JAB Holdings-owned coffee group commits 40% more financial support to Central American coffee farmers as part of the US ‘Call To Action’ programme, which encourages private sector investment in the region to stem economic migration
A JDE Peet's image of a coffee farm | Image credit: JDE Peet's
JDE Peet’s has pledged to increase investment in Central American coffee farms as part of the US ‘Call To Action’, an economic support programme spearheaded by US Vice President Kamala Harris to stem economic migration to the region through private-sector led financial support.
JDE Peet's joins CARE International, Cargill, Grupo Mariposa, Parkdale Mills, PepsiCo, and PriceSmart in making new pledges through the initiative.
A recent UN report highlighted that an estimated 16.2 million people
from the region resided in a country other than their country of origin in 2020, with a substantial proportion, frequently former coffee farmer
s, making an often perilous journey to the US.
In a press release, JDE Peet’s
highlighted the strategic importance of premium Arabica coffees sourced from Central American countries for its portfolio of coffee brands, which include LÓR, Peet’s and Senseo.
The Netherlands-headquartered company said it had invested an average of $175m per year (a total of $875m of five years) in Central American economies through a mix of green coffee purchasing and local community initiatives.
Through its Common Grounds programme, JDE Peet’s has pledged to increase economic support to smallholder farmers in the region by 40%. The company also said it would implement new sustainability programmes in partnership with the Coffee Alliance, a public-private partnership among USAID, JDE Peet’s, CoHonducafe (Honduras’ largest coffee exporter). to reach an additional 10,000 smallholder coffee farming households.
Launched in May 2021, Call To Action has so far achieved Central American investment commitments totalling more than $1.2bn. Also involved in the initiative is Switzerland-based Nespresso, which announced a commitment to support the economies of Guatemala, El Salvador and Honduras to the tune of $150m through coffee purchases, price premiums, and technical assistance by 2025.