The impacts of production and price shocks on the coffee industry in PNG

Coffee is one of Papua New Guinea’s leading agricultural export in value terms, accounting for 156 million USD of export earnings in 2021 (FAOSTAT, 2023), 13 percent of agricultural export revenues and 1.4 percent of total export revenues. The coffee industry is a major source of income for some 2.5...

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Main Authors: Arua, Stanley, Gondo, Robert, Kinau, Adrian, Kotto, Aaron, Dorosh, Paul A., Schmidt, Emily, Tian, Junyan
Format: Artículo preliminar
Language:Inglés
Published: International Food Policy Research Institute 2024
Subjects:
Online Access:https://hdl.handle.net/10568/140479
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author Arua, Stanley
Gondo, Robert
Kinau, Adrian
Kotto, Aaron
Dorosh, Paul A.
Schmidt, Emily
Tian, Junyan
author_browse Arua, Stanley
Dorosh, Paul A.
Gondo, Robert
Kinau, Adrian
Kotto, Aaron
Schmidt, Emily
Tian, Junyan
author_facet Arua, Stanley
Gondo, Robert
Kinau, Adrian
Kotto, Aaron
Dorosh, Paul A.
Schmidt, Emily
Tian, Junyan
author_sort Arua, Stanley
collection Repository of Agricultural Research Outputs (CGSpace)
description Coffee is one of Papua New Guinea’s leading agricultural export in value terms, accounting for 156 million USD of export earnings in 2021 (FAOSTAT, 2023), 13 percent of agricultural export revenues and 1.4 percent of total export revenues. The coffee industry is a major source of income for some 2.5 million people, mainly in farm households, and is cultivated in 17 out of 22 provinces (ACIAR, 2021). Coffee exports and incomes are threatened, however, by a number of supply side factors such as ageing coffee trees, outbreaks of coffee berry borer, poor production practices and challenges in reaching markets (i.e. transport and post-harvest handling), as well as by demand-side fluctuations in the world price of coffee (World Bank, 2022; Dorum et al., 2023). This research note first presents an overview of PNG’s coffee sector, including a discussion of production trends and structure of the coffee value chain. We then utilize a simple partial equilibrium model of coffee supply and demand, along with data on coffee production and household consumption from the PNG Household Income and Expenditure Survey (HIES) of 2009/10, FAOSTAT and the World Bank, to simulate the impacts of potential production and price shocks on the coffee industry in Papua New Guinea (PNG). Finally, we present an analysis of price movements in recent years and the potential costs and benefits of a price stabilization policy for coffee producers.
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spelling CGSpace1404792025-12-08T10:11:39Z The impacts of production and price shocks on the coffee industry in PNG Arua, Stanley Gondo, Robert Kinau, Adrian Kotto, Aaron Dorosh, Paul A. Schmidt, Emily Tian, Junyan coffee agriculture income households Coffee is one of Papua New Guinea’s leading agricultural export in value terms, accounting for 156 million USD of export earnings in 2021 (FAOSTAT, 2023), 13 percent of agricultural export revenues and 1.4 percent of total export revenues. The coffee industry is a major source of income for some 2.5 million people, mainly in farm households, and is cultivated in 17 out of 22 provinces (ACIAR, 2021). Coffee exports and incomes are threatened, however, by a number of supply side factors such as ageing coffee trees, outbreaks of coffee berry borer, poor production practices and challenges in reaching markets (i.e. transport and post-harvest handling), as well as by demand-side fluctuations in the world price of coffee (World Bank, 2022; Dorum et al., 2023). This research note first presents an overview of PNG’s coffee sector, including a discussion of production trends and structure of the coffee value chain. We then utilize a simple partial equilibrium model of coffee supply and demand, along with data on coffee production and household consumption from the PNG Household Income and Expenditure Survey (HIES) of 2009/10, FAOSTAT and the World Bank, to simulate the impacts of potential production and price shocks on the coffee industry in Papua New Guinea (PNG). Finally, we present an analysis of price movements in recent years and the potential costs and benefits of a price stabilization policy for coffee producers. 2024-03-15 2024-03-18T18:30:52Z 2024-03-18T18:30:52Z Working Paper https://hdl.handle.net/10568/140479 en https://hdl.handle.net/10568/140447 https://hdl.handle.net/10568/140446 Open Access application/pdf International Food Policy Research Institute Arua, Stanley; Gondo, Robert; Kinau, Adrian; Kotto, Aaron; Dorosh, Paul; Schmidt, Emily; and Tian, Junyan. 2024. The impacts of production and price shocks on the coffee industry in PNG. Papua New Guinea Project Note 14. Washington, DC: International Food Policy Research Institute. https://hdl.handle.net/10568/140479
spellingShingle coffee
agriculture
income
households
Arua, Stanley
Gondo, Robert
Kinau, Adrian
Kotto, Aaron
Dorosh, Paul A.
Schmidt, Emily
Tian, Junyan
The impacts of production and price shocks on the coffee industry in PNG
title The impacts of production and price shocks on the coffee industry in PNG
title_full The impacts of production and price shocks on the coffee industry in PNG
title_fullStr The impacts of production and price shocks on the coffee industry in PNG
title_full_unstemmed The impacts of production and price shocks on the coffee industry in PNG
title_short The impacts of production and price shocks on the coffee industry in PNG
title_sort impacts of production and price shocks on the coffee industry in png
topic coffee
agriculture
income
households
url https://hdl.handle.net/10568/140479
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