News & Events   |     Our Company   |     Store   |     Contact Us   

What is Great Northern Roasting Direct Trade?

 

Great Northern Roasting Company Direct Trade™


    Since the founding of Great Northern Roasting Company, we have pursued a commitment to quality that seeks to improve on the conventional perceptions of what it takes to make coffee “fair”. This approach requires focus on all of the aspects of production to create quality.
    We need to be aware of and support:
        1.    The livelihood of the people who grow the coffee.
        2.    The protection of the environment.
        3.    The traceability necessary to avoid corruption.
        4.    Reliable means to support sustainability.
   

     It is through these principles that we have been able to demonstrate to our customers that “Fair Trade™” certification is not the only way to make coffee fair.  There are dozens of operations in place that adhere to the philosophy of Fair Trade™ with true financial incentives to their coffee producers, known as Direct Relationship Coffees or Direct Trade™.  The most successful of these have incorporated some form of traceability at the producer/grower level to ensure quality and consistency. Our Terruño Nayarita coffees are the ultimate expression of this principle. Through our relationship with San Cristobal Multimercados and their Quality Control associate, Cafes Suatentables de Mexico, we are able to bring you these fine coffees. With an exhaustive tracking process control system that is rooted in quality, these coffees are quickly becoming recognized as not only world class, but also the product of a business model that is making them more valuable than the standing timber that provides their shade. We have personally confirmed the quality sustainability of this origin through our travels to the extinct volcano of Cerro San Juan in Nayarit, Mexico to meet with the growers of these fine coffees.
   

How does it work?

     By creating quality incentives that allow farmers to make more money while reducing the workload that traditionally comes with growing coffee. One of the main distinctions between this system and Fair Trade™ certification is that the growers’ entire harvest is guaranteed sold. This aspect is critical as it guarantees that the average premiums for the coffee will be far higher than can be attained through a Fair Trade™ certification.  As the harvest is brought in, fruit is weighed and the grower is paid per pound according to a pre-arranged buying agreement that is rooted in the quality of the fruit. These daily slices of the harvest become individual lots, which are subsequently tagged, evaluated by appearance, and recorded to create a level of traceability that until now, has been virtually nonexistent in coffee. From this point, each lot is cupped (tatsted) individually to determine its quality rating according to SCAA standards (the Specialty Coffee Association of America) and the scores are recorded so that like coffees may be blended together for consistency. Individual lots that meet the highest standard (SCAA grade 1 coffee, by appearance and cup quality) are kept separate from the rest of the harvest lots and receive the prestigious Reserva label, regardless of quantity. Every Reserva lot that is harvested results in an additional financial bonus for the grower, and is given its own space in our offering list. Beyond these steps within the harvest operations, the growers are offered an opportunity to attend company’s Coffee Quality Management course where they are educated in the methods required to protect the environment while maximizing the amount of top quality the crop can produce. Thus, members of the coffee growing communities are encouraged to maintain ecologically sound, bird friendly operations year-round: exactly the kind of quality that Great Northern Roasting needs for its discerning customers.

 

Great Northern Roasting Company Direct Trade™ Coffees

Break Through Commodity Pricing Barriers


    The coffee consuming world has been introduced to, and enjoyed Fair Trade™ certified coffee. This certification has been effective in raising consumer awareness about the plight of coffee growers around the world and their trials in dealing with the commodity price index that rules what they are paid for their product. This certification has helped to insulate these growers from super-low price shocks that can lead to bankruptcy as they force growers to sell their coffees at a loss. Growers have increasingly turned to various certifications to make their coffees more valuable: certifications such as Organic, Shade Grown and Fair Trade™ are available to growers who can afford them. But even with these certifications, commodity pricing is still the standard by which the system operates. A Fair Trade™ certification helps, but not nearly enough, as it does not assure the producer of a sustainable price for his entire crop. The bottom line for the grower is that if coffee won’t put food on the table, it’s necessary to change to something else that will. This simple factor is the reason that our Direct Trade™ coffees are the future of fairly traded coffee. Direct Trade™ allows growers to sell their coffees directly to companies who are willing to pay what these coffees are worth- outside of the commodities market. By “de-commodifying” all or part of their harvest, growers are able to focus their efforts on the quality of their coffee, and the relationship with their buyer. In order to fully appreciate this strategy, keep in mind that agricultural commodity pricing (i.e. the public listed “C” price of coffee) currently has NO CONNECTION to the cost of producing the coffee and is driven entirely by availability. 
    Through direct dealings between the growers and buyers, the price of green coffee can be uncoupled from the commodities market and the huge uncertainty that it brings. This allows the quality of these coffees to determine the price through value. At the same time, it eliminates the cost and complexity of third and even fourth party involvement, which drives up cost even further.


     Within the specialty coffee community, no one disagrees with the core philosophy of Fair Trade™ certification. But many of us are looking beyond the well-meaning charity of Fair Trade™ to the sustainability of education and consistent quality. As roasters, it’s our business to distinguish between the bad, the good, and the great. One of the first steps to achieving this is to recognize that certifications, while important, are not the deciding factor in establishing true quality in the cup. When selecting coffees, Great Northern Roasting does not promote or discriminate against any certification. However, the ability to produce quality on a consistent basis is the result of controlling countless complex factors that are far greater than any single input. Put simply, when we find great coffee, we buy it.

© 2007 Great Northern Roasting Company   |  News   |  Company   |  Store   |  Links   |  Contact