> coffee growing countries only receive about 8% of the total coffee revenue
If we look at the price of, for example, white flour from the supermarket, it should be immediately obvious that grain farmers are receiving some tiny fraction of the total net value of all baked-goods / pasta / pizza / etc sold annually.
It’s not immediately obvious that this is bad or unfair.
Yes it's misleading, I suspect purposefully. The cost of green unroasted coffee cannot be compared with "global coffee revenue" ... roasting makes coffee lose 30%, then you add packaging, shipping, labor to distribute ... finally the cost of coffee cup adds in service, rent and more ... you buy a kilo of green arabica for $4 after roasting and shipping you're on $8 ... so sell a cup in a cafe let's say you make 20-100x per kilo yet cafes are still the thinnest margin business and most go bankrupt.
It's equivalent to saying the oil producing companies only get x% of global car sales. Simply, ridiculous statement.
> It's equivalent to saying the oil producing companies only get x% of global car sales.
Cars are not really made of oil, gasoline is. And this was probably not the best of examples. In most oil companies extraction/exploration (raw material) and refining (processed product) actually split the profits pretty evenly, all things considered. Marketing (gas stations) gets pretty much the breadcrumbs and relies for profit more on selling Coke and sandwiches than actual gas.
This is unlike most other cases where the raw materials are worth far less than the processed ones, and the bulk of the profit goes to the final manufacturer rather than the raw material exporter.
> coffee growing countries only receive about 8% of the total coffee revenue
If we look at the price of, for example, white flour from the supermarket, it should be immediately obvious that grain farmers are receiving some tiny fraction of the total net value of all baked-goods / pasta / pizza / etc sold annually.
It’s not immediately obvious that this is bad or unfair.