At the end of the week, a Starbucks-Ethiopia joint press statement made it out to the press. Starbucks has widely circulated this document on its website and through emails. The desired outcome is misleading the unsuspecting public. The joint press release from Ethiopia and Starbucks, no matter how tactfully drafted, shows that Starbucks has not changed its position. It is disappointing that Ethiopia would put its name on this release, which leaves the misleading impression that it has accepted Starbucks’ rejection of its trademarks. Of course, Ethiopia cannot force Starbucks to accept the trademarks. But was it necessary to publicly accept this rejection? Wouldn’t it have been better to issue separate statements?
This outcome looks like a public relations victory for Starbucks. The company said it would no longer oppose Ethiopia’s trade mark applications, which it has aggressively done, and denied. It has offered charity and some technical assistance to buy good will, and made promises to buy more coffee in Ethiopia. It claims to have the welfare of the farmers in mind. If it really had the farmers in mind, it would pay them a fair price based on what they sell the coffee to their customers.
Will Starbucks buy more coffee from Ethiopia? Starbucks refuses to reveal how much coffee it buys from Ethiopia today, and since it buys through third parties, it is impossible to know the quantity. It will be impossible to verify a claim that they increased their purchases. In other words, Starbucks is making an empty, unverifiable promise.
Starbucks says it will support technical assistance to improve the quality of the coffee produced in Ethiopia. But this will help Starbucks more than it will help the farmers. Starbucks is expanding and needs more high quality coffee. It will make big profits if the farmers increase their production of this coffee. The farmers, however, will continue to get the same small percent of the profits. It is unacceptable that Ethiopia would put its name on such a press release. Still, it should issue its own press release with an account of what has and hasn’t gone right. But what has exactly happened last week? [Read more..]
News and views on Ethiopia's finest specialty coffees - Sidamo, Harar, Yirgacheffe and Others
Starbucks won't oppose Ethiopia's efforts to obtain trade marks for its specialty coffee: joint statement (Walta)
Addis Ababa, February 19, 2007 (WIC) – Starbucks will not oppose Ethiopia’s efforts to obtain trade marks for its specialty coffee--Sidamo, Harrar/Harrar and Yirgachefe--and respects the right and choice of the government of Ethiopia to trademark its coffee brands and create a network of licensed distributors, a joint statement issued yesterday by the government and the company disclosed.
According to the joint statement released here and in Seattle (USA), though both parties recognize that there are differences in approaches to achieving this shared vision, Starbucks has indicated that it respects the right and choice of the government of Ethiopia to trade mark its coffee brands and create a network of licensed distributors.
The parties have also agreed to collaborate in meeting their shared vision to increase the income of farmers and ensure sustainable production of fine coffee, it said.
Starbucks has accordingly agreed to double its purchase from East Africa and increase its purchases from Ethiopia. It will also provide technical support and capacity building to Ethiopian farmers through a farmer support center that it will open in East Africa, the statement pointed out.
The farmer support center will be staffed with agronomists who will work with farmers to improve quality yields and prices received, it was stated.
Starbucks has further pledged to expand its micro credit facilities in East Africa to help farmers in their farms.
The joint statement further added, both the government of Ethiopia and Starbucks will continue to strengthen their partnership and engage in consultation on strategies to improve the lives of Ethiopian coffee farmers and their families.
Source: Walta Information Center
According to the joint statement released here and in Seattle (USA), though both parties recognize that there are differences in approaches to achieving this shared vision, Starbucks has indicated that it respects the right and choice of the government of Ethiopia to trade mark its coffee brands and create a network of licensed distributors.
The parties have also agreed to collaborate in meeting their shared vision to increase the income of farmers and ensure sustainable production of fine coffee, it said.
Starbucks has accordingly agreed to double its purchase from East Africa and increase its purchases from Ethiopia. It will also provide technical support and capacity building to Ethiopian farmers through a farmer support center that it will open in East Africa, the statement pointed out.
The farmer support center will be staffed with agronomists who will work with farmers to improve quality yields and prices received, it was stated.
Starbucks has further pledged to expand its micro credit facilities in East Africa to help farmers in their farms.
The joint statement further added, both the government of Ethiopia and Starbucks will continue to strengthen their partnership and engage in consultation on strategies to improve the lives of Ethiopian coffee farmers and their families.
Source: Walta Information Center
Starbucks rejects Ethiopia’s trade mark claim (Walta)
Addis Ababa, February 17, 2007 Starbucks, an American coffee retailing company, yesterday announces that it is strengthening its relationship with Ethiopia but insisted not accept the country’s claim of trade mark to its fine coffee.
In a press conference held at Sheraton Addis yesterday, Company Vice President Alian Poncelet told journalists that his company has agreed with the government of Ethiopia: “Only to work together in future relationships”.
“The recent agreement is work together. This is the agreement we have agreed,” he said.
“We have also talked about o the execution of recent pledges made by Starbucks to the benefit of African coffee growers.
