Starbucks Costing Coffee Farmers Millions, Oxfam Claims (New Zeeland Herald)

Global coffee giant Starbucks is denying Ethiopian coffee-farmers of $132 million a year by refusing them ownership of their coffee brands, international agency Oxfam says.

The Ethiopian government filed applications to trademark its famous coffee names Sidamo, Harar and Yirgacheffe in the US, Canada, Japan and European Union countries.

But while coffee bodies in the other countries have given Ethiopia ownership of its brands, it is claimed Starbucks opposed it through the US National Coffee Association, of which it is a leading member.

The US Patent and Trademark Office subsequently denied the trademark applications.

If it had been approved, it would have placed about $132 million a year in the hands of coffee-farmers, rather than into the pockets of Starbucks, Oxfam says.

"Starbucks' behaviour is indefensible," said Seth Petchers, head of Oxfam International's Make Trade Fair campaign.

"Starbucks works to protect and promote its own name and brand vigorously throughout the world, so how can it justify denying Ethiopia the right to do the same?"

Starbucks, whose annual turnover is equivalent to about three quarters of Ethiopia's entire gross domestic product, said in a statement it had offered to help the Ethiopian Government in developing a certification program.

Starbucks had never filed an opposition to the trademark application, the statement said.

But Ron Layton, head of US intellectual property rights organisation Light Years, which is advising the Ethiopian government, said Starbucks filed a trademark application with the word "Sidamo" in 2004 to the trademarks office.

Ethiopia's application a year later was rejected because the word was already part of a Starbucks' application, it is claimed. When Starbucks' application lapsed in June, the US National Coffee Association objected to the Ethiopian application.

Tadesse Meskela, head of the Oromia Coffee Farmers Cooperative Union in Ethiopia, said Sidamo and Harar coffees sell for up to $86 a kilogram in the US.

"But Ethiopian coffee farmers only earn between US60c (NZ 91c) to US$1.10 (NZ$1.67) for their crop, barely enough to cover the cost of production. I think most people would see that as an injustice."

Oxfam NZ fair trade spokeswoman Linda Broom said Starbucks turned a blind eye to the Ethiopian Government's request last month to sign an agreement, which would have recognised ownership rights and ensured the benefits went to the country's coffee-farmers. Starbucks was acting immorally, but not illegally, Ms Broom said.

"We've been lobbying from behind the scenes, but Starbucks has turned a blind eye, so now we're hoping for a public backlash."

Starbucks stated it was committed to paying premium prices to producers in more than 27 countries, and its purchases of Ethiopian coffee had grown by more than 400 per cent in the past four years.

Ms Broom said Ethiopian authorities were still working towards applying for trademark in New Zealand, where its coffee makes up the biggest proportion of the $4 million in fair-trade coffee sales in the last financial year.

Source: New Zeeland Herald

Note: change of font color was done by Ethiopian Coffee to highlight those points.

Ethiopia calls upon Starbucks to support trade marks (AND)

Ethiopia urges Starbucks and other coffee companies to support the country’s plan to trademark speciality coffee names, a process that could bring Ethiopian farmers an estimated $88m annually.

Ethiopia calls upon Starbucks to fully support its plan to trademark coffee names

Ethiopia urges Starbucks to support the country’s plan to trademark speciality coffee names, a process that could bring Ethiopian farmers an estimated $88m annually.

The Ethiopian government believes that companies like Starbucks are morally bound to support Ethiopia’s efforts to gain more control over its coffee trade and a larger share of the earnings for millions of coffee farmers living in poverty.

Last year the Ethiopian government filed applications to trademark its most famous coffee names, Sidamo, Harar and Yirgacheffe. Securing the rights to these names would enable Ethiopia to capture more value from the trade, by controlling their use in the market and thereby enabling farmers to receive a greater share of the retail price.

Ethiopia was surprised to see Starbucks – which is worth $6bn - launching a protest against Ethiopia’s application to the US Patent and Trademark Office (USPTO). The USPTO has since denied Ethiopia’s applications for Sidamo and Harar, creating serious obstacles to its efforts to get a fair price for these coffees.

Berhanu Kebede, Ethiopia’s Ambassador to the UK, added “Ethiopian coffee is a prime product whose producers should earn a fair price for their hard work. It is also encumbent upon the international community to support this novel endeavour, which aims to fully empower coffee farmers in Ethiopia. This campaign has a pivotal role in redressing the unfairness of the international trading system.”

In reaction to the unacceptable position taken by Starbucks, Seth Petchers of Oxfam International’s Make Trade Fair campaign said:

“Starbucks’ behaviour is indefensible. The company must change tactics and set an example for others by supporting Ethiopia’s plan to help millions of struggling farmers earn a greater share of the profits.”

“Intellectual property ownership now makes up a huge proportion of the total value of world trade but rich countries and businesses capture most of this. Ethiopia, the birthplace of coffee, and one of the poorest countries in the world, is trying to assert its rights and capture more value from its product. It should be helped, not hindered,” said Ron Layton, chief executive of Light Years IP, a Washington DC-based intellectual property rights organisation that is helping to advise the Ethiopian government.

