Our Guide to Principles for Responsible Investment (PRI)
In this article, we'll discuss the Principles for Responsible Investment and how these six principles can benefit both ESG factors and your finances.
ESG / CSR
Industries
Ecology
Greenly solutions
Wake up and smell the coffee - it’s under threat from climate change! This article delves into how a warming planet is impacting coffee cultivation and production. We'll examine the effects of climate change on growing conditions, what this means for the future of your favorite morning ritual, and how you can help make a difference.
👉 In this article, we explore how climate change is threatening the future of coffee production and what this means for the future of your favorite drink.
Coffee - one of the world's most beloved beverages - begins its journey from the seed of the Coffea plant. There are over 120 species of Coffea, but two main varieties dominate the market - Arabica and Robusta.
Arabica, which is known for its smooth, complex flavor profiles, accounts for about 70% of the world's coffee production and prefers higher altitudes and cooler climates. Robusta, on the other hand, is more bitter, contains more caffeine, and grows in warmer, wetter climates at lower altitudes.
The process of coffee cultivation starts with the planting of coffee seeds in large beds in shaded nurseries. After sprouting, the seedlings are moved to individual pots where they are grown until they are ready to be planted in the field - a process that typically takes around one year. Once transplanted, it takes a further 3 to 4 years for the young coffee plants to bear fruit (referred to as coffee cherries).
In flatter countries such as Brazil, machines can be used to speed up the process of picking the coffee cherries, but in most countries, they are picked by hand - a very labor-intensive method. The timing of the harvest is key - cherries that are not picked at the right time can negatively impact the quality of the coffee. Most regions have one major harvest a year, though countries like Colombia, which have more consistent weather year-round, can have two.
Once harvested, the cherries undergo processing to extract the beans. There are two main methods: dry and wet. The dry method is the traditional method and most simple, it involves drying the cherries in the sun over a period of several weeks. The wet method involves removing the pulp from the coffee cherry after harvesting so that the bean is dried with only the parchment skin left on. This method is quicker and improves the acidity and overall quality of the coffee.
Once processed, the coffee beans are dried to achieve just the right moisture level for roasting - an important step that needs close attention to avoid spoilage. After drying, the beans go through the milling process, where they're freed from the parchment layer if they were wet-processed, or stripped of the entire dried husk if dry-processed.
The milled beans are now referred to as green coffee and are graded and sorted based on size and weight. They are typically tested for quality and taste - a process known as cupping. After approval, they are packed and shipped around the world.
Before being sold to consumers, green coffee is roasted at different levels depending on the desired flavor. Roasting transforms the chemical and physical properties of green coffee beans into roasted coffee products. The roasting process is what produces the characteristic flavor of coffee that is well-loved around the world.
Alarmingly for coffee lovers, climate change poses a significant threat to global coffee production, with its impacts being felt from the cultivation stage right through to the yield and quality of the coffee beans produced. As global temperatures rise and weather patterns become more erratic, the traditional coffee-growing regions within the ‘coffee belt’ (a loop around the planet, falling between the Tropics of Cancer and Capricorn) are experiencing shifts that could potentially reshape the entire industry.
Coffee plants - particularly Arabica - require specific conditions to thrive. Arabica grows best in mild temperatures ranging from 18°C to 22°C while robusta thrives between 22 and 28℃. However, rising global temperatures are pushing these ideal conditions beyond the traditional altitudes and latitudes where coffee has historically been grown.
Higher temperatures can also accelerate the metabolism and growth rate of coffee plants, reducing the maturation period of the coffee cherry, which impacts the development of flavors in the beans. What’s more, excessive heat can lead to increased evapotranspiration, stressing plants and making them more susceptible to diseases.
Coffee production is heavily dependent on regular rainfall - particularly in regions that rely on natural downpours instead of irrigated water. Climate change is disrupting these patterns, resulting in longer droughts mixed with heavier rainfall. Drought conditions can dehydrate coffee plants and erode the quality of the soil, while excessive rainfall can lead to fungal diseases such as coffee leaf rust and cherry rot, which impact yield and quality.
The warmer and wetter climates created by climate change are perfect environments for pests and pathogens that affect coffee plants. One of the most devastating is the coffee borer beetle, which bores into coffee cherries to lay eggs, with the emerging larvae consuming the coffee bean inside. Similarly, coffee leaf rust, a fungal disease that causes defoliation and significant yield loss, is on the rise due to warmer and damper conditions. These pests and diseases not only reduce yields but also increase the cost of production, as more resources are needed for pest and disease management.
