Motivating Farmers to Invest in their Coffee Plantations

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May 1, 2016 - Dan Clay<clay@msu.edu>

Feed the Future Africa Great Lakes Region Coffee Support Program Team
Motivating Farmers to Invest in their Coffee Plantations

Dan Clay
Policy Roundtable, Kigali, Rwanda
May 2016

Challenge and Findings
1. Long-term success of the coffee sector (all stakeholders) depends on growth in production and productivity.
2. Farmer investment in productivity is the critical factor.
3. Farmer incentives to invest are the key to higher investment and productivity.
4. Coffee is stagnant and vulnerable but has high potential for long term growth and sustainability due to:

•Trends in specialty coffee markets are promising (growing and becoming detached from NYC price)
•Exceptional comparative advantage based on agronomic, economic, environmental and socio-cultural factors

5.Despite vulnerability and potential, coffee has not received the level of policy attention needed to be successful in the long term.

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