If Ethiopia successfully trademarks the names of its speciality coffees, farmers could earn more from them, making a vast difference in the lives of some of the poorest people in the world. Once Jamaica’s “Blue Mountain” coffee received a trademark it fetched almost ten times what it used to fetch. In contrast, the few extra cents per pound would hardly make a dent in the profits of multi-national companies like Starbucks which earned over $3.7 billion last year.

Tadesse Meskela, head of the Oromia Coffee Farmers’ Cooperative Union in Ethiopia remarked: "Coffee shops can sell Sidamo and Harar coffees for up to $26 a pound because of the beans’ speciality status, but Ethiopian coffee farmers only earn between 60 cents to $1.10 for their crop, barely enough to cover the cost of production. I think most people would see that as an injustice."

The embassy was surprised to learn about Starbucks’ recent intervention in the USPTO decision - through prompting the National Coffee Association of USA, Inc. (NCA), of which it is a leading member, to oppose the approval of the trademarks.

Starbucks brought the application to the attention of the NCA a year after Ethiopia’s trademark application was submitted. Ethiopia is nevertheless continuing to pursue its trademark applications in the US. At the same time, it is asking Starbucks and other companies to sign voluntary licensing agreements that immediately acknowledge the country’s ownership of the coffee names, regardless of whether they have been issued a trademark. The licensing agreements will allow Ethiopia to pursue its strategy of enhancing its trading capacity and earning an estimated additional $88 million per year for its coffee sector, including millions of poor coffee farmers.

To this end, the Ethiopian government presented an agreement for Starbucks to sign in September, recognising the country’s rights to the names Sidamo, Harar and Yirgacheffe and stating that additional benefits generated would go to small-scale coffee farmers who are currently living on the brink of survival. However, Starbucks has yet to respond affirmatively.

The plan to trademark Ethiopian speciality coffee names is being developed and run by the Ethiopian Intellectual Property Office (EIPO).

Starbucks and Ethiopian Government in coffee row (ClickAfrique)

Starbucks the Seattle based Coffee giant has run into a storm of controversy over allegations by Oxfam that Starbucks had objected to moves by Ethiopia to trademark some of its more famous coffee names as brands.

Oxfam claims that Starbuck has asked the American National Coffee Association (NCA) to block Ethiopia's recent attempt to trademark brands such as Harar, Sidamo, Yirgacheffe.

The Ethiopian government had filed an application in the US to trademark these names which are names of regions of Ethiopia where the coffee is grown. Analysts believe that the move could substantially boost the earnings Ethiopia makes form coffee exports by about $88 million a year.

The NCA claim that the hurt the Ethiopian coffee market not aid it, and by extension any problems for Ethiopian growers will hurt the American coffee industry.

Starbucks which uses these names on a number of products it sells has countered these allegations by denying they opposed the application. They stressed that they had offered to work with the Ethiopian government to set up a certification scheme which they believe would be more effective.

The plan to trademark Ethiopian specialty coffee names is being developed and run by the Ethiopian Intellectual Property Office (EIPO) and undertaken with some grant funding from the UK's Department for International Development.

Under the same EIPO project, Harar, Yirgacheffe and Sidamo are being trademarked in other coffee consuming countries including Canada, Japan and the EU.

Source: Click Afrique

Oxfam Taking On Starbucks to Secure Ethiopian Coffee Farmer Rights (IWW)

Oxfam revealed today that Starbucks has been working to block Ethiopian coffee farmers from asserting the right to their own cultural heritage. Ethiopia is seeking to control its own coffee names- Sidamo, Harar, and Yirgacheffe- against Starbucks' opposition. The company's maneuvering is depriving Ethiopian coffee farmers of tens of millions of dollars a year in much needed revenue.

The revelation is further evidence that Starbucks' socially-responsible claims regarding coffee farmers and baristas is nothing but spin.

Visit the Starbucks campaign homepage at Oxfam's website: here

Take a stand with workers across the Starbucks supply chain with the Justice from Bean to Cup! campaign: http://starbucksunion.org/bean2cup

Source: Industrial Workers of the World
"THERE'S a story behind every cup of coffee you drink, and it's often one that would leave a bitter taste in your mouth if you knew about it. A case in point is the story that appeared this week revealing that Starbucks is opposing Ethiopian plans to trademark its most famous coffee names.

There's a real opportunity here for Ethiopia to capitalise - quite rightly - on the consistently high quality of its coffees by being able to trademark their coffee names and control how those names are used by others. If Starbucks can vigorously protect and make best use of its own globally recognised brand name, while at the same time making a big noise about selling the finest Ethiopian coffees, isn't there a whiff of hypocrisy in the air? " as written by Western Mail.

Is this not absolutely shameful to deny poorest farmers in Ethiopia to get value for their coffee by registering the names of their coffee?