Making a Difference…
Each July issue of Coffee Talk is dedicated to highlighting organizations working within our industry to ensure coffee’s future. Some might think dedicating an entire magazine to promoting non and not for profit efforts is a questionable business decision, but for the staff of CT we believe it is one way we can make a difference.
As you read this month’s magazine and learn about the featured organizations and their contributions to coffee security for our future please consider getting involved. Be it donating time, money, goods or simply spreading the word that will make a difference for these organizations.
Each featured organization has a unique focus to contributing solutions to the complexity of coffee security. Projects are clearly defined as to scope, impact and needed support. You can help change the lives of the many hands that impact the production of our coffee by getting involved. You will make a difference!
Speaking of getting involved…
This year the specialty coffee industry is facing other potential changes. This month SCAA membership is being asked to vote to merge with SCAE, the Specialty Coffee Association of Europe.
SCAA is asking you, the members of the organization, to vote on crafting a new organization. The campaigning process has been at times ruthless. Why? One of our country’s core values is Freedom of Speech not freedom to bully. Personal affronts must stop. Both sides of the fence deserve an opportunity to respectfully present their ideas. This vote significantly impacts our future organization structure and scope.
I have received calls from people asking me if there is a generational fight going on within the SCAA. The answer is, I don’t know. I do know that a small group of people including our Past President has written for and against Unification.
What are the facts that we know for sure?
The voting will take place between July 5 and August 5, 2016
Traditionally, voter turn out for SCAA elections is very low
You need to be an informed voter
You need to VOTE
To move the discussion out of the personal arena and into one central location of information sharing CoffeeTalk has created this page as an unbiased forum for members to respectfully challenge each other’s ideas and explore the future of SCAA.
Comments are welcome from both sides. Click here to add a comment of your own.
Gary Saunders | July 18, 2016 | Against Unification
Good Day I would like to ask for a moment of your time to look at a slightly different perspective of how we have arrived at this point in our world of specialty coffee and the SCAA. I believe that what we are faced with isn’t necessarily just a merging With the SCAE it’s also the “elimination” of the one association that got us to the global position we now enjoy with the SCAA An independent USA/North American global association that has and should represent the largest group of small coffee businesses and consumer portion of the specialty market. It isn’t about fear as some would have you believe but without The SCAA our small (especially) and even our large (to some extent) group of roasters, retailers, and related businesses will no longer have individual representation or a voice in the world of coffee we will be absorbed and homogenized into the global marketplace. Having said that, it’s not to say that there is not a place for creating an association or an entity that can do what is being suggested for the progressive advancement of coffee’s Sustainability, Education and Training in the world order, I feel that it is essential, but at what cost to the individual coffee venture in North America. The proponents of “the merging” are correct in many of their proposals but I believe that we arrived here not “for” but “because of” the independent influence we built and utilized over what was big organization’s and big businesses that had previously for decades homogenized coffee into just a world commodity, whereas the SCAA breathed life into coffee thru small businesses and passionate people and begin the change to progress into a world that now appreciates coffee’s quality and how we grow, get, consume, and treat all involved in our industry from the Farmer, Exporter, and Importer to the Roaster, Barista, and Consumer. For over 30 years the SCAA has as an independent association led the way, and has been looked up too, to lead, but also has represented its members with the purpose and values it was founded on and has now become the example for specialty associations around the world as we now see with the desire of the SCAE and others to merge but… I think a form of the old adage applies “if it isn’t broken why break it” This positive growth is NOT a reason to dissolve the SCAA and its independence… it’s a time to EMBRACE it! As we have seen, with many of our coffee businesses being acquired and disappearing or being absorbed (some… the founders of our trade as we know it) growth through acquisition is not always good for the individual independent that is left to compete in our coffee world, more influence less representation is always the battle. It has been said by the current board that this is your organization…I agree! we are the Specialty Coffee Association Of America, Please vote NO to merging into a world conglomerate, and vote to continue to be an association that represents its roots, its members, our uniqueness, our geographic diversity, our small businesses, and just as importantly the world of coffee we already have and are building together with other organization’s doing the same for their individual members around the world. Thank you for your time Grady Saunders Past president/current proponent of the SCAA
Marty Curtis | July 17, 2016 | Against Unification
Dear SCAA Colleagues,
I write urging you to vote NO to “Unification” to protect our beloved SCAA from being destroyed.
Now is not the time to merge with SCAE because the unexpected Brexit vote outcome just threw the whole world into a new and unknown political and economic order.
SCAA members, we do not have to put the future of our organization at risk in a European merger today.
Now is the time for the Board to shore up SCAA finances and ensure SCAA remains a strong, secure American organization as we have been, because the Brexit fallout is not yet understood even by the most knowledgeable business people in the world.
It has become clear that a merger with SCAE will end the SCAA and a new organization will arise.
What is not clear is how much it will really cost, and what the benefits will be to SCAA members.
What to do with duplicate association staff positions, Board seats, increased travel costs and support services? Who will pay for it?
