Coffee: Social And Economic Analysis

A range of social and economic positive impacts occur in relation to the production of coffee. Coffee makes a positive contribution on the social side as it maintains a substantial rural employment and stable communities. Housing is improved as the living standards for many coffee producers is improved. This is because of fair trade which therefore increases how much money they are earing daily thus, farmers can afford better living conditions. This than means in many developing countries, this then provides more jobs for small- scaled farmers as the author even remarks “over a million jobs are generated by the industry as a whole,” (Courtney- Guy, 2017, p.1.). The production of coffee economically effects people and places immensely. People are effected as farmers in developing countries with very little money sell and produce their own coffee.

For example, they can use the money to access a stable education, health care and food. Places are also impacted extensively as according to the world bank, 95 out of 140 developing countries depend on commodity exports for at least 50 per cent of their export earnings. For the last three decades of the 20th century, coffee was developing countries second most valuable commodity export. Therefore, because of coffee production developing countries are immensely impacted. Other factors like the fair trade also benefited the lives of farmers in developing countries as researchers found that average incomes for skilled coffee growers enjoyed a 7.7 per cent increase in average incomes because of fair trade. Furthermore, farmers are earning more money. Thus, there seems to be no positive environmental impacts in relation to the production of