{"id":7815,"date":"2016-10-30T20:17:23","date_gmt":"2016-10-31T00:17:23","guid":{"rendered":"https:\/\/digital.hbs.edu\/platform-rctom\/submission\/good-to-the-last-drop-the-effect-of-climate-change-on-the-coffee-industry-and-keurig-green-mountain\/"},"modified":"2016-11-01T22:18:46","modified_gmt":"2016-11-02T02:18:46","slug":"good-to-the-last-drop-the-effect-of-climate-change-on-the-coffee-industry-and-keurig-green-mountain","status":"publish","type":"hck-submission","link":"https:\/\/d3.harvard.edu\/platform-rctom\/submission\/good-to-the-last-drop-the-effect-of-climate-change-on-the-coffee-industry-and-keurig-green-mountain\/","title":{"rendered":"Good to the Last Drop? The Effect of Climate Change on the Coffee Industry and Keurig Green Mountain"},"content":{"rendered":"

You hear the familiar beeping of your early morning alarm. Groggily, you hit the off switch and stumble out of bed. If you are like 76% of Americans, you know that what stands between you and a productive day is a good ole cup of joe.1<\/sup> However, your morning caffeine fix may become in short supply in the near future due to climate change.<\/p>\n

What\u2019s the Weather Got to Do with my Brew?<\/strong><\/p>\n

Climate change is expected to have a dramatic impact on the agricultural industry due to changes in mean temperatures, precipitation, water availability, ranges of pests and diseases, and soil quality. Coffee \u2013 in particular \u2013 will be impacted by these changes as it is only grown in limited regions of the world. Current coffee growing regions may become unsuitable for coffee growing, potentially eliminating some blends of coffee and causing coffee production to have to move to higher elevations to achieve the right agricultural conditions.2<\/sup><\/p>\n

As a specific example of this altitudinal shift, Ovalle-Rivera et al studied the implications of climate change on Arabica coffee, one of the two most dominate types of coffee in production globally. The study examined 19 countries and 62,000 location points within these countries to determine the impact on suitability to grow coffee by 2050 if the climate continues to change. A summary of the results is shown below:<\/p>\n

\"a.<\/a>
a. Mesoamerica, b.1 – b.2 South America, c.1 \u2013 c.2 Africa, d.1 \u2013 d.2 Pacific.<\/figcaption><\/figure>\n

The study predicts decreases in suitability to grow Arabica coffee at both lower and higher altitudes, which could cause a shift in not only regions that produce coffee, but also the total supply available.3<\/sup><\/p>\n

\u00a0<\/sup>Another complicating factor is that the lead time for coffee production is 8 to 15 years, meaning that decisions must be made in anticipation of changes in climate.2<\/sup><\/p>\n

Sustainability at Keurig Green Mountain<\/strong><\/p>\n

Keurig Green Mountain is both a specialty coffee producer and a maker of single-serve coffee machines. As such, if supply decreases due to climate change, Keurig Green Mountain is impacted in both its product lines due to a decrease in demand for coffee machines and a decrease in product as a coffee producer. Given this impact, Keurig Green Mountain has developed three components to help both mitigate its part in climate change and respond to environmental changes:<\/p>\n

Adaption \u2013 Responding to Climate Change and Preparing for the Future<\/em><\/strong><\/p>\n

One of the primary pieces of Keurig Green Mountain\u2019s Adaption component is working with and training local farmers on how to respond to climate change, such as the importance of diversifying crops, improving crop yields, and assisting farms to cope with the recent outbreak of Coffee Rust disease. Moreover, Keurig Green Mountain is also investigating new types of coffee trees that may be less impacted by the warmer temperatures caused by climate change.4<\/sup><\/p>\n

Mitigation \u2013 Reducing Keurig Green Mountain\u2019s Part in Climate Change<\/em><\/strong><\/p>\n

The focus of the Mitigation component is understanding Keurig Green Mountain\u2019s energy consumption and greenhouse gas emissions throughout the entire production process, in addition to reducing its overall greenhouse gas emissions.5<\/sup><\/p>\n