Asked whether the two parties have signed an agreement on patent right, the Vice President said: “We didn’t sign any agreement on Ethiopian coffee trade marks.”
Citing, the company’s recent pledge to increase its coffee purchase in Eastern Africa two –fold over two years, Poncelet said,: “We are not taking about price but quality.
Also yesterday, the company announced plan in which it believes help African coffee farmers.
Meanwhile Government official told journalists that Ethiopia wants to see the practicality of Starbucks’ plan and its impact on Ethiopian farmers.
Source: Walta Information Center
In a press conference held at Sheraton Addis yesterday, Company Vice President Alian Poncelet told journalists that his company has agreed with the government of Ethiopia: “Only to work together in future relationships”.
“The recent agreement is work together. This is the agreement we have agreed,” he said.
“We have also talked about o the execution of recent pledges made by Starbucks to the benefit of African coffee growers.
Asked whether the two parties have signed an agreement on patent right, the Vice President said: “We didn’t sign any agreement on Ethiopian coffee trade marks.”
Citing, the company’s recent pledge to increase its coffee purchase in Eastern Africa two –fold over two years, Poncelet said,: “We are not taking about price but quality.
Also yesterday, the company announced plan in which it believes help African coffee farmers.
Meanwhile Government official told journalists that Ethiopia wants to see the practicality of Starbucks’ plan and its impact on Ethiopian farmers.
Source: Walta Information Center
Ethiopians' dispute with Starbucks keeps brewing (Marketplace)
Starbucks has been accused of blocking Ethiopian farmers' attempts to trademark their coffee beans. A group representing Africa's top coffee growers is now backing the farmers' efforts. Stephen Beard reports.
TEXT OF STORY
KAI RYSSDAL: If you go to the Starbucks website, it tells you coffee as a drink originated in Ethiopia more than a thousand years ago. And right about here is where irony meets the news of the day.
Ethiopia's been trying to trademark some of its beans. Starbucks has been accused of blocking that process. And today, a group of major African coffee-growing countries took sides. From London, Marketplace's Stephen Beard has more.
--------------------------------------------------------------------------------
STEPHEN BEARD: A group representing Africa's top coffee growers today attacked Starbucks. It urged the company to drop its opposition to Ethiopia's campaign to trademark some of its coffees in the United States.
The British charity Oxfam has endorsed that trademark campaign. Oxfams' Chris Jochnick says it will bring vital help to a country where most people live on less than $2 a day.
CHRIS JOCHNICK: What this initiative tries to do is to give those farmers the leverage to control and manage the names of their coffees in order to be able to derive more value from the sale of those coffees.
Starbucks denies that it's tried to block Ethiopia's trademark applications. But the company's Sandra Taylor says Starbucks does not believe that trademarking is the best way for the Ethiopians to improve their standard of living.
SANDRA TAYLOR: Well, we respect the Ethiopian government's right to choose the direction that works for them. For us, we believe that it's most important for farmers to focus on quality. And that's why we have undertaken the kind of programs we've announced for East Africa.
Starbucks is planning a support center to advise coffee farmers on how to improve the quality of their beans. And the company is putting more money into health, education and water projects.
Entirely laudable, says Oxfam. But the group says it would be much better to let the farmers trademark their produce, giving them more control over the price and more earning power.
In London, this is Stephen Beard for Marketplace.
Source: Marketplace
TEXT OF STORY
KAI RYSSDAL: If you go to the Starbucks website, it tells you coffee as a drink originated in Ethiopia more than a thousand years ago. And right about here is where irony meets the news of the day.
Ethiopia's been trying to trademark some of its beans. Starbucks has been accused of blocking that process. And today, a group of major African coffee-growing countries took sides. From London, Marketplace's Stephen Beard has more.
--------------------------------------------------------------------------------
STEPHEN BEARD: A group representing Africa's top coffee growers today attacked Starbucks. It urged the company to drop its opposition to Ethiopia's campaign to trademark some of its coffees in the United States.
The British charity Oxfam has endorsed that trademark campaign. Oxfams' Chris Jochnick says it will bring vital help to a country where most people live on less than $2 a day.
CHRIS JOCHNICK: What this initiative tries to do is to give those farmers the leverage to control and manage the names of their coffees in order to be able to derive more value from the sale of those coffees.
Starbucks denies that it's tried to block Ethiopia's trademark applications. But the company's Sandra Taylor says Starbucks does not believe that trademarking is the best way for the Ethiopians to improve their standard of living.
SANDRA TAYLOR: Well, we respect the Ethiopian government's right to choose the direction that works for them. For us, we believe that it's most important for farmers to focus on quality. And that's why we have undertaken the kind of programs we've announced for East Africa.
Starbucks is planning a support center to advise coffee farmers on how to improve the quality of their beans. And the company is putting more money into health, education and water projects.