There are times in life when caution is appropriate and I believe this is one of those times.
If we vote NO to the merger then we have the opportunity to study it further – why the big rush to vote now?
There are far too many financial and business unknowns like:
I strongly believe that we as SCAA members must not put the strength of our hard-built American trade association at risk today.
We need more time to assess the economic and political fallout of the Brexit vote upon our European sister trade association SCAE.
Let’s continue to do great work in coffee with SCAE without taking on added financial risk at this time.
The first duty of the Board is to protect the SCAA financially, so that the Association mission can be fulfilled.
Today I believe that means we should not take on either the assets or liabilities of another organization that could be so deeply affected by the changes coming to the European Union.
I love our Specialty Coffee Association of America and I am proud of it.
The SCAA already spent more than $250,000 of member money on opinion polls, marketing strategy and financial projection guesses for “Unification”. That is enough money spent already.
All financial analyses have become useless after the Brexit vote and the turmoil in all global currencies.
We even have an Executive Council members saying the British Pound (GBP) has no effect on this merger but yet the audit financials are all in British Pounds (GBP) WOW?
Fellow SCAA members, at this time I respectfully hope you vote NO to “Unification” to protect our beloved SCAA.
Marty G. Curtis
PAST SCAA Board Member 2008–2012
Gary Talboy | July 16, 2016 | Against Unification
Why I am opposed to a merger between SCAA and SCAE
As you may know I am one of the original small group of founders and served as President in the early years. My opinion of the proposed merger with SCAE is that. while it may well serve the purpose of small minority of SCAA members, it would be a mistake of epic proportion in terms of the benefit for the rank and file members of SCAA. Our organization was originally intended specifically to educate and promote the best interests of America’s Specialty Coffee Merchants and Specialty Coffee Consumers. We were sensitive about blatant mislabeling and other misinformation and disinformation to which our merchants and consumers were exposed. Our tendency was to create an organization that would “police” the integrity of major players, but this gave way to the wisdom that education of merchants and consumers would bring about the eventual collapse of those companies with unscrupulous agendas.
I organized the very first, and I will say “tiny”, SCAA trade show in a New Orleans hotel meeting room. It was my personal dream and I believe the hope of all the founders and early members that this show would kindle a fire that would spread throughout the industry to build a vibrant American Specialty Coffee Industry with growing market share. In my opinion our success as an Association in this regard has been magnificent and our service to the Specialty Coffee Industry of America has proved to be beyond global historical compare. Is our current Board not satisfied with this? I believe it is not an error to be satisfied, but seeking more power and influence by becoming a part of a new “World Specialty Coffee Association” would be a grave and irreversible error. Those things that cannot be accomplished through cooperation and outside of a “merger” with SCAE or any other Foreign Coffee Association should be prohibited as being beyond our scope. Those members whose trade would be improved through this merger can be successful and grow their businesses in other parts of the world without having to take the SCAA with them.
Serving the American Specialty Coffee Industry is our original chartered purpose, and should remain the boundary we respect and embrace. A world Specialty Coffee organization that gains major power will in time inevitably be controlled by the most powerful elements in the World Coffee Industry who intend to steer it in the direction that will serve their purposes. If we believe otherwise we must embrace fantasy and ignore historical precedents.
America is rich with unique and distinctive regional coffee cultures which mirror the ethnocentric nature of each region and each community. The SCAA has unlimited opportunity to tailor our initiatives to serve those cultures and encourage their unique development. This will not happen if SCAA becomes a diluted part of a the “New World Order” of coffee
The American Coffee Culture is not a twin sister to the European Coffee Culture, nor should it ever become such. Both are magnificent, each with its own special features, strengths, and weaknesses. Forced “blending” of these cultures through compromised priorities by a central administration that pretends to serve both equally and uniquely is a fool’s errand. When the dust settles one side of any equation is more “equal” than the other. The larger the budget and more powerful the organization, the more ferocious the battles to gain priority. Over time one grows more “equal” than the other.
The consolidation of power and wealth in this world is a primary contributor to decline in the welfare of citizens worldwide, but is continues because it is a bonanza for the wealthy and powerful. The aspiration of SCAA should never be to join this Mandela through a forced marriage between two equally magnificent yet uniquely different coffee cultures. We can cooperate with other Coffee Associations or groups of Associations for mutual benefit, but we need not become one with them thereby relinquishing our unique identity and ability to prioritize the welfare of the American Specialty Coffee Industry.
Of course there is always the danger that we might be left out when others decide to build a “World Specialty Coffee Association” without us. Then we would be stuck with our integrity and identity and culture intact, exclusively serving the Specialty Coffee Industry of the largest consuming country in the world.
With this purpose alone, we should be both challenged and satisfied.
