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Article

19 Jan 2016

Author:
Luc Cohen & Ivan Castro, Reuters (UK)

Farmers in Central America switch to cocoa as rising temperatures threaten coffee

"As climate change threatens CentAm coffee, a cocoa boom is born", 18 Jan 2016

…[T]he lower climes of Roger Castellon's farm in Nicaragua's mountainous Jinotega department were long ideal for growing coffee.  But with temperatures on the rise, the veteran coffee farmer is shifting his lower-lying land to a crop that…enjoys a rich legacy in the region: Cocoa. "Coffee is no longer viable due to climate change," said Castellon…Soaring temperatures in Central America, linked to climate change, are forcing many farmers like Castellon to replace coffee trees with cocoa…Cocoa production and exports have steadily risen…Current price levels are also sending a signal to producers to transition to cocoa. Coffee futures fell 24 percent in 2015…while cocoa futures have risen for four consecutive years…Growing consumer demand for higher-quality products in both markets is also driving the shift, and coffee premiums tend to increase with altitude. Efforts in the region are focused on promoting quality rather than volume…Central America may soon supplement the Dominican Republic and Madagascar as a source of beans for the burgeoning craft chocolate industry.