S. RES. 368
Expressing the sense of the Senate concerning the
decline of world coffee prices and its impact on developing nations.
Mr. LEAHY (for himself, Mr. DODD, Mr. SPECTER, and Mrs. FEINSTEIN)
submitted the following resolution; which was considered and agreed to
RESOLUTION
Expressing the sense of the Senate concerning the decline of world
coffee prices and its impact on developing nations.
Whereas since 1997 the price of coffee has declined nearly 70 percent
on the world market and has recently reached its lowest level in a
century;
Whereas the collapse of coffee prices has resulted in a widespread
humanitarian crisis for 25,000,000 coffee growers and for more than 50
developing countries where coffee is a critical source of rural employment
and foreign exchange earnings;
Whereas, according to a recent World Bank report, 600,000 permanent and
temporary coffee workers in Central American have been left unemployed in
the last two years;
Whereas the World Bank has referred to the coffee crisis as `the silent
Mitch', equating the impact of record-low coffee prices upon Central
American countries with the damage done to such countries by Hurricane
Mitch in 1998;
Whereas 6 of 14 immigrants who died in the Arizona desert in May 2001
were small coffee farmers from Veracruz, Mexico;
Whereas The Washington Post, The New York Times, and the Wall Street
Journal report that cultivation of illicit crops such as coca and opium
poppy is increasing in traditional coffee-growing countries, such as
Colombia and Peru, which have been adversely affected by low international
coffee prices;
Whereas the economies of some of the poorest countries in the world,
particularly those in Africa, are highly dependent on trade in coffee;
Whereas coffee accounts for approximately 80 percent of export revenues
for Burundi, 54 percent of export revenues for Ethiopia, 34 percent of
export revenues for Uganda, and 31 percent of export revenues for Rwanda;
Whereas, according to the Oxfam International Report `Mugged: Poverty
in your Coffee Cup', in the Dak Lak province of the lowest-cost coffee
producers in the world, the price farmers receive for their product covers
as little as 60 percent of their costs of production;
Whereas on February 1, 2002, the International Coffee Organization (ICO)
passed Resolution 407, which calls on exporting member countries to
observe minimum standards for exportable coffee and to provide for the
issuance of ICO certificates of origin according to those standards and
also calls on importing member countries to `make their best endeavors to
support the objectives of the programme';
Whereas both the Specialty Coffee Association of America (SCAA) and the
National Coffee Association (NCA) support ICO Resolution 407 and have
publicly advocated for the United States to rejoin the International
Coffee Organization;
Whereas the United States Agency for International Development (USAID)
has already established coffee sector assistance programs for Colombia,
Bolivia, the Dominican Republic, East Timor, El Salvador, Ethiopia,
Guatemala, Haiti, Honduras, Nicaragua, Panama, Peru, Rwanda, Tanzania, and
Uganda; and
Whereas House Report 107-663, highlights the coffee price crisis as a
global issue and `urges USAID to focus its rural development and relief
programs on regions severely affected by the coffee crisis, especially in
Colombia': Now, therefore, be it
Resolved,
That--
(1) it is the sense of the Senate that--
(A) the United States should adopt a global strategy to
respond to the coffee crisis with coordinated activities in
Latin America, Africa, and Asia to address the short-term
humanitarian needs and long-term rural development needs of
countries adversely affected by the collapse of coffee prices;
and
(B) the President should explore measures to support and
complement multilateral efforts to respond to the global coffee
crisis; and
(2) the Senate urges private sector coffee buyers and roasters to
work with the United States Government to find a solution to the
crisis which is economically, socially, and environmentally
sustainable for all interested parties, and that will address the
fundamental problem of oversupply in the world coffee market.