\"Keurig<\/a>The above represents the seven stages in Keurig Green Mountain\u2019s value chain.6<\/sup><\/em><\/p>\n

Engagement \u2013 Collaborating and Partnering on Reducing Climate Change<\/em><\/strong><\/p>\n

Keurig Green Mountain is actively working with governments and NGOs to create policies to reduce overall emissions from companies. It is also partnering with other beverage manufacturers to realize synergies across the industry.5<\/sup><\/p>\n

What Else can be Done?<\/strong><\/p>\n

Reduce, Reuse, Recycle<\/em><\/strong><\/p>\n

Beyond adapting to climate change, Keurig Green Mountain should continue to focus on how it can reduce climate change. One example is the waste stemming from single-use K-cups. Although Keurig Green Mountain has just started producing recyclable K-cups, 100% of K-cups will not be recyclable until 2020.7<\/sup>\u00a0Furthermore, not every community accepts the material the recyclable K-cups are made from. I think Keurig Green Mountain should focus instead on producing better re-usable pods that will mitigate the recycling issue and may be able to be used in production before 2020.<\/p>\n

Expand the Footprint<\/em><\/strong><\/p>\n

Based on the research by Laderach, Keurig Green Mountain needs to plan 8 to 15 years in advance which farmers in specific locations to partner with. Given the potential extreme changes in the environment, Keurig Green Mountain should consider looking into new regions \u2013 whether higher altitudes or different areas of the world \u2013 to form partnerships and begin growing coffee. Keurig Green Mountain does not have time to wait until the current farmers are unable to produce due to climate change. The world needs its good ole cup of Joe! (Word Count: 748)<\/p>\n

 <\/p>\n

Sources<\/strong><\/p>\n

    \n
  1. National Coffee Drinking Trends 2016<\/em>. Rep. National Coffee Association, n.d. Web. 30 Oct. 2016.<\/li>\n
  2. Laderach, Peter, et al.Predicted impact of climate change on coffee supply chains<\/em>. Springer Berlin Heidelberg, 2011.<\/li>\n
  3. Ovalle-Rivera O, L\u00e4derach P, Bunn C, Obersteiner M, Schroth G (2015) Projected Shifts in Coffea arabica Suitability among Major Global Producing Regions Due to Climate Change. PLoS ONE 1.<\/li>\n
  4. “Our Stories.” \u2013 Adapting to a Warmer Climate<\/em>. Keurig Green Mountain, 7 Dec. 2015. Web. 30 Oct. 2016.0(4): e0124155. doi:10.1371\/journal.pone.0124155. Also used for featured image.<\/em><\/li>\n
  5. “Sustainability.” Statement on Climate Change<\/em>. Keurig Green Mountain, Mar. 2014. Web. 30 Oct. 2016.<\/li>\n
  6. “Sustainability.” Understanding Our Impacts.<\/em> Keurig Green Mountain, n.d. Web. 30 Oct. 2016.<\/li>\n
  7. “Sustainability.” Reducing Product Waste.<\/em> Keurig Green Mountain, n.d. Web. 30 Oct. 2016.<\/li>\n<\/ol>\n","protected":false},"excerpt":{"rendered":"

    The coffee industry is facing increasing climate change pressures. Regions now known for their exotic coffees may not be able to sustainably produce in the future. Companies like Keurig Green Mountain are tasked with how to respond amidst climate change.<\/p>\n","protected":false},"author":1856,"featured_media":7818,"comment_status":"open","ping_status":"closed","template":"","categories":[1218,614,1220,1219,14],"class_list":["post-7815","hck-submission","type-hck-submission","status-publish","has-post-thumbnail","hentry","category-climate-change","category-coffee","category-green-mountain","category-keurig","category-sustainability"],"connected_submission_link":"https:\/\/d3.harvard.edu\/platform-rctom\/assignment\/climate-change-challenge-2016\/","yoast_head":"\nGood to the Last Drop? 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