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THE PNG STORY
The coffee industry in Papua New Guinea reached a peak in 1998 when it was responsible for some 38% of the country's non-mineral exports and 13% of total exports. Between 1995 and 1998 coffee production contributed to 42 per cent of the revenue of country's total agricultural exports.Since then the industry has rapidly declined, affected by a world depression in coffee prices with prices falling up to 60%. As a result, production slumped by 23% in 2000 and remained stagnant in 2001. A contemporary problem facing the industry is poor infrastructure and frequent hi-jacking by bandits which is severe in Papua New Guinea, with some of the larger coffee producers losing some 50% of their total produce through theft annually.
This is an issue of law and order that is creating loss of revenue to the producers through unchecked theft, which is attributed to the inadequate opportunities for the youth of the country to get suitable avenues for education and, more importantly, getting jobs after schooling. Increased annual production by other competing countries in the world market is also affecting the contemporary industry in Papua New Guinea. In 2009, coffee was reported to be responsible for 18.5% of the country's agricultural exports and just 4.7% of total export revenue, a dramatic fall since the 1990s.In recent years, coordination between the private and public sectors have increased as has a movement towards a greater sustainability with improved soil nutrition management and retention and education of farmers in prolonging the agricultural productivity of their land. ‘PNG’ the marketing label given to the popular brand of New Guinea Coffee is produced in the eastern half of the island state.
There are two varieties, though, of this coffee, the one produced by large estates by the wet process and the other produced by small farmers in their backyards, also by the wet process. The large estate coffees are also of many brands namely the Sigri and Arona, apart from Papua New Guinea, which are all high-grown coffee (wet-processed coffee) with fragrance and “low-key luxuriousness” akin to the type grown in Maritime Southeast Asia. However, the coffee grown by the small farmers, which is organically grown, on occasions, do not match with the quality of the estate grown coffee; one of the well established varieties of this type of coffee is the “Village Premium Morobe” produced in the Morobe Province of east-central part of the country.