2017 Impact Report

Page 1


¡La Lucha! (The Fight, in Spanish) Heroes. They’re all around. They don’t always have superpowers and costumes, but if you look closely enough, you’ll find them. Their courage in the face of unjust and seemingly insurmountable odds inspires the best in us all. This is our 2017 impact report. We’re presenting it in comic form, but it’s no joke. It’s an attempt to convey the gravity of the moment with a medium that many of us love. We hope our “impact comic” might help make these massive issues a bit more accessible, inspiring more heroes to the cause. In the four short stories that follow, you’ll find a discussion about the crashing C price, a reflection on unexamined bias, an ode to transparency, and ways to invest in a climate-smart future. It’s a call to arms because the odds stacking up against coffee farmers around the globe are like we’ve never seen. We must all summon our greater selves and rise to the challenge, like the heroes in this comic.


Read about their heroics in: The Fight for Better Livelihoods The Fight for Gender Equity The Fight for Transparency The Fight for Climate Resilience

Ready to suit up? We need you. Join La Lucha! With thanks, Your friends at Sustainable HarvestÂŽ


The Fight for Better Livelihoods In 2017, we increased our purchases by 11 percent, buying a significant volume of sustainable coffees from more than 57,000 smallholder coffee farmers across Africa, Asia, and Latin America. Here’s a snapshot of our impact in 2017: • Farm Families Reached: 57,000 • Origins: 14 Countries

quality to procure higher premiums in the market, we also believe that quality is a journey, not a destination. Just as every relationship is different, every buyer also has their own unique demands, and the highest quality isn’t always at the top of their wish list. Conversely, not every producer is equipped to produce 85+ coffee, whether due to the realities of altitude, soil, and weather in their area, or just resource scarcity.

• Producer Partners: 109 • Acres of Sustainable Production: 93,000 • Fair Trade: 75% of our purchases were Fair Trade Certified, more than half of which were also certified organic At Sustainable Harvest® we meet our roaster customers and producer partners where they are and find ways to connect them that respect cultural differences, language divides, busy schedules, and limited resources. We use phone calls, video chats, origin trips, and annual events such as Let’s Talk Coffee® to help change otherwise mundane business transactions into rich business relationships. Clear for all parties, contracts between producer partners and roasters are negotiated transparently—with all of the costs laid out, each side sees what the other receives, and the parties agree to a mutually beneficial arrangement. Despite a wide range of quality scores, volumes, varieties, and processing types, this negotiating system results in above-market prices paid to our producer partners. While our origin staff work closely with producers to improve their

We want our partners at origin to maximize their profitability and produce the best coffee they can for their given situation. Sustainable Harvest® is committed to finding the right buyers for our producer partners based on the diverse needs of the industry’s many coffee roasters.



If producing specialty coffee is a money-losing proposition for the majority of farmers, then the humanitarian implications are dire, and the industry is in jeopardy

Coffee prices have crashed, and research shows that many farmers are underwater and can’t recoup costs.

Liam Brody, President of Sustainable Harvest ®

Jerónimo Bollen, Director of Impact & Sustainability

C the Destroyer is coming! If it crashes down on us, we could lose everything!

C the Destroyer is powerful, so we must use many equally powerful tools to keep the shield strong. Don’t lose hope! We can help. Our co-op has built a shield for farmers like you to keep C the Destroyer from crashing down on you.

One of the most important tools: fair trade!

Fair trade is fueled by the strength of coffee roasters and drinkers halfway around the world. Together, we can help hold back the Destroyer and give farmers like you time to build your own defenses.


If you join our co-op, agronomists like me can teach you how to build your own shield by boosting productivity, improving quality, and better managing your costs.

Our members receive other benefits—access to inputs like fertilizer and seedlings at super-reduced rates. We even offer loans.

Hold on. C the Destroyer crashing down on us is bad enough; I don’t need to go further into debt.

Never fear! Our members use loans to start new businesses to diversify their income. Growing passion fruit or raising chickens can put money in your pocket and food on your table. Together, all of these tools can help shield you and your farm from C the Destroyer.

Sign me up! There’s no time to waste.


The Fight for Gender Equity Women carry out much of the labor in the coffee supply chain, yet they traditionally receive little compensation for their contribution and direct impact on the quality of the end product. Meanwhile, men overwhelmingly occupy positions of power in the chain from which they capture more of the product’s value. Given this inequality, we believe that promoting gender equity is not only the right thing, but that there is a strong business case for investing in women. For example, equipping women with knowledge and skills in cupping and best agricultural practices improves cup quality and productivity. Our internal cupping data even indicates that women-grown lots return a higher cup score than non-womengrown lots from the same cooperatives. We also know that value from coffee returning to women means greater investment in the family, leading to improved livelihoods. Studies show that women invest 90 cents of every dollar they earn in the household; this investment leads to transformational change in coffee-growing communities, increasing supply chain sustainability. Sustainable Harvest® is committed to partnering with women coffee producers and their families to promote gender equity and improved livelihoods. Here are a few examples from our efforts in 2017: • In 2013, we partnered with Bloomberg Philanthropies to create the Relationship Coffee Institute. Sustainable Growers, as it has been recently renamed, is an independent nonprofit dedicated to improving the lives of coffee farmers, especially women, through technical Training and market

