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Proof is in the Numbers:--Take a look at Starbucks tycoon's
income versus one of his impoverished plantation workers:
The corporate tycoon: Howard Schultz
Andrew Gumbel The Independent (UK)
http://news.independent.co.uk/uk/environment/story.jsp?story=72729
17 May 2001
Name: Howard Schultz Nationality: American Age: 47
Dependents: Wife Sheri and two children, Jordan and Addison
Residence: A large house overlooking Lake Washington, in the
exclusive Madison Park district of Seattle
Income: $2.1m (£1.5m) in 2000, not including share holdings and
option schemes
Coffee has been very good to Howard Schultz, the chairman and
chief global strategist of Starbucks. The precocious kid from
Brooklyn is now overlord of a worldwide business empire that has
turned into a true cultural phenomenon: the chain-style coffee
shop where no latte is too grande.
Starbucks has more than 4,000 branches worldwide, with an average
of three more opening every day. About 2,700 outlets are in the
United States and more than 100 in the United Kingdom. There are
even plans to bring Starbucks to Italy. Ever since he talked his
way into the management of Starbucks in 1982 (then a bean-selling
operation in Seattle), turned it into a retail outfit and eventually
bought the whole enterprise, he has been driven by an almost missionary
zeal to bring his version of the Italian coffee experience to
a worldwide audience.
The corporate culture at Starbucks is, like Schultz, easy-going
and concerned with a sense of community. Staff are well paid and
enjoy generous benefit packages. However, there has been criticism
by anti-globalisation protesters of Starbucks' coffee-buying practices
and identikit outlets. Schultz's response has been typical: hurt
indignation and an anxiety to make amends. Starbucks now sells
Fair Trade Certified beans in 2,300 of its outlets (but does not
yet use them in the coffee it brews for its customers). Schultz
has just bought himself a $200m (£140m) controlling stake in the
Seattle SuperSonics basketball team.
The coffee grower: Tatu Museyni
Cahal Milmo 17 May 2001
Name: Tatu Museyni Nationality: Tanzanian Age: 37
Dependents: Six children, aged between 3 and 17
Residence: Mud hut with corrugated iron roof. No running water
or electricity
Income: £30 per year
For Tatu Museyni, the plunge in the price she is paid for her
coffee crop grown in the lush foothills of Mount Kilimanjaro has
had two simple effects: "My children don't go to school and
we starve."
A widow, she relies on the income from her 30 coffee trees in
the village of Kishimundu, north Tanzania. She has little time
for the far-off machinations of the international coffee market
- other than to note with incomprehension and despair that they
have cut the money she receives in half in less than a year.
Impoverished growers in Kishimundu and the surrounding communities
now receive 19p for every pound of Arabica beans they produce
compared to an already meagre 40p paid last year.
The result is that Tatu, who lost her husband three years ago
and struggles to maintain her quarter-acre smallholding, has seen
what she earns from her main cash crop fall from £13 to £6.21.
This is her reward for working 12 hours a day and travelling up
to 14 miles to collect water and provisions. On such an income,
the battle to pay the £14 annual fee needed to send her two daughters
- Angera, 15, and 13-year-old Mary - to the village school becomes
impossible.
She said: "Education is very important. It will help my
children to have a better life. But now it is difficult to pay.
Sometimes my children are chased out of school because I can't
pay."
The mother, whose dead husband's family refuse to give her financial
help because of a land dispute, has abandoned plans to send her
third child, Isaiah, nine, to the school. Instead, she is considering
selling her pig, her "savings" in north Tanzania's agrarian
economy, to buy her two daughters some extra time at school.
For another look at a struggling coffee farmer's life, go
here
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