Ethiopian Fine Coffees, Ron Layton

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Ron Layton of Lightyears IP presented at the 2008 Social Finance Forum. See the slide "Distinctive values in African exports."

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Ethiopian Fine Coffees, Ron Layton

  1. 1. Ethiopian Fine Coffees Presentation by Ron Layton of Light Years IP G8 Committee Meeting November 2008
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  6. 6. A New Commercial Investment <ul><li>A world-class product with prices that did not reflect supply and demand, extreme poverty among farmers……. </li></ul><ul><li>In response, a sound business strategy using Intellectual Property (IP) for new stakeholders </li></ul><ul><li>New collaboration between producer and distributor </li></ul><ul><li>Returning $100m plus p.a. from an investment of $2.5m – A New Commercial Investment </li></ul><ul><li>Improving the lives of millions of 4 million farmers and small traders AND benefits to developed country coffee distributors </li></ul>
  7. 7. The riches of Ethiopia
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  9. 9. <ul><li>15,000,000 Ethiopians dependent on coffee for income </li></ul><ul><li>6,000 coffee types </li></ul><ul><li>1/10 of the export share of Jamaican Blue Mountain exporters </li></ul><ul><li>3 lead fine coffee brands - Yirgacheffe, Sidamo, Harar </li></ul><ul><li>1 birthplace of coffee </li></ul>
  10. 10. 2004: A new chapter begins <ul><li>Light Years IP and the Ethiopian Intellectual Property Office conceive and design an initiative to… </li></ul><ul><li>Secure for Ethiopian producers recognition as owners of their fine coffee brands </li></ul><ul><li>Create voluntary 3rd party distribution agreements </li></ul><ul><li>Return proportionate value to the farmers </li></ul><ul><li>Prevent the extinction of “ Harar ”, the world’s oldest and most appreciated export coffee </li></ul><ul><li>Introduce more Ethiopian fine coffees to world markets </li></ul>
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  12. 12. 2005-present: Trademark registrations <ul><li>Trademarks registered for: </li></ul><ul><li>Harar </li></ul><ul><li>Sidamo </li></ul><ul><li>Yirgacheffe </li></ul><ul><li>28 countries registered </li></ul><ul><li>7 more countries pending </li></ul>
  13. 13. 2006-present: Licensing programme <ul><li>Distributors and Producers begin direct consultation: </li></ul><ul><li>Exclusive distribution </li></ul><ul><li>85 licensed distributors in 9 countries </li></ul><ul><li>Brand development and management </li></ul><ul><li>Joint marketing and promotion </li></ul><ul><li>Extendable to all Ethiopian fine coffees </li></ul>
  14. 14. 2007: Starbucks signs – a Win-Win outcome
  15. 15. 2008: Brand development <ul><li>A new brand identity for Ethiopian fine coffees: </li></ul><ul><li>To build awareness globally of Ethiopia’s top 3 coffees </li></ul><ul><li>To introduce consumers to other Ethiopian fine coffees </li></ul><ul><li>To underpin licensing agreements </li></ul><ul><li>Generate and maintain value throughout the supply chain </li></ul><ul><li>To support 3rd party efforts in selling Ethiopian fine coffees </li></ul><ul><li>To improve the livelihoods of 15,000,000 Ethiopians </li></ul>
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  17. 17. What does success look like? <ul><li>Ethiopian Fine Coffee Stakeholders </li></ul><ul><li>$100m more export income in 2007, estimated $175m in 2008, with over 90% going to very low-income farmers and small traders </li></ul><ul><li>Extending the initiative to other Ethiopian fine coffees, with high returns on investment </li></ul><ul><li>Building equal partnerships with distributors </li></ul><ul><li>Managing brands and promotion together with distributors </li></ul>
  18. 18. Beyond the Fine Coffee Initiative
  19. 19. Many African Exports are Distinctive <ul><li>African brand ownership and professional management of business strategies result in Win-Win outcomes </li></ul><ul><li>New collaborations will yield benefits to producers and distributors </li></ul><ul><li>African economic growth is important to all </li></ul><ul><li>14 projects being developed into project designs </li></ul><ul><li>New Commercial Investments of over $100m across 14 projects </li></ul>
  20. 20. <ul><li>Available from: </li></ul><ul><li>Copies here today </li></ul><ul><li>Light Years IP, Washington </li></ul><ul><li>DFID, London </li></ul><ul><li>US State Dept and US Embassies </li></ul><ul><li>or online at www.lightyearsip.net </li></ul>

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