15 May, 2015

Climate change and the global coffee business clash


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n the past, companies that dominate the global coffee business have managed their supply risk by diversifying their suppliers.

Now a quarter of production in Brazil, the largest producer of high-quality Arabica coffee, is under direct threat from climate change, and rising temperatures are expected to undermine the commercial viability of Arabica coffee in many of the world’s coffee-growing regions.

In the next two decades, this systemic failure across many regions will require companies to radically change their production models and sourcing relationships.

Yes, the price of your favourite coffee will increase due to climate change, but there is hope that the risks involved will change the entire industry for the better.

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