Japan needs lower Jamaica coffee prices

Jamaica Blue Mountain (JBM) coffee dealers are now in Japan (late September) seeking to secure new contracts. Japan is a mature market that buys 85 per cent of the total JBM crop. So any new contract secured would likely mean that another player lost marketshare.

Japan loves JBM but its not exactly selling like rice cakes. So reports are that the inventory of JBM is growing.

As a result Japan buyers wants a lower price for the JBM. And they are likely to get it, as supply now outpaces demand. In other words there’s a lot of beans going around.

Whatever happens in Japan affects the world. So that means that you–the reader on Jamaicamocha will reap cheaper prices on luxury roasted beans. Want even lower prices contact us and we will make it happen.

 

Steven Beans

info@jamaicamocha.com

 

 

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Jamaica Coffee prices set to fall

IMG_20160805_115156.jpgJamaica Blue Mountain coffee prices hit a high of roughly US$60 per pound this year for roasted beans amid increased demand and reduced supply.

Consumers however will find solace in knowing that producers are expecting prices to fall by as much as 25 per cent in the next two years. It will mean that the cheapest Jamaica Blue Mountain (JBM) in years whether from Jablum, Wallenford, Amber or any other brand.

The price fall is the result of an expected increased supply of beans on the market as farms return to full or near to full capacity. The increased supply will result in an overabundance on the market which will, at least in economic terms, reduce the price.

In anticipation of this price drop, brands including Jablum introduced a Premium Blend of coffee that incorporates 30 per cent JBM and 70 per cent regional balanced beans. Thus price conscious enthusiasts can buy a pound for as little as US$32 plus shipping.

Over the last few years, a confluence of factors affected the supply of the beans led by drought, fires, infertile farms and disease.

Over the last two years, roasters in Japan wanted the bulk of beans from Jamaica and were willing to pay anything for the luxury cup.

During that period, the price at the farm level jumped fivefold from US$20 to $100 per box of coffee as small farmers gained influence in price setting.

 

Marley Coffee High Grades but…

 

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Marley Coffee offers one of the coolest brands from the Jamaica Blue Mountains. This coffee rocks with reggae chocolateness and R&B low acidity. Its led by Rohan Marley, the son of reggae legend Bob Marley, with operations in the US and Jamaica.

Its listed on the OTC Market in the US as Jammin Java and considered a penny stock with thin capitalisation. The team at Marley Coffee however want to change that but are faced with financial hurdles.

For instance, April quarterly sales more than doubled year on year which has  puts it on track to surpass the US$10 million annualised target for this financial year.

Despite the rapid sales jump, its net loss quadrupled to US$1.9 million during the three months to April. The company blamed the losses on its widening US distribution.

“The principal reason for the increase in net loss was the US$1.9 million increase in total operating expenses from the growth of the company and its staffing needs offset by the US$473,950 increase in total other income,” said company filings to the Securities and Exchange Commission (SEC).

Losses mean very little to coffee lovers who just want the perfect brew. Marley Coffee offers that, but even that has challenges based on the limited supplies of Jamaica Blue Mountain coffee.

The shortage is based on factors outside the company’s control led by the coffee rust disease. During the April quarter the company purchased just  US$65,000 worth of Jamaica Blue Mountain coffee. which accounted for a small fraction off its US$2.1 million in quarterly sales. Comparatively, the company bought one-third more Jamaican coffee a year earlier.

In fiscal 2014, Marley Coffee established a national grocery distribution network, increased its brand awareness and strengthened its international presence, including its entry into two of the largest chains in the US, Safeway and Kroger.

 

Difference between Jamaica Blue Mountain and High Mountain coffee

Simply put Jamaica Blue Mountain (JBM) is the premium brand and Jamaica High Mountain is the satisfactory fighter brand.

Jamaica Blue Mountain should taste complex with initial tones of chocolate which transfers to hints of brown sugar and then lemon on the back end without any bitterness. In other words three layers of taste or tri-tones. In reality most cups will have two layers rather than three and offer chocolate and nut without the bitterness. Or chocolate and lemon. Regardless of the number of layers it should be balanced and not taste like hot water.

High Mountain on the other hand offers a deeper chocolate taste in part due to darker roasts but also heavier body and a more masculine profile. Its profile then offers a transition from cocoa to heavy nut with some amount of bubbly acidity and slight bitterness. It makes a cup daily cup but will not usually offer complex tri-tones like properly curated Blue Mountain. Its also less balanced and the swings of chocolate to bitter isn’t uncommon. But there are some great batches of High Mountain that can offer more satisfaction than Blue Mountain particularly for those who want a chocolate affair especially with milk.

