Goal of our Coffee project
To improve the standard of living of the families of coffee producers by enhancing production techniques in an ecologically-sound way and providing higher and stable incomes through the commercialisation of coffee on the Fair Trade market.
The world coffee crisis
Coffee is amongst the goods worst affected by the fall in (non-oil) commodity prices over the last two decades. Increased world production, a drop in quality, a market dominated by a handful of large transnational companies, where rules of trade skewed in favour of the rich: these factors combined to create a world coffee crisis. The deregulated market, free from the quotas previously established by the ICA (International Coffee Agreement), has led to chronic oversupply, an increase in global stockpiles and the biggest price slump in coffee market history. By the year 20001, prices had fallen to record lows, well below production costs, causing untold disaster throughout poor producing countries, including Guatemala, the world's fifth biggest producer.
The capacity of governments to implement much needed development programmes have been seriously hampered by a loss in export earnings. Families have less money to cover basic needs such as food, health care, education and housing. Rural poverty, malnutrition and debt have increased in producing countries; there have been huge job losses in the rural sector and an ever-greater flux of people to cities.
Meanwhile, the production model favoured by the free market -intensive monoculture production, deforestation and an ever-growing reliance on chemicals- has aggravated environmental damage.
Support for small coffee producers is essential, yet in the free market the state's ability to provide it is weakened. Meanwhile, the private sector has, by and large, shown itself unconcerned.
Responding to the coffee crisis at ADIPSAAt ADIPSA, we have joined forces and work together as a group of coffee producers, striving to overcome the effects of the coffee crisis. Essential funding and support from Intermón Oxfam has enabled us to run a comprehensive coffee project in San Agustín's coffee producing communities. Our coffee project has two complimentary goals:
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Our Coffee project1. ProductionWe have tried to adopt a comprehensive approach to the challenge of improving coffee production. Our Coffee project provides our coffee producers with:
Our ability to produce high quality coffee hinges upon whether or not out producers have the technical skills required at each stage of the processing. And so, we dedicate a lot of resources into educating farmers on every aspect of the production process. We arrange workshops, skills building activities, meetings, and exchanges with other organisations. We have promoted organic production since 1997 when our Coffee project began. He decision to switch to organic production is based on three principles:
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Our Coffee project2. CommercialisationWhilst improving coffee production is invaluable, a fundamental problem still remains even for the producer of high quality coffee: low market prices. If our farmers cannot sell their coffee at a decent price, there can be no room for development. The current trade model prevents our small producers from the benefiting from the great potentials of international trade. One of our greatest challenges is to gain favourable conditions at the international market. We have channelled a lot of resources into commercialising our coffee on more favourable terms. We have recently turned to Fair Trade as a way to win a fair and stable price for our producers. This year (2005), we are exporting coffee directly to the international Fair Trade market. Our producers are expecting a significant increase in income: many will earn double what they earned in previous years 
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