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The Honolulu Advertiser
Posted on: Tuesday, December 30, 2003

State coffee sales forecast to hit 5-year peak

By Sean Hao
Advertiser Staff Writer

Sales of Hawai'i-grown coffee are expected to rise 1 percent, to $23.5 million, during the 2003-2004 season, hitting their highest peak in five years.

The Hawaii Agricultural Statistics Service's mid-year report also predicts a 16 percent increase in coffee production, to 7.5 million pounds, which would be the first production gain in three seasons.

Coffee-growing is becoming more diversified among the islands, increasing on Kaua'i, Maui and O'ahu. Fields on those islands are irrigated and less susceptible to the dry conditions taking a toll on Big Island coffee fields this season, said Ron Nakamura, a research statistician with the agricultural service.

Coffee production in Hawai'i County is expected to slip to 39 percent of the state total this season, from 55 percent in 2002-03.

But not all Hawai'i-grown coffee fetches the same price. "You've had an increase in production on the other islands, where prices are generally lower, so that offsets the increased production," Nakamura said.

Big Island coffee, including the well-known Kona variety, is expected to fetch an average of $3.70 a pound, compared with an average of $2.06 a pound for coffee grown on the other islands.

On average, coffee farmers should get $2.70 a pound this season, down 13 percent from last season, due partly to low world market prices caused by excess supply.

The state's coffee forecast is based on mid-season surveys of coffee growers and millers. Final figures for 2003-04 won't be available until around August.

Hawai'i is the only state in the country with a commercial coffee industry.

In an attempt to increase the profile of Hawai'i coffee, Gov. Linda Lingle tried to persuade the White House earlier this year to serve only Hawai'i-grown coffee. On her visit to the nation's capital, Lingle delivered a basket with a selection of coffees grown on the Big Island, O'ahu, Moloka'i, Maui and Kaua'i.

Although the White House does not serve Hawai'i coffee exclusively, it has served coffee grown in the Islands at several events since Lingle's visit.

Reach Sean Hao at shao@honoluluadvertiser.com or 525-8093.