ETHIOPIAN FINE COFFEE
A superior product in high demand, recognized and respected by fine coffee drinkers for centuries.
- Prices were effectively set by 5 huge European coffee importers with much more negotiating power than the Ethiopian export sector.
- This meant that Ethiopia’s export earnings were only 5% of the estimated $2,000 million retail value that the fine coffees generated from consumers annually.
- And 1,000,000 fine coffee farmers produced half the potential of their land, due to these inadequate price incentives.
- To shift the power, Light Years IP helped Ethiopia take control of the fine coffee brands and control of the distribution of the fine coffees.
- Ethiopia filed trademark registrations globally, with help from highly skilled trademark lawyers.
- Using a trademark owners’ power to restrain trade, Ethiopia licensed distributors across major market countries.
- When 25 coffee companies had signed licenses, the negotiating power balance changed in Ethiopia’s favour and the export price was increased to 275% of the previous price, resulting in over $100 million increase in export income, net of commodity price changes.