access. Since its launch, they have enrolled more than 28,000 women farmers, making it the largest gender-based coffee program in the world. Their innovative, market-based initiatives in Rwanda have already more than doubled productivity, quality, and income for thousands of participating women farmers. In 2017, Sustainable Harvest® donated all profits from the sales of our Rwandan coffees to support the work of Sustainable Growers. • In 2017, Sustainable Harvest® and the Relationship Coffee Institute collaborated with the Coffee Quality Institute’s Partnership for Gender Equity (PGE). We are proud to be a founding member of their Equal Origins initiative and were honored to help pilot PGE’s Common Measurement Framework for Gender in Coffee, a new tool to improve the industry’s investments in gender equity. • Since sourcing our first exclusively women-grown coffee in 2003, Sustainable Harvest® has sourced 6.85 million pounds of coffee from women producers, and in 2017 alone we sourced 679,000 pounds. While many of the dynamic women we source from are members of producer organizations, their coffee is sold separately, and any additional premium goes directly back to them. In total, we estimate that about 25 percent of the coffees we source are grown by women coffee producers.



Yes, gender equity must be a core component of a sustainable supply chain. We can all play a role by challenging norms, investing in women, and purchasing these powerful coffees.

Women play a leading role in coffee production, but they often aren't fairly rewarded for their efforts.

Jerónimo Bollen, Director of Impact & Sustainability

Liam Brody, President of Sustainable Harvest ®

The trees are looking healthy this year; the weather has been cooperative.

That pruning and composting we did really paid off. I can’t wait to see how the coffee cups.

Oh greeeat, ManSplain is here.

Have you been watering these enough? We've been water... How did you decide where to plant these?

We were advised by experts... I would've chosen another variety for this plot of land.


Halt!

Ladies, are you filling in for your husbands today? Can I show you how to prune these a little better?

These women have attended numerous agricultural trainings.

I'm pretty sure they know what they're doing.

I can bring my friends over to do this faster.

Six months later ...

Hey, I was just trying to help.

You can help best by and use what letting these they've learned women work because these professionals can teach you a thing or two...

The womengrown lot is here! The pre-ship sample cupped at 86, I can’t wait to roast it!


The Fight for Transparency More than 20 years ago, Sustainable Harvest® introduced the concept of the Relationship Coffee Model. It’s a sourcing initiative rooted in transparency and traceability: Producers and roasters foster a relationship, negotiate prices directly, and form a strong bond over time. They know the people they’re doing business with, and their businesses—and lives—are richer for that connection. Our model shows our commitment to using business as a force for good, and this sentiment is further affirmed by our status as a Certified B Corporation. B Corps are for-profit companies that meet rigorous standards of social and environmental performance, accountability, and transparency. We were the first coffee importer in the world to become a B Corp in 2008, and we’ve been heartened to see many others join the movement—including our roaster partners Equator Coffees & Teas, Nossa Familia Coffee, Reunion Island Coffee, and Salt Spring Coffee. We put the B Corp values into action every day as we source coffee transparently and sustainably through the Relationship Coffee Model. In order for the Relationship Coffee Model to work efficiently and effectively, Sustainable Harvest® must identify producer partners who meet our high standards. We’ve been privileged to work with some of the most dedicated and quality-driven producers in the business. Today, we have a name for this elite group of enterprising farmers: the Most Valuable Producers, or MVPs. The MVP program is our preferred supplier initiative that connects top producers to roasters and supports

their professional development through training events. By equipping the MVPs with the knowledge and skills they need to continually perform at the highest level, we’ve found they’re empowered to consistently produce high-quality coffees and build strong farmer organizations. In turn, this performance allows us to offer roasters a portfolio of remarkable Relationship Coffees produced by farmers uniquely dedicated to buyer relationships, quality, performance, sustainability, and organizational excellence. We invest deeply in our entire supply chain, but most deeply in our MVPs. For example, in 2017 we organized two producer capacity building summits, one in Portland, Oregon, and a second outside of Esteli, Nicaragua. Following the 2017 Specialty Coffee Expo in Seattle, we brought 21 producers from 17 organizations to our headquarters in Portland, Oregon, for a five-day program including visits to local roasters and presentations from industry experts on topics such as market segmentation, gender inclusion, and climate resilience. Later in the year we held our second MVP summit, this time in Nicaragua. The weeklong event, which included 78 producers from 22 organizations representing about 11,000 farmers, featured cuppings, pre-Q training, and intensive workshops on topics such as quality control, naturals processing, microlots, and price risk management. The summit was followed by an additional training in Honduras where a group of skilled cuppers took their Q Grader exams and were credentialed.



In today's connected supply chain, it's easier than ever for buyers to know the growers behind their coffee.

Yet traceability is still not practiced in many supply chains. Let's take a look.

Liam Brody, President of Sustainable Harvest ÂŽ

JerĂłnimo Bollen, Director of Impact & Sustainability

Just need to get these to the mill for processing before they close.

Psst. Over here.

