Comprehending Specialty Coffee Market
Important and basic thing for the farmer, vendor and exporter and other local subject to be success in Gayo Arabican Coffee agribusiness enterprise is to know what the basic character of global demand to their product. It’s so important for the producers to get information about specific characters of demand for Gayo Arabican coffee. The special taste character in Gayo Arabican Coffee has gained a international well-known reputation as a specialty coffee product.
Frankly, specialty coffee product with primary quality will very decide the premium (additional) price substantially in the global market. Basic character of a coffee species is really depend on the habit of buyers who regularly shop in a supermarket of café in each country that in these recent years had been clearly changed.
Coffee specialty market today is growing so fast especially in prosperous countries for instance, Japan, USA and some European countries. This symptom is seen in some other countries for example South Korea, Brazil, Singapore and China (especially in Hongkong).
Survey about indication in coffee consumption habit nationally in USA showed that gourmet or specialty coffee consumption in adults was moving up about 3%. So, it’s totally about 17% in year of 2008 since it was totally about 14% in year of 2007.
This latest moment, demand of choice from the consumers about the product they expect to buy is also grown-up. The consumers not only want to fulfill they need and expectation to a good quality coffee, but also want a warranty that the coffee was produced by a process that socially responsible.
Coffee production process must concern about the environment sustainability. Each employee in coffee industry sector must get a proper salary. And each farmer in producer countries has to receive a fair salary and benefit to fulfill his daily needs.
Market Opportunity
Global coffee demand has given a pressure for the importers and traders to give a respond soon to the taste and other consumer demands. This has opened opportunity for the producers in underdeveloped country such as Indonesia, especially in Gayo, to fill specialty coffee market niche which offered better price than ordinary commercial coffee.
To be success in specialty market segment, the producers of Gayo arabican coffee must capable to make a new and better standard which is suitable with the requirement asked by big importers and traders in foreign consumer countries.
That thing is not easy to do, because coffee production from Gayo highland was so much pressed when the military conflict occurred in years of 2000’s. Many coffee plantations have to be rehabilitated soon. Plant cultivation technique and post harvest processing method have to be improved to produce a qualified and steady coffee.
Traditional method and market system have to be changed to fulfill different market needs. The supply chain which directly connects the farmers and foreign buyers is need to be created and strengthened to give warranty for the buyers to achieve a product quality as they want and for the farmers to achieve a fair benefit distribution. To gain that success, it’s necessary to build cooperation between government, private sector, finance institution and other Gayo coffee industry subjects.
CONSUMER EXPECTATIONS FROM THE IMPORTER COUNTRIES
Gayo Arabican Coffee Supply Chain
Because Gayo coffee market is controled by the private sector, there are some supply chains, starting from the farmer until ready to export. There are about 30 companies who export Gayo coffee from Belawan harbor (Medan). Hundreds of traders are involved in Gayo supply chain by buying from the farmer and selling to big trader or directly to exporter company.
Exporter frequently buys coffee directly from the farmer cluster by establishing partnerships, this usually happened if the trade coffee has certificates (in example: organic, fair-trade, UTZ certified, etc). This pattern is usually ideal for the farmer and exporter because it can short the supply chain and enhance the opportunity for both sides to gain maximum benefit.
Because coffee produced from Gayo is numerous (> 30.000 tons) and production location is spread in a huge area, so many exporter still use the in between-trader to collect coffee from various location in production area.  In other side, there are still many in between-trader who work independently by buying coffee from the farmer and selling it to the exporter who buy it with the most high price.
Coffee bean moves from Gayo farmer to export harbor in Medan by many ways and not only by on a certain supply chain. In this case, one thing farmers should pay attention for is, by any supply chain pattern used in selling coffee; they still have to pay attention for the chain who gives opportunity for the coffee to be in best quality condition. This let farmer to get a better price.
The farmer can improve their coffee marketing method and price by involving themselves to the supply chain, as the model explained before. This condition will give a chance for the farmer to get informations about, in examples; coffee market, certification requirement, coffee quality and technical information.
Farmer suppose don’t only see the buyer with highest price, but also see the buyer who wants to share information and transparency. Due to it, farmers can enhance their knowledge about coffee and broad their view about anything that can influence the market.
The farmers usually get a service, information and a better price if they were clustered. The farmer who sell his coffee by a farmer cluster usually get a better price rather than selling his coffee himself. By having knowledge about market, price, quality and technical problems, farmers can achieve a better value for their coffee.
Every consumer is so much waiting that in Gayo coffee marketing system between the farmer and the trader can exchange information and trade transparency between each other and bulid commitment in keeping the quality.
An expectation for the Specialty Coffee Quality
Most of Arabican coffee from Gayo is sold to specialty market segment. Specialty coffee is a coffee without any physical defect but have a special and unique taste. Gayo arabican coffee has unique taste and performance as the reason it become a specialty coffee. Its uniqueness is made by the effect of climate, soil, planted variety, post harvest processing method and treatment method from farmer plantation until export. Each factor has its role in creating a unique coffee taste for Gayo coffee.
Consumers are also very expecting specialty coffee quality produced and traded from Gayo highland will be stable from time to time. This stability of quality is very important so consumer can enjoy Gayo specialty coffee every time with the same taste.
Besides those two things, consumers also expect a continuity of Gayo Arabican specialty coffee supply. That’s why Gayo coffee industry development also needs to concern three pillar of continuous development, they are:
a. Economically proper to be endeavored
b. Socially can be accepted
c. Friendly with Environment
(Hugh/Surip-Source:Gayo Arabican Coffee Guidance Book)