Agriculture

Something’s Brewing

Coffee

The Geisha coffee variety, which comes from Ethiopia, has been produced in Panama since 1961, and despite the fact that it is also present in other Latin American countries such […]

The Geisha coffee variety, which comes from Ethiopia, has been produced in Panama since 1961, and despite the fact that it is also present in other Latin American countries such as Colombia, Panama’s Geisha is so far the most valued coffee in the international arena. This is especially so in countries such as Japan, Taiwan and Australia, which are the highest bidders at the premium coffee auctions held annually by SCAP. The reason why the Geisha coffee has those skyrocketing prices is, according to coffee specialists, its wonderful taste, marked by a perfect acidity and a long citrus sweetness. This coffee is produced in farms of 150 acres, located at an altitude of over 1,600 meters in the highlands of Chiriquí­, in the western part of central Panama, bringing together all the necessary elements for its cultivation: good soil conditions, a temperate microclimate, and the influence of the winds from both the Atlantic and Pacific Oceans.

Although the total value of Panamanian coffee exports in 2013 decreased 27%, according to official figures, Geisha coffee remains one of the goods that the country successfully ships beyond its borders. However, in 2013, the sector faced pressing challenges such as diseases—especially one colloquially known as rust—that impacted coffee plantations, as well as higher workforce costs, and low global prices resulting from the international world crisis. According to the International Coffee Organization, the rust epidemic in the country caused losses of $4 million and cost 30,000 jobs in a sector supporting 30,000 families. According to the latest report of the Contraloria General, the coffee harvest in 2013 was 141,300 quintals, representing a decrease of 31.5% compared to the figures for 2012, which totaled 206,400.

After a consequent significant decrease in the number of sown acres in recent years, it is expected that the cultivation of special varieties like Geisha will become the new engine of production in the coffee sector. Also, the government is undertaking initiatives to financially support local producers as well as strengthening bilateral relations with countries such as Taiwan, which has already shown its interest in increasing imports of specialty coffee from Panama within the framework of the Free Trade Agreement (FTA) signed by both countries in 2003.

One of the most well known producers of Geisha is Finca La Esmeralda, also its largest producer in Panama, which exports 100% of production from its 220 acres. The famous coffee Kotowa, from the Finca Rí­o de Cristal, is also valued internationally, but mainly distributed nationally. Some others, like Finca Lerida, which also features a boutique hotel, are more modest, but also export coffee to Japan and Taiwan.

The international recognition of these special coffees reinforces the idea of drawing Panama into The Coffee Route, which would be a great way to stimulate Panamanian tourism that would bring benefits to the tourism sector itself, and allow visitors to learn about the production of grain and the beautiful landscape of the highlands of Chiriquí­, the birthplace of Panamanian coffee.

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