The opening panel of the International Coffee Week gathered on Wednesday (18), authorities and industry organizations leading to a market overview. Roberto Simões, President of the Federation System of Agriculture and Livestock of Minas Gerais (FAEMG), revealed that the Arabica coffee production grew 34% over the previous year.
The executive also said that a Center of Excellence in Cafeicultura expected to open in the city of Varginha in April and May next year “focusing on irradiation of knowledge, technology and innovation to Brazil and to other countries,” he said. He also highlighted that people are sticking to a more sophisticated form of consumption and enhancing the quality, “which leaves room for the specialty coffees.”
The president of Ocemg system, Ronaldo Sucato recalled that Gerais was considered a country, it would be the world’s largest coffee producer. “Almost 50% of the coffee produced in Brazil comes from Minas Gerais and 70% spend by state cooperatives. Out of every 10 cups of coffee consumed in the country, four are cooperatives and the volume of production only grows, increasing by almost 50% over the last five years, “he said.
The Secretary of State for Agriculture and Supply of Minas Gerais, Anna Valentini highlighted the government’s concern to bring the producer quality technical content, research results, new technologies and the importance of certification programs and emphasis on business roundtables. “We want to seek new markets for special status cafes and we webinars with businessmen from Exito, Morocco, Kuwait and Peru knowing our coffee regions and all our production potential,” he said.
Tereza Cristina Correa da Costa Dias, Minister of State for Agriculture, Livestock and Supply, stressed that “Brazil is a sustainable coffee production, with excellent products and a very organized production chain.” The Governor Romeu Zema praised the coffee production in the state and that “the industry has the support of government.”
Adding outlook positive, João Martins da Silva Junior, President of the Confederation of Agriculture and Brazil Livestock, said that “the disposal of the producer, the advancement of quality and technology are greater than the challenging time” and Carlos Melles, SEBRAE President rescued that coffee is a “product that made the country in economic, cultural and social.”
Rounding out the presentations frame, Caio Alonso Fontes, Founding Partner and Director of Café Publisher, one of the organizers, commented on the challenges of the first edition 100% digital. “We are sure that the SIC is more than a connection platform, but transformation and acceleration of the coffee chain. The virtual format allows an expansion, leading training and business to more people, “he said. Rachel Muller, Director of Nestle agreed indicating that “the power of coffee is much higher than the limitation of not being able to find physically and that the company decided to keep what is best in projects to publicize the event.”
:: Macroeconomic scenarios
Presented by journalists Phelipe Siani, CNN anchor Brazil, Mariana Proença and Natalia Camoleze, coffee Publisher, opening continued with presentation by economist Ricardo Amorim on macroeconomic scenarios in Brazil and the world for the coming years focusing on the coffee business.
He started remembering that, even though we faced the biggest economic contraction that mankind has ever seen in a very short period of two months, the United States and European countries had the largest growth in history in the second quarter.
“The data we have on the Brazilian economy as a whole through September show that here is no different, with very strong recovery in the service sector, industry, commerce and even better in agribusiness,” he says.
On a more specific focus in the coffee market, the economist highlighted the increased competitiveness. “In practice, the profitability for Brazilian producers rose significantly due to the high dollar. The competitiveness of the national product in relation to the rest of the world, too. This is because the movement of the exchange rate was not as strong competitors in countries like Colombia, for example, “he explained.
Even with growth of the base and the top of the consumer pyramid, Ricardo scored two challenges. The first regarding communication / marketing. “I lived in the United States from 2001 to 2008 and always heard in conversations about coffee Americans associate the product to Colombia, even though Brazil is the largest exporter. But that was because our competitor had a very strong campaign, which set this connection. Today the situation is a little better, but we still need to move a lot, “he explained.
Another issue is the need to work to “brand” Brazil. One factor that is gaining importance is the Environmental, Social and Governance (ESG), relating to environmental, social and governance. Economist raised that the country has placed evil in this sense. “It protects two-thirds of its territory and is the most preserved in the world but has an image associated as great destroyer of the environment. This can disrupt even more, he said.
This text was translated by machine from Brazilian Portuguese.