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COFEE.docxEXECUTIVE SUMMARY
JAMBO COFFEE will be dealing with Kenyan locally produced coffee.
Product description and profile
Kenyan coffee is picked only when ripe red, wet processed and expertly milled .Everything about the cup of Kenyan coffee is a souped-up version of what is the best tasting coffee ever; sweetness, flavor, and body.
The sweetness will show a backbone of caramel or honey or golden raisins.
The body is always big syrup with lingering finish that doesn’t allow the complexity of flavors to fade away .Kenyan coffee is ready to defend its intrinsic profile qualities on all fronts as they bring heavy flavor across the board, from the aromatics to their ripe fruit core, from sweetness ranging in caramelization to honey, and of course, more ripe fruits.
JAMBO COFEE PRODUCT FEATURES
· High quality Arabica variety
· Wet-processed
· Premium grade
· Single origin and unblended coffee
· Only the ripe red berries are handpicked at harvesting (no mechanization whatsoever)
· Sourced from small-scale co-ops that practice sustainable farming methods
· Grown on high volcanic soils surrounding snow caped MT.kenya highlands
Product offered
Jambo coffee will have 4 main products;
· Two in beans
· Two in grounded forms
· Regular
· De-cafe
Company mission
Our aim is to provide bring unique confectionary products and services to Kenya and the greater community by retailing and wholesaling tasty coffee treats. Jambo coffee is a confectionary company dedicated to providing high-quality coffee to a variety of customers. We concentrate on the high-end market of products as we maintain the focused differentiator strategic position in the coffee and beverages industries. Our products are priced higher and predicated on quality of inputs, exceptional flavor and taste, unique design and customer service. We maintain a friendly, creative, and fair working environment that welcomes diversity, hard work, and new ideas. We intend to generate profit to provide a fair return for our investors and to expand the business into other surrounding communities.
KENYAN COFFEE INDUSTRY ANALYSIS
There are many types of coffees in the world and the main species are Arabica and Robusta. Arabica is a high quality, mild coffee much favored for blending.
Kenyan Arabica is grown on rich volcanic soils found in the highlands between 1400 to 2000 meters above sea level. It is an established fact the finest Arabic coffee in the world is grown in Kenya.
The climate is never hotter than an European summer and never cooler than the best kind of European spring with a temperature range of not more than 19C (35F). Rainfall is well distributed throughout the year where coffee is grown with an annual precipitation not less that 1000 mm (35”) and deep well-drained red loam soils. These conditions make most of the districts in Kenya where coffee is grown unique in the world. There are broad, gently rounded ridges, sloping not too steeply into valleys which run swift perennial streams. The red volcanic soil is of great depth and fertility on the slopes ensuring good drainage. Coffee production goes through a systematic protocol from seed to cup from nursery, farm, pulping, milling and grading. Attention to detail guarantees that the consumer only gets the best of our Kenya Coffee.
PROCESSING OF KENYAN COFFEE
Kenyan coffee is processed by a wet method in order to ensure the best quality. Growers pick only the red-ripe cherry. At the factory, the cherries are sorted before processing and unripe, overripe or diseased cherries removed. The cherries are then pulped to remove the outer skin.
The slimy sugary coating (mucilage) – which remain on the beans is removed through fermentation process. Fermentation of parchment should be completed within 36 hours.
The parchment is now ready for sun drying on drying tables where it is regularly turned to obtain the bluish color for which Kenya coffee is famous.
Drying the coffee is the last process on the farm. When it is fully dried the coffee is bagged and ready to be sent to the mills.
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PB |
Round beans usually one in a cherry. |
|
AA |
Large beans (&.20 mm screen) |
|
AB |
This grade is a combination of A and B (6.80 mm screen) |
|
C |
Smaller bean than B |
|
E |
Elephants. The largest beans. |
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TT |
Any light coffee blown away from all grades including ears mostly from elephants. |
|
T |
The smallest and thinnest beans mostly broken and faulty. |
GRADING AND CLASSIFICATION OF KENYAN COFFEE
At the mills the parchment skin surrounding each bean is removed followed by mechanical grading of the coffee into seven (7) separate grades according to size, weight and shape of the bean. Currently there are 7 licensed commercial coffee mills and several private mills.
Mbuni is coffee that has not gone through the wet process (unwashed). It comprises about 10% of the total crop and graded either as heavy mbuni (MH) or light mbuni (ML). This grade generally fetches lower prices and has sour tasting liquor.
These grades are then classified based on a numerical reference system on a scale of 1 to 10. The quality of the raw, roast and the liquor are analyzed and described based on this scale where one (1) is the finest and best and ten (10) is the least favoured. The cup may be described as Fine Fair to Good. Fair Average Quality (standard 4), Fair, Poor to Fair to Common Plain Liquors.
Jambo product promotion
The main channels of promoting jambo products will be:
· Direct sales to churches and groups
· Company website
· Social media platforms ;
· Linklin
Kenyan coffee market analysis
In 2016, Kenya was ranked third among U.S. green Arabica imports from East Africa, a drop from the previous year, placing it behind Ethiopia and Uganda. With Kenya’s shift in producer demographics toward a higher proportion of smallholder farmers, weak extension support has led to reduced coffee quality and production levels five times lower than those of estate farmers. Despite Kenya being well regarded for its transparent and professional coffee systems, some regulatory costs and fees may be higher than the value they create. This diminished competitiveness is especially concerning with Kenyan prices being 38 percent higher than those of regional neighbors. Smallholder cooperative societies are plagued by inefficiency and mis-management. This undermines the capacity of smallholder farmers to increase yields of high-quality coffee and reduce production and processing costs. Kenyan specialty coffee is offered by almost all major U.S. specialty coffee importers. However, Kenya needs to establish a focused communications and marketing strategy to engage buyers directly and market itself actively to all industry stakeholders. If Kenya wants to enhance its participation in the U.S. specialty coffee industry and bolster its reputation as a global specialty coffee leader, it needs to achieve certain objectives. It could improve extension services and support to smallholder farmers, enhance price competitiveness, strengthen existing U.S. trade linkages, and reinvigorate U.S. industry appreciation for Kenyan specialty coffee. By achieving these objectives, Kenya can regain its role as the most well-known and identifiable African specialty coffee in the U.S. specialty coffee industry
MARKET SIZE
Around 70 percent of Kenya Arabica is available for exporting between January to June. This is the same period for Ethiopia and Honduras. The crop year is October 1 to September 30, and it is the same for 31 countries including Kenya. Most exports from Kenya to the U.S. are of green Arabica coffee. From 2011 to 2016, the value has ranged from $32 to $43 million per year.12 At the level of Harmonized Tariff Schedule (HTS) 10 digit, there were eight coffee items exported to the U.S. Still the market share occupied by Kenya in all of them is small (around 1 percent for Arabica, and even lower for Robusta, organic, and others). Total U.S. imports of coffee from the world in 2016 were $5.6 billion. This shows that there is significant potential for export growth into the U.S. if adequate quality supply is expanded. For more information on nonspecific products and their performance
