A study case on coffee (Coffea arabica): Limu Coffe - IRD
A study case on coffee (Coffea arabica): Limu Coffe - IRD
A study case on coffee (Coffea arabica): Limu Coffe - IRD
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6.1.1) Functi<strong>on</strong> and role of each actor of the value chain<br />
Ministry of Agriculture and Rural Development (MoARD)<br />
Established in January 2004 by proclamati<strong>on</strong> No. 380/2004 and now resp<strong>on</strong>sible for<br />
the full agricultural value chain, it took over the functi<strong>on</strong>s of the ex-<strong>Coffe</strong>e and Tea Authority<br />
in March 2004. It supervises the sector with resp<strong>on</strong>sibilities for <strong>coffee</strong> research, marketing,<br />
quality c<strong>on</strong>trol, handles policy matters and provides technical services such as extensi<strong>on</strong> and<br />
training to <strong>coffee</strong> growers. At regi<strong>on</strong>al (Oromiya and SNNP regi<strong>on</strong>s), z<strong>on</strong>al (ZARDO: Z<strong>on</strong>e<br />
Agriculture and Rural Development Office in Jima for example) and woreda (WARDO:<br />
Woreda Agriculture and Rural Development Office in <strong>Limu</strong> Genet for example) levels, it is<br />
resp<strong>on</strong>sible for implementing extensi<strong>on</strong> services (Petit, 2007). C<strong>on</strong>cerning <strong>coffee</strong> growers, its<br />
influence especially appears through state nurseries providing them selected seedlings in an<br />
extensi<strong>on</strong> framework, Farmers Training Centres and Dem<strong>on</strong>strati<strong>on</strong> Sites for training even if<br />
the latter tend to disappear.<br />
Ethiopia Commodity Exchange Authority<br />
The new instituti<strong>on</strong> got proclaimed in its Ethiopia Commodity Exchange Proclamati<strong>on</strong><br />
No. 550/2007 (4 th September 2007), then began trading operati<strong>on</strong>s in April 2008 and adds<br />
<strong>coffee</strong> am<strong>on</strong>g its commodities in December 2008. This accompanied the new <strong>Coffe</strong>e Quality<br />
C<strong>on</strong>trol and Marketing Proclamati<strong>on</strong> No. 602/2008 (25 th August 2008). It is working as a<br />
classic exchange place through members acting for users. Members buy seats that allow them<br />
to trade; <strong>on</strong>ly they can trade <strong>on</strong> the exchange. That means n<strong>on</strong> members must use their<br />
services. Members are exporters, buyers, producers, etc. As told me members, the exchange<br />
purpose is to ensure quality, delivery and payment by guaranteeing the product grade,<br />
quantity; operating a system of daily clearing and settling of c<strong>on</strong>tracts where buyers and<br />
sellers coordinate <strong>on</strong> the basis of standardized c<strong>on</strong>tracts; disseminating market informati<strong>on</strong> in<br />
real time to market actors; and offering c<strong>on</strong>tracts for future delivery providing sellers and<br />
buyers a way to hedge against price risk. But n<strong>on</strong>e of the members could answer about what<br />
happened to the specialty market, proposing to meet the respective superiors. Indeed quality<br />
has been improved through traceability and allows to guarantee that a Sidamo 2 is a Sidamo 2,<br />
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