As of June 2018, Guatemalan coffee producers must comply with a new environmental standard whose requirements will depend on the type of farm on which the activity takes place.
In accordance with theprovisions of Governmental Agreement 137-2016, coffee producers must submit a study of the potential environmental impact of the activity to the Ministry of Environment and Natural Resources.
For the Nicaraguan coffee sector, the difficulty in obtaining workers has worsened, especially in areas such as Nueva Segovia and Matagalpa.
The coffee trade union affirms that in the 2016-2017 cycle approximately 200 thousand hundredweight were lost, and in what has occurred so far of the 2017-2018 harvest, part of the production has also been lost.Entrepreneurs in the sector argue that, in both cases, it is due to a lack of grain cutters.
In the last five years, the average price of coffee exported by countries in the region fell by 33%, going from $226 to $151.
Figures from the information system on thethe Coffee market in Central America, compiled by the Business Intelligence Unit atCentralAmericaData: [GRAFICA caption = "Click to interact with the graph"]
Legislative approval has been given to the reform of the Law for the Transformation and Development of Coffee Production which integrates the sturdy variety into the agricultural policy model.
The reform to Law 853 includes the creation of an Executive Secretariat for the National Commission for the Conversion and Development of Coffee (Conatradec), incorporating representatives of the public sector and the private sector.
Salvadoran coffee exports could be reduced by $15 million compared to last year.
An article on Elsalvador.com reports that "...Low production in the 2015-2016 coffee harvest will cause the industry to lose out on about $15 million in exports of the aromatic, according to recent statements made by the Minister of Agriculture and Livestock, Orestes Ortez, in a state television interview.
The coffee union has stated that the advance payment of withholding tax reduces the trade margin of exporters by up to 40%.
The obligation to pay an advance withholding tax (IR) to the DGI is threatening the competitiveness of coffee growers, especially companies whose profit is on commission on sales that are placed on the international market. The complaint was made by Michael Healy, president of the Union of Agricultural Producers of Nicaragua to Trincheraonline.com.
Between March 2015 and February this year the country achieved a production of 14.3 million bags of 60 kilos, 16% more than the nearly 12.4 million in the previous harvest.
From a statement by the National Federation of Coffee Growers in Colombia:
Bogotá - Colombia, the largest producer of mild washed arabica coffee, recorded a harvest in February of 1.1 million bags each weighing 60 kilos and that the growth rate has been maintained, however, they remain on alert because of the effect of the intense El Niño.
More than 300 farmers will be taking part in Cup of Excellence 2016, where a minimum score of 86% will mean the batch passes on to an online auction on June 16.
The Honduran Coffee Institute (Ihcafé) has certified more than 300 coffee growers for the Cup of Excellence 2016 event in April, the month which will see the starting stage and will feature more than 80 international buyers.
The Ministry of Finance announced that $20 million will be made available for lending to the sector, with priority being given in the first stage to producers with planted areas measuring between 3 and 20 fields.
The National Commission for Transformation and Development of Coffee Plantations (Conatradec) announced that funding will be for up to 7 or 8 years, with a three year grace period, at an interest rate which will be discussed next week, along with the financing plan for coffee growers.
Foreign sales have already surpassed the $400 million mark with estimated total export volume reaching 2.5 million hundredweight.
The president of the Superior Council of Private Enterprise (COSEP), Joseph Adam Aguerri said 2015 has been a good year for Nicaraguan coffee, overcoming the negative effects of drought and rust.
"... In the period from the first of October 2014 to 30 September this year, the Center for Export Procedures (CETREX) posted revenues of US $414.3 million, generated by exports of 2,303,688 bags of coffee, of which 1,535,792 bags weighed 69 kilograms and 1,766,161 weighed 60 kilograms. Last year revenues from gold grain exports totaled US $394.5 million. "
In the Cup of Excellence auction the average price paid for the 24 lots of specialty coffee on offer was $9.17, while the maximum price was $25.80 per pound.
As in the 2014 auction, first place was obtained by the farm El Injerto, from the department of Huehuetenango. For the lot from this farm an international buyer paid $35.80 a pound.
Miguel Medina, president of the National Coffee Association (Anacafe) told Elperiodico.com.gt that "...
The coffee trader Ecom will be managing the funds provided by Starbucks, IFC and the IDB for long-term financing to help Nicaraguan coffee growers fight against rust.
From a statement issued by the International Finance Corporation (IFC):
The Inter-American Development Bank (IDB) will provide long-term loans to help Nicaraguan coffee farmers combat the devastating effects of the coffee rust fungus, which has swept through Central America, crippling production and threatening the livelihoods of millions who depend on the coffee industry.
It has been noted that lack of a national policy for development of the sector in the long term has prevented more than 2 million hundredweight from being produced on average every year since 2000.
Production has stagnated, with figures close to two million hundredweight for the past three years, surpassed by Guatemala and Honduras, with production levels 4 and 6 million respectively.
134 samples of gourmet coffee passed the first stage of the Cup of Excellence competition and will be auctioned from 20 to 24 April in the Honduran Coffee Institute.
Of the 311 producers who entered the competition, 134 passed on to the second phase, and of them more than 15 samples scored above 90%. The batches that classified come mostly from the regions of La Paz, El Paraíso and Copán.
The first stage of the "Cup of Excellence" competition will be held from 23 to 27 March and the electronic auction of winning lots will take place on June 9.
From a statement issued by the Honduran Coffee Institute (IHCAFE):
The Honduran Coffee Institute (IHCAFE) in its constant quest for recognition of the quality of Honduran coffee holds every year the Cup of Excellence competition which allows coffee producers to enter specialty coffee markets, this competition is developed in partnership with the Alliance for Coffee Excellence (ACE).