The Value Chain Analysis and Margin Analysis of Thai Premium Arabica Coffee in Japan Market
Keywords:
specialty coffee, arabica coffee, value chain, margin analysis, supply chainAbstract
This study aimed to analyze the value-added processes within the value chain of specialty arabica coffee produced in Chiang Rai province of Thailand for exporting to the Japan market and to study portions of profit gained by each stakeholder along the value chain. The sampling locations were Thailand and Japan. The population used in the study consisted of 20 specialty coffee farmers in Chiang Rai, 32 Thai coffee bean collectors and roasters in Chiang Rai, Chiang Mai and Bangkok, 2 Japanese brokers, 2 transportation providers in Bangkok, 1 agricultural government agency, 28 importers in Japan and 16 Japanese coffee shop owners who used Thai specialty coffee beans. The results of the study revealed that the key persons involved in the supply chain were classified into two groups; 1) Thai processors and 2) Japanese brokers who collected non-roasted specialty coffee in Thailand and exported to Japan. There was differentiation in margin for each group. Japanese broker earned margin from collecting activity than Thai processor at approximately 1.40 Baths/cup. However, margin earned by Japanese roasters was higher than Thai roasters at approximately 3.70 Baths/cup which resulted in a coffee shop’s margin of approximately 1 Bath/cup.
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