“The time is now” to invest in regenerative agriculture
EIICA Panel discussion. Image: Spencer Turer
Preserving the future of coffee through regenerative agriculture was the marquis topic at the Ernesto Illy International Coffee Award (EIICA) breakfast on 16 November. The EIICA, now the eighth edition, returned to New York City for the first time since 2019 due to the Covid-19 pandemic. The EIICA is a two-part event in which the nine country finalists are announced during a breakfast, also involves a ‘state-of-the-coffee-industry’ presentation or discussion, followed by an evening dinner where the Coffee Lovers Award and the EIICA are announced.
I was honoured to moderate yesterday’s morning events at the UN headquarters, which, this year, featured a panel of leading experts in the coffee sector discussing the urgency of preserving and protecting the future of coffee through regenerative agriculture. The panelists also appealed to the international financial community (some of whom were in the audience) to invest in the transition to regenerative agriculture through public and private partnerships. Panelists included: Vanusia Nogueira, executive director, International Coffee Organization (ICO); Jeffrey Sachs, economy professor at Columbia University (NYC) and co-chair Regenerative Society Foundation; Oscar Schaps, president of the Latin America division of StoneX Financial Inc. and commodity trader; and Glaucio De Castro, president of Federação dos Cafeicultores do Cerrado Mineiro.
Andrea Illy, chairman of illycaffè and co-chair of Regenerative Society Foundation, kicked off the panel discussion reminding the audience of the impact the low and volatile coffee prices have had on farming communities. He explained that improvements the ‘caffeculture’ has achieved in recent decades through the process of de-commoditization – improvements that still have a long way to go before achieving economic, social and environmental sustainability – are at risk of being reversed due to climate change. Regenerative agriculture, Illy said, has proven to be more resilient and to produce both environmental and health benefits. “Today we have proof that this model works, it is essential to implement it.”
Glaucio De Castro, president of Federação dos Cafeicultores do Cerrado Mineiro (Brazil) is a pioneer of regenerative agriculture. He began transitioning to regenerative agriculture several ago, and although he admits it is challenging and changes and tweaks were – and still are – De Castro sees the benefits and believes regenerative agriculture is the “[way to go].”
While regenerative agriculture is the agreed upon model by the panelists, it is costly — it requires investments of approximately US $10 billion over the next ten years. Of course, producing countries do not have sufficient economic-financial capacity, so it is necessary to create private and public partnerships that can generate international supply chain funds (this challenge is nothing new as governmental, intergovernmental, non-governmental and private stakeholders have been involved or approached for many years).
“To have a future in coffee we need to think about the planet and the people involved,” said Vanusia Nogueira, executive director, ICO. “It’s part of our responsibility as leaders of this sector to look for alternatives to provide good life to the producers and their families and also to take care of our planet. It’s clear that the challenges are big enough to not be addressed individually but in a collective and pre-competitive effort. Together I believe we can find impactful solutions.”
Economist Jeffrey Sachs, who is an internationally recognized leader in the field of sustainable development, said that true economic development aims to transform our society by creating sustainable increases in wellbeing through investments in human capital, physical infrastructure, and business enterprise, all with attention to the preserve natural capital on which our economy and survival depend.
“My morning coffee will never be grown in Central Park but will continue to be grown in Kenya, Rwanda, Uganda, Ethiopia, Guatemala, Colombia, Vietnam, and elsewhere. A well-managed developing country with access to major markets and international finance can grow very quickly,” Sachs continued, noting, “after decades of severe human-induced environmental degradation, we need to transform our economies to the core principles of sustainable development and the regeneration of natural capital. The most basic principle of all is to act for the common good. This means that we must start from cooperation within our communities, our nations, and globally.”
Andrea Illy concluded the panel discussion explaining that two things are needed for adaptation to climate change: improved agronomic practices and the renewal of plantations with more resistant varieties. “Regenerative agriculture seems to provide an answer to the first need, and I hope that this will become a model for the whole ‘caffeculture’. As far as renewal is concerned, we need to speed up considerably. All this requires supply chain investments that cannot be delayed any longer.”
The 8th Ernesto Illy International Award ‘Best of the Best’ and ‘Coffee Lovers Choice’ winners were announced at an evening gala at the New York Public Library. The 2023 ‘Best of the Best’ winner is São Mateus Agropecuária from Brazil and the 2023 ‘Coffee Lover’s Choice’ winner is Finca Danilandia from Guatemala.
- Vanessa L Facenda, editor, Tea & Coffee Trade Journal.
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