A sordid tale of evil business
If you heard of a company:
- A large U.S. company.
- A company whose suppliers were almost all overseas.
- A company whose profit has increased at high levels for years.
- A company who, upon learning that of of it's third world supplier nations was attempting to increase wages for its impoverished workers, actively worked to block them in order to keep costs low.
What would you think? If you're on the left, you're might be thinking I'm talking about Wal-Mart. But you'd be wrong:
Starbucks, the giant US coffee chain, has used its muscle to block an attempt by Ethiopia's farmers to copyright their most famous coffee bean types, denying them potential earnings of up to £47m a year, said Oxfam.The development agency said the Ethiopian government last year filed copyright applications to trademark its most famous coffee names - Sidamo, Harar and Yirgacheffe. Securing the rights to these names would enable the impoverished African country to control their use in the market and allow farmers to receive a greater share of the retail price.
The move would have increased its annual export earnings from coffee by 25%.
But Oxfam said Starbucks, which enjoyed a 22% rise in annual global turnover to £7.8bn in the year to October, has acted to block Ethiopia's application to the US patent and trademark office.
Starbucks claims they pay an average of $1.28 / lb for coffee worldwide, but in Ethiopia, it's as low as 60 cents. No wonder they feature an Ethiopian blend on the Starbucks website.
Hmmm. I wonder if a price increase would affect its sustainability?
Considering their target demographic here in the US, you'd think Starbucks would be more sensitive. On the other hand, considering where the money goes, do ya think the left will even notice? Next time you enter a Starbucks, if you happen to pass a couple of forty-something women with unshaved legs and "Impeach Bush" bumper stickers on the lids of their laptops discussing the evils of Wal-Mart, smile and nod as you pass.
Many people don't know much about Starbucks. They don't know there are C.A.F.E. practices are in place (Coffee And Farmer Equity). These promote equitable relationships with the farmers, workers and communities and also to protect the environment. Starbucks helps with affordable loans, build schools, hospitals, and housing for the farmers. Most of their coffees are not fair trade CERTIFIED, but are as good or better. Fair prices are paid, which is why their coffee costs more. You can say that they have so much money by secretly paying less then what they say, but maybe it's because they don't have commercials, or posters or billboards. Starbucks doesn't do good just for their farmers, they also do a lot of community service too. There's not a lot of press about it, becuase they just want to do good, not brag about it. For more information about Starbucks C.A.F.E. practices, their Farmer loans, prices, etc. go to http://www.starbucks.com/aboutus/origins.asp I encourage you to look deeper into their side of the story. I believe everyone is blinded by the Corprate title, and forget that it was started by 2 teachers with big ideas.