Oxfam Sees Starbucks Position Change

The Ethiopian Herald (Addis Ababa)
February 15, 2007
Addis Ababa

Oxfam America expressed hope that Starbucks, an international coffee retailer and roaster company, would negotiate a solution with the Ethiopian government on the country's claim to its coffee trademarks as the company takes part in the 4th East African Fine Coffee Conference and Exhibition opening here today.

In an exclusive interview with The Ethiopian Herald earlier this week, Oxfam America Horn of Africa Regional Director Abera Tola and Coffee Programme Manager Seth Petchers said that Starbucks had to use the opportunity to change its position and recognize the interest of Ethiopia and its coffee farmers.

"We hope Starbucks to take the opportunity of being in Addis to sit down with the government and come to an agreement that works for both parties," Petchers said.

Alain Poncelet, Vice President and Managing Director of Starbucks Coffee Trading Company, is expected to deliver a keynote address at the conference.

It is the second Ethiopian working visit for Starbucks after Oxfam launched a campaign in October urging the company to honour its public commitments to its coffee growers by signing Ethiopia's licensing agreement to affirm the country's rights in the trademarks associated with some of its finest coffees.

Starbucks CEO Jim Donald met Prime Minister Meles Zenawi in Ethiopia in November, but the company has not yet changed its position regarding the trademark issue.

"This is another opportunity for Starbucks to do the right thing," Petchers said. "It would be very disappointing if the company goes back home without having some kinds of agreement with Ethiopia."

Starbucks has the opportunity to show leadership while other coffee companies are cooperating with Ethiopia's trademark bid, Abera said.

Green Mountain Coffee Roasters, a leading roaster and distributor of specialty coffees, is one of the companies signed a letter of intent with the Ethiopian government in January this year.

Ethiopian coffee growers selling their produce to Starbucks earned between 75 cents and 1.60 USD a pound on beans that Starbucks sold at up to 26 USD a pound.

Ethiopia wants win-win situation, Abera said. "If they Starbucks recognize the trademark, the Ethiopian government can go into the commitment to keep the quality of Ethiopian coffees."

Oxfam's initiative is drawing public reaction around the world as over 90,000 people through Oxfam website have sent fax to Starbucks urging the company to live up to its commitment to coffee farmers and sign the trademark of Ethiopia since the launch of the campaign in 2006.