Coffee on canal stirs poverty reduction

PANAMA CITY — Coffee production is becoming an important option for Panama to reduce poverty through increased exports, leading to improving lifestyles along the Panama Canal.

The Panama Canal Authority, known as ACP, inaugurated the first coffee processing plant along the canal on Monday. ACP administrator, Jorge Quijano, said that the project is being run in conjunction with the private sector and coffee farmers.

It is part of a series of programs being run along the canal, named PIEA, aiming to make it a profitable route for more than just maritime cargo transit.

The processing plant is located in the town of Las Gaitas, in the district of Capira, near Panama City.

The cost of the plant was between $40,000 and $50,000, with the ACP providing technical and business training to allow local producers to become entrepreneurs, eliminate middle men and obtain better prices under the Cuencafe brand.

Quijano mentioned that international interest has already been received to import this “robust” coffee.

“Five years ago, there was not even a peeling machine. We had to send (the beans) to Santiago (in the western province of Veraguas) to be roasted,” said the ACP chief.

Quijano said that now the entire processing of the coffee from toasting to packaging can be done locally.

The initiative is now set to grow in other communities along the canal, which will also help to protect the environment.

“In this way, it is possible to avoid erosion,” said Quijano, adding that such plantations also help to retain water.

This water is then redirected to the artificial Lake Gatun and rivers that are crucial to the operation of the Panama Canal locks.

The ACP is working with local cattle farmers to find the right balance, as well as how to best divide the fields and lots.

The next challenge, according to Quijano, is to maintain the quality of the product.

The initiative is working with the nongovernmental organization Fundacion Natura to bring the latest coffeegrowing techniques to the area, while an internationally recognized expert assesses the value of the product.

Another necessary step is to obtain the right sanitary permits from the Ministry of Health, which will allow the coffee to be sold in supermarkets across Panama.

Local producer Liduvina Rivera said that adding value to the local coffee was a ray of hope for producers, who no longer are forced to sell their crop at a value set by the buyers.

“By treating it well with a good process, we can charge what our coffee is worth. We have a different future,” she said.