Essay on The Coffee Trade Is A Multi Faceted Industry

1586 Words Oct 20th, 2015 7 Pages
In business, there are many factors involved in the channel of distribution for any product. The way in which a company’s product will travel from producer to consumer is one of the most critical decisions a business will have to make. In some industries, businesses have taken advantage of a variety of ways to manufacture and distribute their products. A great example of where this is in effect is in the coffee industry. Among all commodities, coffee is the second most traded product in the world, after only crude oil. With the example of coffee, it is apparent that industries become more complex as they grow, and as the commodity involved is traded more frequently. This essay sets out to prove that the coffee trade is a multi-faceted industry, and there are many aspects to the production, distribution, and consumption of the beverage. Meanwhile, the average consumer goes without knowing what it takes for coffee to go from the farm to their cup.
To begin with, there are a variety of ways in which coffee is produced. The production of coffee starts at the farm. There are three types of farms in which coffee is grown. There are coffee cooperatives, coffee estates, and small, independent coffee farms. For each type, the process of farming the coffee is essentially the same. Farmers grow and harvest the coffee beans, of which there are two main types. This includes the Arabica bean, which accounts for about 75% of coffee produced worldwide, and the Robusta bean,…

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