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Starbucks signs agreement with TransFair USA
Embargoed until Monday April 10, 2000 at 9:00 am PDT
Alan Gulick, Starbucks Coffee Company, 206-318-8482 firstname.lastname@example.org
Paul Rice, TransFair USA, 510-663-5261 email@example.com
Starbucks and TransFair USA Enter into Breakthrough Alliance to Promote
Fair Trade Certified Coffee
SEATTLE / OAKLAND, Calif.; April 10, 2000 - Starbucks Coffee Company
(Nasdaq:SBUX) and TransFair USA have formed an innovative alliance in which
Starbucks will market Fair Trade Certified coffee in over 2,000 retail
locations across the United States and through the Starbucks.com
website. Starbucks purchases of Fair Trade Certified coffee will be from
certified importers who have paid the farmers a fair price (as defined by
internationally accepted Fair Trade standards for coffee), which will be a
premium over the prevailing market price.
Under the agreement, Starbucks will develop marketing, promotional and
educational materials about Fair Trade Certified coffee and display
TransFair USA's Fair Trade Certified label on coffee that has been grown,
processed, traded and marketed in accordance with international Fair Trade
criteria. Under the terms of the agreement, Starbucks will source, roast
and sell Fair Trade coffee to meet growing consumer demand. After one year
from the date the Fair Trade Certified coffee is introduced into the
stores, Starbucks and TransFair will evaluate the success of the initiative
and define ongoing collaboration based on consumer demand.
"This is a breakthrough for Fair Trade Certified coffee in the United
States," said Paul Rice, Executive Director, TransFair USA. "At a time
when international coffee prices continue to fall, farming families around
the world depend on the US coffee industry to share the success of the
coffee boom. Starbucks extensive network of stores provides an excellent
forum to educate customers about Fair Trade. We believe that Fair Trade is
the most powerful and direct way for customers to help improve the lives of
coffee farmers and their families around the world."
"We are very excited about the opportunity to bring Fair Trade coffee
certified by TransFair USA to our customers," said Dave Olsen, Starbucks
senior vice president, Corporate Social Responsibility. "This program will
provide an additional opportunity for Starbucks to have a meaningful impact
on the working and living conditions faced by many who grow, harvest and
process coffee throughout the world."
Starbucks has already purchased and will roast and sell Fair Trade
Certified coffees initially from both Guatemala and Nicaragua in calendar
Starbucks considers promoting Fair Trade Certified coffee as one of several
promising approaches to improving the lives of coffee farmers and their
families. Starbucks will continue its efforts with organizations that are
helping coffee farmers and their families through support of CARE,
Conservation International and other similar organizations.
As part of Starbucks comprehensive strategy to support sustainable coffee
production, the company also will expand its purchases of shade grown and
organic coffees. Starbucks is committed to its goal of sourcing coffees of
the highest quality that support a sustainable social, ecological and
economic model for the production and trade of coffee. Starbucks believes
that continued and growing participation with these organizations
demonstrates our commitment to coffee producers and their families,
communities and natural environment.
TransFair USA, a non-profit agency, is the only organization providing
independent, third-party certification of Fair Trade products in the US.
TransFair promotes mutually-beneficial relationships between farmers and
coffee companies, and educates consumers about international trade and
economic development. Through regular visits to Fair Trade farmer
cooperatives, and partnerships with participating coffee companies in the
US, TransFair guarantees that farmers who produce Fair Trade Certified
products have received a decent living wage. By monitoring trade from crop
to cup, TransFair guarantees that Fair Trade Certified products were grown
and traded responsibly.
Starbucks Coffee Company is the leading retailer, roaster and brand of
specialty coffee in the world. In addition to its retail locations in North
America, the United Kingdom, the Pacific Rim, and the Middle East,
Starbucks sells whole bean coffees through its specialty sales group,
direct response business, supermarkets and online at Starbucks.com.
Additionally, Starbucks produces and sells bottled FrappuccinoŽ coffee
drink and a line of premium ice creams through its joint venture
partnerships and offers a line of innovative premium teas produced by its
wholly owned subsidiary, Tazo Tea Company.
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