Entirely laudable, says Oxfam. But the group says it would be much better to let the farmers trademark their produce, giving them more control over the price and more earning power.
In London, this is Stephen Beard for Marketplace.
Source: Marketplace
Starbucks is 'Flat wrong' in calling Ethiopia’s licensing efforts illegal (Capital Ethiopia)
By Groum Abate
Top U.S. law firm Arnold & Porter LLP refutes Starbucks’ VP claim that signing a license agreement with Ethiopia would be against the law.
Starbucks is misleading the public by claiming that Ethiopia’s efforts to trademark its prized coffee brands and license international distributors are illegal, says Robert Winter. Winter is partner at the Washington DC-based law firm Arnold & Porter LLP which has been advising Ethiopia in these efforts. Winter stated publicly on February 9: “There is nothing illegal or unlawful about Ethiopia's program to obtain trademark protection for its coffee marks.” And he went on: “Moreover, there is nothing unlawful about Starbucks entering into a license agreement that acknowledges Ethiopia's trademark rights. To make this claim is flat wrong. Indeed, we believe that Ethiopia already enjoys effective trademark rights in its marks through widespread use of those marks for more than 75 years.”
Winter’s statement is a direct response to the claims by Dub Hay, Starbucks’ VP for coffee procurement, made on YouTube. This false claim is the latest in a series of misleading statements made by Starbucks since Ethiopia first approached the company in early 2005. Further, Starbucks’ representatives continue to state publicly that they know what is best for Ethiopian coffee farmers and refuse to acknowledge Ethiopia’s right to own and protect its valuable intellectual property in this way.
Ethiopia is reaching out to the specialty coffee industry worldwide with an invitation to enter into dialogue with the EIPO and to help shape a long term, mutually beneficial branding and distribution strategy for these coffees.
Of the current status of negotiations with Starbucks, Winter remarks: “Starbucks has expressed some concerns about the specific terms of the license Ethiopia has proposed and Ethiopia is prepared to enter into discussions to try to address those concerns, but there is no point in doing so while the company objects in principle to Ethiopia’s ownership of trademarks.”
“Ethiopia views trademark registrations as important business assets that will better enable it to manage the distribution of its coffees and to establish an effective distribution network”, Winter stated.
Ethiopia’s innovative Coffee Trademarking and Licensing Initiative is set to put Ethiopia’s producers and exporters on a more equal footing with their international buyers and improve the long-term market prospects for these coffee brands. Cooperation and support from buyers at this time demonstrates significant corporate social responsibility, given the critical importance of coffee income to more than 15 million people who earn their living by producing and supplying Ethiopian coffee.
Source: Capital Ethiopia
Top U.S. law firm Arnold & Porter LLP refutes Starbucks’ VP claim that signing a license agreement with Ethiopia would be against the law.
Starbucks is misleading the public by claiming that Ethiopia’s efforts to trademark its prized coffee brands and license international distributors are illegal, says Robert Winter. Winter is partner at the Washington DC-based law firm Arnold & Porter LLP which has been advising Ethiopia in these efforts. Winter stated publicly on February 9: “There is nothing illegal or unlawful about Ethiopia's program to obtain trademark protection for its coffee marks.” And he went on: “Moreover, there is nothing unlawful about Starbucks entering into a license agreement that acknowledges Ethiopia's trademark rights. To make this claim is flat wrong. Indeed, we believe that Ethiopia already enjoys effective trademark rights in its marks through widespread use of those marks for more than 75 years.”
Winter’s statement is a direct response to the claims by Dub Hay, Starbucks’ VP for coffee procurement, made on YouTube. This false claim is the latest in a series of misleading statements made by Starbucks since Ethiopia first approached the company in early 2005. Further, Starbucks’ representatives continue to state publicly that they know what is best for Ethiopian coffee farmers and refuse to acknowledge Ethiopia’s right to own and protect its valuable intellectual property in this way.
Ethiopia is reaching out to the specialty coffee industry worldwide with an invitation to enter into dialogue with the EIPO and to help shape a long term, mutually beneficial branding and distribution strategy for these coffees.
Of the current status of negotiations with Starbucks, Winter remarks: “Starbucks has expressed some concerns about the specific terms of the license Ethiopia has proposed and Ethiopia is prepared to enter into discussions to try to address those concerns, but there is no point in doing so while the company objects in principle to Ethiopia’s ownership of trademarks.”
“Ethiopia views trademark registrations as important business assets that will better enable it to manage the distribution of its coffees and to establish an effective distribution network”, Winter stated.
Ethiopia’s innovative Coffee Trademarking and Licensing Initiative is set to put Ethiopia’s producers and exporters on a more equal footing with their international buyers and improve the long-term market prospects for these coffee brands. Cooperation and support from buyers at this time demonstrates significant corporate social responsibility, given the critical importance of coffee income to more than 15 million people who earn their living by producing and supplying Ethiopian coffee.
Source: Capital Ethiopia
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