The average coffee farm produces an income gain of about $600 per acre from 5 acres. At today’s retail price, it’s typical for the farmer to end up receiving about 2% of the ultimate value of the coffee, which considering the out-of-pocket costs of production and harvest is barely enough to survive in even the poorest coffee regions.
As a result, some coffee farmers are abandoning their farms in order to seek livable wages elsewhere. Other farmers neglect their farms during the off season while they seek other work. As a result, the underlying economics of coffee have turned one of the world’s most coveted crops into an unsustainable business model for many farmers at a time when worldwide demand and prices are at all-time highs.
Rethinking the Supply Chain – THRIVE Farmers is redesigning the coffee supply chain and eliminating the need for importers, exporters, brokers, traders and others who add layers of cost to the final product. Even more importantly, however, THRIVE has designed a revolutionary new business model that for the first time in history aligns the interests of the farmers with those who are selling coffee to the consumer. THRIVE Farmers actually consign their coffee without getting paid, and then share in at least half of the final sales price as a true partner, providing a level of participation never before seen in the coffee industry. THRIVE Farmers does not buy any coffee – we are the farmer!
THRIVE Farmers gives the farmer direct access to the marketplace for his coffee, providing economic participation at each step of his crop’s accrued value.
The THRIVE Platform – THRIVE Farmers participate at every step of the value chain – from the farm to the cup. The THRIVE platform allows the farmer to participate higher up the chain where the sales price is higher and more margin is available. This generates incentives in the true sense of a partnership with a vested connection to quality. No income is earned until revenue is generated.
Moreover, with assistance from THRIVE, farmers gain the resources and knowledge to increase yield per acre within a truly sustainable ecosystem.
THRIVEWORX™ supports the farmer by providing processing and logistics at the local point of origin. ThriveWorx includes:
- Local processing of THRIVE farmers’ coffee to produce dried beans ready for roasting. ThriveWorx offers an alternative to the traditional co-ops. It also eliminates the market for “coyotes” who buy just-picked fruit at low-ball prices. Local ThriveWorx™ organizations identify skilled leaders to oversee and coordinate processing and logistics on behalf of the farmer.
- Best Practices around farming and sustainability. THRIVE Farmers is dedicated to improving the economic viability of farming while promoting sustainable practices.
- Quality and Compliance - THRIVE helps farmers improve the quality and yield of the crop by promoting standardized farming practices, monitoring coffee quality and scoring.
Watch the THRIVE Farmers Video
We're reinventing the way coffee gets to your table. Watch the video.
Coffee’s Economics, Rewritten by Farmers
Special profile of the THRIVE model highlighted via The New York Times Learn more now.
The Perfect Cup
Learn all you need to know about brewing perfect cup of coffee. Read our guide here.