw-page-title-main">Monteverde</span> Canton in Puntarenas province, Costa Rica

Monteverde is the twelfth canton of the Puntarenas province of Costa Rica. It is located in the Cordillera de Tilarán mountain range. Roughly a four-hour drive from the Central Valley, Monteverde is one of the country's major ecotourism destinations. The area is host to the Monteverde Cloud Forest Reserve and several other natural attractions, which draw considerable numbers of tourists and naturalists.

<i>Estancia</i> Large, private plot of land used for farming or cattle-raising

An estancia is a large, private plot of land used for farming or raising cattle or sheep. Estancias in the southern South American grasslands, the pampas, have historically been estates used to raise livestock, such as cattle or sheep. In Puerto Rico, an estancia was a farm growing frutos menores; that is, crops for local sale and consumption, the equivalent of a truck farm in the United States. In Argentina, they are large rural complexes with similarities to what in the United States is called a ranch.

<span class="mw-page-title-main">Economics of coffee</span>

Coffee is a popular beverage and an important commodity. Tens of millions of small producers in developing countries make their living growing coffee. Over 2.25 billion cups of coffee are consumed in the world daily. Over 90 percent of coffee production takes place in developing countries — mainly South America — while consumption happens primarily in industrialized economies. There are 25 million small producers who rely on coffee for a living worldwide. In Brazil, where almost a third of the world's coffee is produced, over five million people are employed in the cultivation and harvesting of over three billion coffee plants; it is a more labor-intensive culture than alternative cultures of the same regions, such as sugar cane or cattle, as its cultivation is not automated, requiring frequent human attention.

<span class="mw-page-title-main">San Marcos, Costa Rica</span> District in Tarrazú canton, San José province, Costa Rica

San Marcos is a district and the head city of the canton of Tarrazú in the province of San José in Costa Rica.

<span class="mw-page-title-main">Tarrazú (canton)</span> Canton in San José province, Costa Rica

Tarrazú is the fifth canton in the province of San José in Costa Rica. The head city of the canton is San Marcos. It is part of Los Santos Zone, together with Dota and León Cortés Castro.

<span class="mw-page-title-main">Coffee production in Colombia</span> UNESCO World Heritage Site in Colombia

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<span class="mw-page-title-main">Café Britt</span>

Café Britt is a Costa Rican company that produces and markets gourmet coffee, chocolate and other products. They create and sponsor coffee-related tourism and education in Costa Rica. Products are sold in retailers, online, in Britt Café • Bakery locations, and in Grupo Arribada-owned Morpho Travel Experience. The company currently employs around 400 people. Its coffee-roasting and chocolate-making operations are based in Costa Rica and Peru.

<span class="mw-page-title-main">Coffee production in El Salvador</span>

Coffee production in El Salvador has fueled the Salvadoran economy and shaped its history for more than a century. Rapidly growing in the 19th century, coffee in El Salvador has traditionally provided more than 50% of the country's export revenues, reaching a peak in 1980 with a revenue of more than $615 million. With the political and economic turmoil resulting from a civil war in the 1980s, the coffee industry has struggled to recover entirely, and by 1985 earned around $403 million from coffee. Brazil has been buying to sell the goods of El Salvador.

Costa Rican agriculture plays a profound part in the country's gross domestic product (GDP). It makes up about 6.5% of Costa Rica's GDP, and 14% of the labor force. Depending upon location and altitude, many regions differ in agricultural crops and techniques. The main exports include: bananas, pineapples, coffee, sugar, rice, vegetables, tropical fruits, ornamental plants, corn, potatoes and palm oil.

<span class="mw-page-title-main">Tres Ríos, Cartago</span> District in Cartago, Costa Rica

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<span class="mw-page-title-main">San Juan de Santa Bárbara</span> District in Santa Bárbara canton, Heredia province, Costa Rica

San Juan is a district of the Santa Bárbara canton, in the Heredia province of Costa Rica. The district consists of two major neighborhoods: San Juan Arriba, and San Juan Abajo.

San Vito, originally named San Vito de Java, is a district and head city of the Coto Brus canton, in the Puntarenas province of Costa Rica. It is located about 271 kilometres (168 mi) southeast of the capital San José, and close to the Panama border.

Coffee production in Panama was occurring in the Boquete Valley by the early 20th century, although coffee was growing wild all over the Pacific coast region of Panama by this time, when production did not match domestic consumption. The International Coffee Organization (ICO) has grouped mild arabica as the variety of coffee that is grown in Panama. The best quality of coffee in Panama is grown in Boquete. In the Coffee Review of 2008, two Panamanian coffees have received higher rating and fetched record prices than the coffee from Costa Rica. This is mainly due to the unprecedented success of the Geisha varietal. This varietal originated from and arrived via Tanzania and Costa Rica in the 1960s in Panama. But only in 2004, its outstanding taste profile was recognized. In 2019 one pound of Panama Geisha beans fetched $1,029 in an auction.

<span class="mw-page-title-main">Conservation in Costa Rica</span>

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<span class="mw-page-title-main">Los Santos Zone</span> Socioeconomic region in San José, Costa Rica

Los Santos Zone is a mountainous region in the San José Province of Costa Rica, in the center-south of the country. It is also known in Spanish as Valle de los Santos or just Los Santos.

References

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