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Starbucks in Ethiopia coffee row | Starbucks in Ethiopia coffee row |
(20 minutes later) | |
US coffee chain Starbucks is denying Ethiopia earnings of £47m ($88m) a year, according to Oxfam. | US coffee chain Starbucks is denying Ethiopia earnings of £47m ($88m) a year, according to Oxfam. |
The UK charity says Starbucks asked the National Coffee Association (NCA) to block the country's bid to trademark three types of coffee bean in the US. | |
Oxfam says poor farmers would have benefited from the move but the NCA says there is no economic case to support the charity's claims. | Oxfam says poor farmers would have benefited from the move but the NCA says there is no economic case to support the charity's claims. |
Starbucks denies initiating opposition to the trademark application. | Starbucks denies initiating opposition to the trademark application. |
'Backwards step' | 'Backwards step' |
The Ethiopian government filed its applications to trademark the its most famous coffee bean names - Sidamo, Harar and Yirgacheffe - in US courts last year. | The Ethiopian government filed its applications to trademark the its most famous coffee bean names - Sidamo, Harar and Yirgacheffe - in US courts last year. |
This particular scheme is going to hurt the Ethiopian coffee farmers economically Robert NelsonNCA | This particular scheme is going to hurt the Ethiopian coffee farmers economically Robert NelsonNCA |
Oxfam claims that Starbucks flagged up the application to the NCA - of which the firm is a leading member. | Oxfam claims that Starbucks flagged up the application to the NCA - of which the firm is a leading member. |
The NCA then filed its opposition at the US Patent and Trademark Office. | The NCA then filed its opposition at the US Patent and Trademark Office. |
Oxfam's Phil Bloomer said the charity had worked with Starbucks in the past and appealed to the firm to "act responsibly". | Oxfam's Phil Bloomer said the charity had worked with Starbucks in the past and appealed to the firm to "act responsibly". |
"Their behaviour on this occasion is a huge backwards step and raises serious questions about the depth of their commitment to the welfare of their suppliers," he said. | "Their behaviour on this occasion is a huge backwards step and raises serious questions about the depth of their commitment to the welfare of their suppliers," he said. |
Berhanu Kebede, Ethiopia's ambassador to the UK, said in a statement that the international community should support the country's efforts to ensure farmers got a fair reward for their hard work. | Berhanu Kebede, Ethiopia's ambassador to the UK, said in a statement that the international community should support the country's efforts to ensure farmers got a fair reward for their hard work. |
"This campaign has a pivotal role in redressing the unfairness of the international trading system," he said. | "This campaign has a pivotal role in redressing the unfairness of the international trading system," he said. |
'Reduce demand' | 'Reduce demand' |
Starbucks' senior vice-president of coffee procurement, Dub Hay, denied approaching the NCA to oppose the Ethiopian move. | Starbucks' senior vice-president of coffee procurement, Dub Hay, denied approaching the NCA to oppose the Ethiopian move. |
"We did not get the NCA involved - in fact it was the other way around, they contacted us." | "We did not get the NCA involved - in fact it was the other way around, they contacted us." |
Robert Nelson, head of the NCA, backed Mr Hay's claim, adding that his organisation opposed the Ethiopian move for economic reasons. | Robert Nelson, head of the NCA, backed Mr Hay's claim, adding that his organisation opposed the Ethiopian move for economic reasons. |
"For the US industry to exist, we must have an economically stable coffee industry in the producing world," he said. | "For the US industry to exist, we must have an economically stable coffee industry in the producing world," he said. |
"This particular scheme is going to hurt the Ethiopian coffee farmers economically." | "This particular scheme is going to hurt the Ethiopian coffee farmers economically." |
He claimed that the Ethiopian government was being badly advised, and the move would price them out of the market. | He claimed that the Ethiopian government was being badly advised, and the move would price them out of the market. |
The trademark move would also reduce demand for the country's coffee, he said. | The trademark move would also reduce demand for the country's coffee, he said. |
Oxfam said the NCA and Starbucks should not dictate to Ethiopia how best to sell its products. | Oxfam said the NCA and Starbucks should not dictate to Ethiopia how best to sell its products. |