The effects of climate change on coffee production have significant implications for millions of coffee farmers, particularly smallholders who might not have the resources to combat these changes. Many are facing reductions in crop yield and quality, which directly affect their incomes and livelihoods. This situation is exacerbated in countries where coffee represents a major portion of the economy and exports.
As the climate continues to change, the flavor profile of coffee is also at risk. The stress conditions under which coffee is grown can alter the chemical makeup of the coffee beans, affecting flavor, aroma, and acidity. This doesn't just affect your coffee experience - it could also alter market dynamics as some regions struggle to produce high-quality beans.
What’s more, is that a significant portion of the world's coffee is being produced in climate-vulnerable regions. This means that global supply chains are at risk of disruption, potentially leading to increased coffee prices and supply shortages - not great news for fans of the caffeinated drink.
The effects of climate change on coffee production can vary significantly across regions, but some general trends can be identified across major coffee-growing regions within the coffee belt - this includes well-known coffee-producing countries such as Brazil, Colombia, Mexico, Peru, Ethiopia, Indonesia, and Vietnam.
In countries like Brazil (the largest coffee producer in the world), climate change is leading to increased temperatures and altered patterns of rainfall. In Brazil, regions traditionally known for their coffee cultivation are experiencing reduced rainfall and higher temperatures, which affects the bloom and fruit development stages of coffee plants.
Meanwhile, in neighboring Colombia, warmer temperatures are allowing coffee pests like the coffee berry borer to thrive at higher altitudes. The shift in climate is forcing farmers to consider higher altitudes for cultivation, where the conditions are cooler but where terrain and infrastructure may not be ideal.
East Africa, particularly Ethiopia - which is the origin of Arabica coffee - is also facing challenges from erratic rainfall patterns and rising temperatures. These changes threaten the genetic diversity of wild coffee species found in Ethiopian forests, which are crucial for developing resistant varieties. Furthermore, the increased frequency of droughts is making water resources scarce, complicating irrigation and processing methods that are vital for coffee production.
In Southeast Asia, particularly in Vietnam (the world's second-largest coffee producer and a major grower of Robusta), changes in weather patterns are impacting coffee production. Increased rainfall and temperatures are contributing to the spread of diseases like leaf rust and pests that were previously not a major concern. The unpredictability of rain also affects the timing of cultivation and harvesting, leading to lower yields and quality.
Central American countries, including Guatemala and Honduras, have been hit hard by coffee leaf rust, which has been exacerbated by higher temperatures and humidity levels. The region has also experienced hurricanes and heavy rainfall that not only destroys crops but also leads to increased soil erosion - reducing nutrients in the earth that are essential for coffee growth.
Across these regions, the variability in climate conditions is leading to significant fluctuations in coffee yield and quality. The stress conditions under which the coffee plants are grown are altering the biochemical composition of the coffee beans. This affects the flavor profiles, which are crucial for the specialty coffee market that relies on consistency and distinct characteristics.
Furthermore, the adaptation measures required to cope with these changes often involve financial investments that are beyond the reach of many small-scale farmers, potentially leading to decreased market competitiveness and economic vulnerability.
The impacts of climate change on coffee production extend far beyond the farms and fields, they also affect the global economy and communities dependent on coffee farming. As climate change disrupts coffee production, both the economic stability of entire regions and the livelihoods of millions of smallholder farmers are at stake.
As the coffee industry grapples with the challenges posed by climate change, both local and global stakeholders are deploying a variety of strategies to mitigate its impacts. These initiatives range from on-the-ground adaptations by farmers to international collaborations aimed at enhancing the resilience of the coffee sector as a whole.
These strategies collectively aim to create a more resilient coffee industry capable of withstanding the challenges posed by climate change. By implementing adaptive measures, leveraging technology, and fostering collaboration across sectors, the coffee industry seeks not only to survive but to thrive in the face of global changes.
Climate change is stirring up challenges for coffee production, but there's good news - your choices can make a real difference. Opting for sustainable coffee and reducing waste not only helps mitigate environmental impacts but also supports coffee communities striving for resilience. By making mindful choices, we can contribute to sustaining our beloved brew and the people who produce it.
By making informed decisions about coffee purchases and reducing waste, you can help secure the future of your favorite drink. While these actions may seem small, they can collectively influence major shifts toward sustainable practices within the coffee industry. Not only do these efforts help protect the environment, but they also support the livelihoods of coffee farmers worldwide, ensuring that our beloved coffee remains available and enjoyable for years to come.
At Greenly we can help you to assess your company’s carbon footprint, and then give you the tools you need to cut down on emissions. Why not request a free demo with one of our experts - no obligation or commitment required.
If reading this article has inspired you to consider your company’s own carbon footprint, Greenly can help. Learn more about Greenly’s carbon management platform here.