I'm El Faceless, an anonymous middleman. I'll buy those cherries from you right now.

I'm taking these to the mill to be processed to sell at a good price to a buyer I will know.

Come on, you won't get paid for months! I'll pay you for those cherries today.


This is Ms. Tracy Bility. With her crystal ball, she can see transparent supply chains. She can see lasting, meaningful relationships between coffee farmers and buyers.

That's right. I can see that your coffee will be bought by a Relationship Coffee Roaster who is in town right now for a sourcing trip.

That's my friend Chabe, she was calling about the Relationship Coffee Roaster You're amazing, Ms Bility.

See? My coffee will be sold transparently and traceably. I'll make more money, and I'll invest it in my farm so it's stronger long-term.

Blast! Defeated again by Tracy Bility!

I'm so glad you and the Relationship Coffee Roaster team could make it to my farm.

It's our pleasure,

and we can't wait to offer your exquisite coffee to our customers!


The Fight for Climate Resilience The global coffee industry is facing an increasing number of threats to sustainable production. Climate change is bringing with it rising temperatures, sporadic rainfall, and other deviations, which in turn are leading to an increase in plant diseases and pests causing lower yields for coffee producers. In this challenging landscape, it's more important than ever for Sustainable HarvestÂŽ to partner with like-minded organizations to promote the sustainable production of coffee in the face of climate change.

variety standard. Launching in Southern Mexico in 2018, the pilot program will provide smallholder farmers with access to these varieties by creating WCR Verified nurseries. The aim is to create a repeatable formula that can scale to other Sustainable HarvestŽ producer partners globally. We believe this will help transform the coffee seed and nursery sector, increasing the farmers’ ability to respond to market demand, improving quality, enhancing income, and deepening resilience to climate change.

We work hard to connect producer partners in our supply chain to best-in-class knowledge and training to help them navigate climate change. One way we do this is through our long-term partnership with World Coffee Research (WCR), a nonprofit organization whose evidence-based scientific approach is providing the industry with a new toolbox of coffee varieties and technical guidance. Their work has the power to help coffee producers sustain themselves in the face of climatic shocks and even enhance their profitability.

We are proud to support the leading efforts of World Coffee Research and continue to serve as a matching importer in the WCR Checkoff program. For more information about how to round up your purchase to support the future of coffee, please contact:

In 2017 we held two capacity-building summits for our preferred suppliers, also called our Most Valuable Producers. At the events in Portland and Nicaragua, we brought WCR experts to directly engage with our producer partners. As a result, WCR was able to share cutting-edge information on coffee variety science and climate-smart adaptation strategies. Last year also kicked off a new collaboration with WCR to design a pilot project for the WCR Verified program, which ensures that the plants producers purchase are disease-free, genetically stable, vigorous, and conforming to the

trade@sustainableharvest.com



Climate change is the most pressing issue facing the coffee industry today.

That’s right, and farmers are on the front lines. The challenges are massive, but farmers are fighting back! Let’s take a look at how...

Jerónimo Bollen, Director of Impact & Sustainability

Liam Brody, President of Sustainable Harvest ®

Everything is looking great for this year’s harvest. The trees look healthy and strong; this may be our best crop yet!

Oh no! They’ll destroy all our hard work!

Heat

Torrential Rain

Wind

Pestilence


One week later …

I can’t believe this weather. I’m not sure if the few coffee trees that survived will ripen now. We need to research what I can do to remedy this. There must be something, otherwise our only option is to pack our belongings and try to find work in the city--or worse, we'll be left with no other choice than to go North.

I’m here to help! we coffee trees have a harder time than ever in this world of climate change.

but me and my crew of F 1 are built to thrive so you and your family can too! I never knew about F 1 hybrid varieties. Can you believe it? They are more resistant to weather and disease, and high in quality and yield! We need to get these for our farm.


Join La Lucha! The struggle is real. The time for action is now. If it’s within your power, do more. Don’t know where to start or what more you can do? Here are five ideas to help you get started:

1. Demand Transparency. You pay top dollar for coffee. Are those premium prices reaching farmers? If not, farmer livelihoods are at risk—and so is the stability of your supply.

2.

Forge Deeper Relationships. Long-term business relationships are an essential component of sustainable supply chains. Producers and roasters who partner year after year support the growth of each other's businesses and the prosperity of each other's communities, creating a powerful narrative of commitment that inspires the end consumer.

3.

Fund an Origin Project. Collaborate with producer partners to help improve cup quality, farm profitability, and family well-being. Through Sustainable Growers, a 501 (c)(3) nonprofit that we co-founded with Bloomberg Philanthropies in 2013, our customers can deploy resources to invest in high-impact projects.

4. Join the Partnership for Gender Equity. PGE is

building an industry-wide movement for greater gender equity in coffee-farming communities around the world.

5. Support World Coffee Research. Invest in

world-class science by participating in the WCR CheckMark program and Sustainable Harvest® will match your contribution.




CELEBRATING 20 years of

Thank you!



Turn static files into dynamic content formats.

Create a flipbook
Issuu converts static files into: digital portfolios, online yearbooks, online catalogs, digital photo albums and more. Sign up and create your flipbook.