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European Coffee Industry Notables Meet

Four hundred of top executives from the European coffee and foodservice sector gathered at The European Coffee Symposium in London on October 17th to discuss the latest trends and key issues in the fast-growing branded coffee chain market.

On the program side, the symposium featured speakers from Starbucks, Caffè Nero, SSP Group, Lavazza, McCafé, Nestlé Professional, First Choice Coffee, Fair Trade Foundation, Kraft Foods, Welcome Break Group and Solo Cup Europe. Research experts and event organizers, Allegra Strategies, revealed the latest results of the most extensive research on the European branded coffee shop market.

Following the symposium, networking opportunities continue into the evening as the event was capped off with a dinner and awards evening recognizing the “most significant contributor” to the industry across Europe and the “independent UK coffee shop of the year 2008.”

For more info, visit: www.europeancoffeesymposium.com or www.allegra.co.uk.

Nucoffee Brings Farm Management System To Brazil

Nucoffee implements an important tool for the modernization of coffee farms in Brazil. It’s called FMS (farm management system) and is developed by Ag Connections, a company that is focused on information technology for agricultural production management. One of its founding partners, Rick Murdock, has a wide understanding of Brazilian agriculture, since he lived in this country for many years and made several trips to the rural areas. This experience is reflected in the features and benefits of the innovative tool. FMS, a fully automated system, marketed exclusively with Syngenta, is another support item that this company offers to the coffee producers in Brazil, through its Nucoffee initiative.

The FMS system is a production information database that is connected from the computer to handheld devices to internet servers. The FMS system enables the coffee producer to monitor his production plan, his service orders, reports, costs, harvest data and profitability of the field. FMS is a tool that not only facilitates and brings modernization to the production, but also helps the farmer to comply with the most demanding international quality protocols. States the company, “This is a very important benefit, since Brazilian coffee needs to service a new level of international demand, where the quality of the crop is considered as important as the knowledge of the origin and identity of the product and its commitment with environment sustainability. Not only the roaster who buys the grain, but also the final consumers of gourmet coffee demand a more ethical product.”

For more info, email: daniel.friedlander@nutrade.com.br.

Multinational Coffee Chains Descend On Russia

While major coffee house brands are closing down outlets in the U.S. and Western Europe amid the global downturn, Russia provides opportunities for opening retail units. Recently, Australia’s Gloria Jean’s Coffees joined other international names, expanding into Moscow’s Mega Shopping Mall, the largest mall in Europe.

Starbucks also started in the same mall in Russia and has worked hard to establish itself as a dominant player. The Australian newcomer has ambitious plans too. It will launch a chain of 100 coffee shops all over Russia in the next decade. The rational is: the Russian coffee shops market has been growing some 40% annually over the past five years, from a relatively low base.

However, Russia is far from being a virgin land for coffee drinkers. To mirror that, serious players like Starbucks and Costa Coffee are raising their standards. Furthermore, local operations, like the Coffee House and Chokoladnitsa chains, have set up shops not only all over Russia, but throughout the former USSR, definitely outnumbering both Starbucks and Costa Coffee by far in the region.

McDonald’s, with its McCafe outlets, is another down-market but serious rival to all coffee houses. The chain is the largest fast-food operator in Russia with outlets located in some places so remote that they are only accessible by plane or by boat.

Targeted customers are between 16 and 45, many casually making appointments as they drop in to the numerous outlets of Mocco Locco, Coffee House, Starbucks, Chokoladnitsa, Coffee Bean, Coffeemania, Coffee Tune, Coffee Republic and McCafe outlets that are strung out from St Petersburg to Vladivostok.

All chains face intense competition and go for all the marketing opportunities they can, such as offering free or additional coffees, new brews, gifts and coupons. These promotion techniques open up vast opportunities for interested suppliers from Hong Kong and other Asian centers, particularly in the gifts, premium and electronics sectors. It might also be the right time for coffee catering chains from Hong Kong and elsewhere in the Asia Pacific to be encouraged to make the most of the largest consumer market in Europe.

Nescafe Converts Waste Into Energy

Spent coffee grounds are used to generate energy in the Cagayan de Oro factory of Nescafe. The Nestle Cagayan de Oro Factory’s Atmospheric Fluidized Bed Boiler (AFBB) is a technology that recycles and burns 100% spent coffee grounds of bunker fuel a day, which the factory uses for its operations. Spent coffee grounds are the remains of ground roasted coffee after their liquor has been extracted.

“Because less oil is burned to generate steam, the AFBB greatly helps reduce environmental pollution and save energy costs,” says Ed Legasto, senior vice president of Nestle Philippines, Inc (NPI) and factory manager of the Cagayan de Oro factory. He furthers that by using biomass as a substitute for bunker fuel, “we prevent the adverse air emission pollution such as Sulfur Dioxide (SO2) and Nitrogen Oxide (NO2), which is a natural by-product of combustion of fossil fuels.”

“And with the installation of a very efficient pollution control device called the Electrostatic Precipitator (EP), the whole AFBB system complies with Clean Air Act or RA 8749,” Legasto says. The process of recycling spent coffee grounds begins after the green coffee beans are roasted. The ground-roasted coffee is extracted with hot water inside the percolation batteries or extraction cells to produce the coffee extract.

While the coffee extract undergoes spray-drying to produce Nestle’s best-selling coffee, the spent coffee grounds are sent to the disposal system to be used as fuel. The heat produced from this process is then used to produce the steam requirements of the Cagayan de Oro Factory.

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please contact editor@teaandcoffee.net.

Tea & Coffee - November, 2008

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