Price. Jamaica Blue Mountain retails for about $25 per 8oz or basically twice the price of high mountain. There are some exceptions in price with newer brands seeking to slash margins to make sales. But generally stick to known brands at higher costs. You basically get value for money. Why. Because even today a few roasters don’t drink coffee in Jamaica. So they can’t tell a botched roast job or not.

Brands. Established Jamaica Blue Mountain brands include Wallenford, Jablum, Coffee Traders, Coffee Roasters, Marley Coffee, Amber Estate and Twymans. There are others but these are the ones in the main. The newer ones include brands like Plantation Blue and Stoneleigh.

Of course the profile changes based on many farming factors including luck. But generally speaking, I find that Twymans and Amber are most consistently in offering tri-tones while most of the others will give amazing two-tones.  Its probably due to the single estate nature of these beans and the love that these farmer-owners put into each bag. Actually yes, they are proud of their coffee and would invite anyone to share a joke with them over a fresh brew. I also have to make honourable mention of Marley in the gold bag which I also find the right balance of chocolate and lemon. The right balance of amazing.

It therefore sets up questions about the oldest brands in the business: Wallenford and Jablum. They are good but will generally offer two-tones rather than amazing three tones. Anyone can disagree. Its just my opinion. It is getting better but when a company is the oldest and the largest (Wallenford owners bought out Jablum) you buy from thousands of farmers and the profile moves from knowing every bean to capitalism. But its still good and I’m actually drinking Wallenford now.

High Mountain on the other hand, is dominated by the Minott family controlled Jamaica Standard Products Limited. The company masterfully calls its brand the name of the region of coffee–Jamaica High Mountain.

Geographically JBM is grown at an elevation beyond 2,000 ft in the mountain range of the Blue Mountains on the easterly side of Jamaica. While High mountain comes from various areas in the island but particularly, the other side of the island.
JBM is serious coffee and the microclimate offers that premium super luxury taste that’s renowned globally. That said, High Mountain is the better choice for mixed milk based drinks including cappos, lattes and the sort.

 

Click pics to buy Jamaica High Mountain or Jamaica Blue Mountain

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Wallenford Estate Jacks up price 30%

Large Jamaica coffee brand WALLENFORD ESTATE hiked coffee rates in order to compensate for currency fluctuations management indicated to Jamaicamocha.

A typical 8ounce bag of beans can now go for over US$30 online (price + shipping).

Wallenford is amongst the most known brands of Jamaica Blue Mountain. So what the company does affects the industry.

The move resulted in all their products from Blue Mountaint to High mountain coffee increasing between 20-30%.

Brand loyalty will be severely tested in coming months based on price rise. The good news is that Jamaicamocha still offers the lowest rates based on our logistic efficiencies.

Cheers

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Wallenford jamaica blue mountain coffee 100% SALE

Wallenford, the largest producer of coffee in the island.

6x4oz whole beans

100%Jamaica Blue Mountain

Admired for its delicate balance of floral aroma, mild acidity and full body. Wallenford® Jamaica Blue Mountain® Coffee has long been regarded as the world’s finest coffee, and the number one choice of coffee connoisseurs.

It is one of the oldest and most renowned coffee companies in Jamaica. Wallenford ® promises and delivers the perfect cup of coffee. Historically owned and operated by the coffee regulator–Coffee Industry Board: The regulatory and marketing arms split about a decade ago in order to focus on separate yet ultimately united objectives. Wallenford therefore is CIB certified.

Wallenford sells 1.5 lbs for US$48.99 with free shipping or half off retail price.

wallenford april 17 2013
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SAFE: ALL SHIPMENTS RECEIVE TRACKING NUMBERS. TRACKING NUMBERS ARE INDEPENDENTLY VERIFIABLE BY JAMAICA POST OFFICE WHICH UPDATES TRACKING STATUS VIA EMAIL. SHIPMENTS TO USA TAKES UP TO 29 DAYS AND UP TO 45 FOR REST OF WORLD.

Jamaica Blue Mountain coffee aims to make tea

The Jamaica Agriculture Ministry wants to develop a pilot project to produce tea in the protected region of the Jamaica Blue Mountains.
contextually coffee grown in the Blue Mountains is amongst the worlds finest and fetches a premium price.

Agriculture minister Roger Clarke told Parliament in May 2013 that his ministry was currently negotiating a contract with a specialist to help devise an industrial plan for the nutraceutical industry.

“There are a number of herbs and spices known to us, such as mint, cerasee and fever grass that we use on a domestic basis with spectacular results,” Clarke told Parliament.

“The time has come for us to commercialise these herbs and spices,” the minister added.