Too Hot to Handle? Coffee and the Climate Crisis

As multiple environmental crises scorch coffee farms from Brazil to Ethiopia, consumers are waking up to the bitter truth: a cup of coffee costs more because every bean is harder to grow. The Federal Ministry for Economic Cooperation and Development (BMZ) together with its partners from the private sector, civil society, academia, and producing countries supports projects worldwide to reduce the impacts of climate change and related environmental crises on agricultural value chains. Adaptation to climate change is a key element for ensuring a safe operating space for environmental and human wellbeing, both in producing countries and in Germany.

Coffee is one of the most traded commodities worldwide and the demand continues to rise. Yet, global supply relies almost exclusively on two species only: Arabica and Robusta, which are both vulnerable to environmental and climatic changes. Recent heavy price fluctuations are linked to climate-related shocks such as dry spells in Brazil, shifting rainy season in Vietnam, and a long drought in East Africa, threatening producer countries’ sustainable development gains, farmers’ living income while also destabilizing consumer markets. Other pressures, such as land-use change, water stress and biodiversity loss add to the climatic and socio-economic challenges. Joint efforts of producer and consumer countries, industry and farmers are needed to invest in sustainable agricultural value chains that operate within planetary boundaries.
The panel discussion allows to highlight climate change impacts on the global coffee sector and exchange about innovative measures for better adaptation. For example, increasing crop diversity and exploring underutilized species such as Excelsa coffee can strengthen resilience against drought and shifting seasons. In areas where rising temperatures impact coffee production, enhanced agroforestry systems can help to regulate canopy temperature and micro-climatic conditions.

The event aims to:

• Highlight how climate change fundamentally disrupts global value chains, threatening livelihoods and the safe operating space for humanity, using coffee as a case study

• Showcase innovative, no-regret options for climate change adaptation, opportunities but also challenges for value chain and international development cooperation

• Foster dialogue between policy, farmers, industry, science, and financiers on joint climate action. In particular, it allows to strengthen ties with governments of coffee-producing countries and industry.

Agenda:

• Welcoming remarks by H.E. Reem Alabali-Radovan, Minister of Economic Cooperation and Development

• Scientific input by Johan Rockström, Director of the Potsdam Institute for Climate Impact Research (PIK) - Climate risks, adaptation and insights into the PIK-BMZ coffee project

• Panel discussion with stakeholders along the coffe value chain

• Closing

• Informal exchange over coffee