Guiben Washed - Transparency
Farmer: Tian Cai
Exporter: Yunnan Coffee Trader
Importer: Indo China Coffee
It's been a joy to work with Indo China Coffee (ICC) for the first time. They did a fantastic job to make our life easy and frankly, without them, we would have had no way to bring you our classic Yunnan roasts this year.
With trade tarifs being out of control between China and the USA, no US based importer wanted to take on the complicated and pricey risks of getting coffees from China. On top of all the regular tarifs already in place, there is a 7,5% import fee to import any good from China to the US, and this ads up quickly when you are on thin margins.
So we had to connect with people on the other side of the Atlantic as ICC is based in London UK. The process took longer and was a little more expensive, but surprisingly smooth overall.
Price we paid ICC for the landed coffee in our Montreal warehouse: 5.02USD/lb (= a couple of hundred dollars with currency conversation and wire transfer fees, you know, the good stuff ;/) This included ICC fees for sourcing and logistics (0,57USD/lbs)
Shipping cost, door to door from the Vollers warehouse in the UK to our roastery: 0.91USD/lb +0,10USD/lb for warehousing fees.
FOB price (prices paid to farmers + fees and transport from the farm to the port at origin): 3,83USD (not including financing partner fees)
Farmgate price: Based on our conversion from the local currency and on previous years, we'd say that the farmers received in the high 2$ (2,70-2,90USD/lb). Our export and import partner are doing the work as we speak to have a better USD estimate at the time they bought the coffee a couple of months ago.