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1 - The Integration of the World Coffee Market

Published online by Cambridge University Press:  01 September 2009

Steven Topik
Affiliation:
Professor of History University of California, Irvine
William Gervase Clarence-Smith
Affiliation:
School of Oriental and African Studies, University of London
Steven Topik
Affiliation:
University of California, Irvine
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Summary

Studies of coffee too often reify the international market. It is seen as an exogenous force that imposes itself on local producers who are powerless to do anything but obey its dictates. The “law of supply and demand” is seen as a structural dictator. There has been a substantial debate on the extent to which changes have been occasioned by changes in production processes (the creation of surplus) or in demand induced by changing consumption patterns or caused by commercial intermediaries. Who in the commodity chain is in control of prices, and has this changed over the centuries?

A second issue, which may appear only a technical subsidiary of the first two but is in fact central, is the creation of international standards and grades. How homogeneous is the commodity and how uniform internationally are the definitions? Do people mean the same thing when they say “coffee”?

This chapter analyzes the transformation of coffee from Arab monopoly to European colonial product to the sustenance of Latin American national states to, finally, a globally produced multinational commodity by asking the following questions: (1) What was the relative importance of changing patterns of demand and production in transforming the market, or, to put it another way, what were the relative roles of culture and technology in driving change? (2) What were the relative roles of private and public actors in creating the market? (3) What forces drove standardization, grading, and other market conventions?

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Publisher: Cambridge University Press
Print publication year: 2003

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