{"id":9447,"date":"2016-11-03T22:10:38","date_gmt":"2016-11-04T02:10:38","guid":{"rendered":"https:\/\/digital.hbs.edu\/platform-rctom\/submission\/starbucks-the-impact-of-climate-change-on-your-daily-cup-of-coffee\/"},"modified":"2016-11-03T22:10:38","modified_gmt":"2016-11-04T02:10:38","slug":"starbucks-impact-of-climate-change-on-your-daily-cup-of-coffee","status":"publish","type":"hck-submission","link":"https:\/\/d3.harvard.edu\/platform-rctom\/submission\/starbucks-impact-of-climate-change-on-your-daily-cup-of-coffee\/","title":{"rendered":"Starbucks: Impact of Climate Change on Your Daily Cup of Coffee"},"content":{"rendered":"

The impact of climate change on Starbucks<\/strong><\/p>\n

Imagine a world without your daily cup of Starbucks coffee.<\/p>\n

This nightmare scenario could one day become a reality, as increasing levels of atmospheric greenhouse gasses begin to impact Starbucks and the rest of the coffee industry. Rising temperatures are leading to an increase in pests (e.g., coffee berry borer) and invasive fungi (e.g., coffee leaf rust) that contribute to lower overall crop yields. [1] Additionally, warmer weather and inconsistencies in rainfall patterns are expected to limit where coffee can be grown going forward. By 2050, the total area suitable for coffee production is projected to decrease by up to 50%. [2] Finally, for the coffee connoisseurs, even a half-degree-Celsius change in temperature can have noticeable effects on the flavor and aroma of their coffee. [3]<\/p>\n

Exhibit A: Climate Change Impact on Coffee Production [3]<\/em><\/p>\n

\"climate-change-coffee\"<\/a><\/p>\n

Some of these risks are already beginning to materialize. In 2014, for example, drought periods coupled with erratic rainfall in Brazil (the producer of about one-third of the world\u2019s coffee) resulted in spikes in Arabica coffee bean prices. Farmers in countries such as Guatemala and India have had similar experiences in recent years. In the short-term, production shortfalls may result in increased raw material costs for Starbucks. However, the longer-term implications of climate change are what should really worry the Seattle-based company. With roughly 2.25 billion cups of coffee consumed globally each day and rising demand across Asia and Africa, Starbucks must ensure a more sustainable coffee ecosystem. [3]<\/p>\n

 <\/p>\n

So what has Starbucks done?<\/strong><\/p>\n

Despite its traditional role as a roaster and consumer-facing retailer, Starbucks has begun to move further down the value chain in order to bring innovative and sustainable practices directly to coffee farmers. In 2004, Starbucks launched its first Farmer Support Center. Here, and across the four other centers that have opened since then, Starbucks provides farmers with training in soil management, field-crop production, and milling processes\u2014all important factors in improving yield, as suitable farmland becomes more limited. [4]<\/p>\n

Furthermore, Starbucks is innovating on the coffee bean itself. In 2013, Starbucks purchased its first-ever farm and launched the Global Agronomy Research & Development Center in Costa Rica. One of the main purposes of this facility is to cultivate new disease-resistant coffee beans that will grow more effectively in harsher climate conditions. [5] In 2015, Starbucks released five new rust-resistant coffee tree hybrids through its research and donated thousands of seedlings to the Costa Rican Coffee Institute, which will assist with the commercialization of the new hybrids. [6]<\/p>\n

Exhibit B: Starbucks’\u00a0Research on Disease-Resistant Coffee Beans [5]<\/em><\/p>\n