Sincerely,
Gary Talboy
Founder and Past President of SCAA
Drewry Pearson, SCAE Past President | July 13, 2016 | For Unification
A Perspective From Drewry Pearson, SCAE Past President July 13, 2016 I have not wished to engage in discussions involving the vote of SCAA members regarding Unification with the SCAE. Despite the fact that our company, Marco Beverage Systems Ltd, has been a member of the SCAA for a number of years, I do not wish to stand accused of being an outsider interfering where not wanted. However, I believe that I need to address one important point that is being argued against Unification, which is the point that BREXIT endangers the Unification and thus the future of the SCAA. This I believe does not match up to the facts and further is being used as a means to instill fear in the opportunity as well as divert attention away from the very real advantages and ultimately necessity to speak as one consistent and coherent voice in support of Specialty Coffee worldwide. These are the facts regarding the SCAE exposure to Brexit. 1. The SCAE is a UK registered company limited by guarantee. As a result the SCAE reports its accounts in £ Sterling. This does not mean that its receipts, payments or bank accounts are only in £Sterling. While it may be a misunderstanding, it is mischievous to infer that because the accounts are reported in £sterling that all the transactions are in £sterling. 2. The income and expenditure of the SCAE is widely spread both in its source (primarily education, events and membership) and in its geography, of over twenty five countries. 3. Receipts in the past six months have been 85% in €euros and 15% in £Sterling. Payments have been 65% in €euros and 35% in £Sterling, indicating a future net benefit from the effect of BREXIT. 4. Opening up this spread we find further that while 85% of the receipts are in €euros that the source from which these euros are derived is wider still….as follows Source of Income Europe Rest of World Membership 68% 32% Trainers 40% 60% Education 36% 64% Events. 75% 25% 5. The SCAE has three working bank accounts which today held the following disposition of its cash; a. Euro Account 79% b. Sterling Current Account 3% c. Sterling Saver Account 18% 6. In addition to this, the SCAE continues to experience healthy growth. The growth is primarily based on membership fees, education income and events which generate positive cash flow and thus creates cash as part of this growth. • Increase in income 2014 (£2,491k) to 2015 (£2,882) was 12% • Budgeted income 2016 is £3,508k, up 22% on income in 2015. Results to date are in line with budget. • Membership revenue increased by 19% in 2015 and is in line with a budgeted increase of 28% for 2016. 7. Ironically much of this information was presented for any member who wished to attend and ask questions at the SCAE AGM, held on the day of the BREXIT result. As usual few questions were asked and none that I remember related to BREXIT. For these reasons I believe it is clear that the SCAE finances are healthy and robust. They are also well diversified to deal with negative impacts, including BREXIT. Best regards, Drewry Pearson, SCAE Past President
SCAA Unfication Page | July 07, 2016 | For Unification
Multile Perspectives FOR Unification on scaaunification.org
10 Past Presidents of the SCAA | June 30, 2016 | Against Unification
This is Donald Schoenholt, co-founder of SCAA, and founder of Roasters Guild. By now you know that there is an SCAA and Specialty Coffee Association of Europe (SCAE) consolidation vote scheduled for this coming week. I am writing to you for a group of 10 SCAA Past Presidents. We’d like to talk to you about our coffee association and its future as we believe you don’t understand that you are being asked to destroy SCAA. We think you should vote “NO” to that.
PERSPECTIVE
The trade stands on the shoulders of folks that pioneered specialty coffee, and the birth of SCAA. Right now is the most critical time for the members since the founding of the association. If you choose poorly you will lose your trade association.
The subject is complex. We can’t cover all the aspects of it in this conversation. We have offer you 10 of the most important points to think about.
THE FOCUS SHOULD BE ON YOU
You and your trade association have ignited the specialty coffee association throughout the world. We think the focus of the association should always be on you, the SCAA members.
The Board wants to be of world importance. That’s nice, but what’s in it for you? Nothing much; except probably dues and fee increases after the 1st year. The top Staff will rejoice. They may all get raises.
NOTHING IS SPECIAL IF EVERYTHING IS THE SAME
Those favoring merger talk a lot about unifying standards and teaching practices but, universal norms only flatten the specialty coffee world destroying the wonderful diversity of exceptional farming, processing, roasting, brewing practices and cultures throughout the world. To put it in another way, we are diminished when Sumatras are judged by Costa Rica cupping criteria. The benefit of globalization should be in sharing knowledge, and discoveries, not in imposing international norms.
In a world where all are equal, only the mighty thrive. It’s the diverse nature of specialty coffee on all levels, and only that that guarantees the success of the little fellow. Diversity is our friend. Big businesses labor when they are faced with a diversity of products to develop, produce, manufacture, distribute and market. A cataloged, categorized, quantified specialty coffee world plays into the hands of big institutions alone.
SCAA – AS AMERICAN AS APPLE PIE
SCAA is not an institution as others we know. It is an extension of us, our hopes and dreams for our families, our businesses, and the future of coffee. If that seems overly sentimental to some, it isn’t to you and to us. It’s very personal. What we want for you is an association whose 1st priority is the support and service of you, the members.
Around the world specialty coffee people look to SCAA as the world leader in specialty coffee education, networking, and promotion. As good neighbors you and I share our knowledge with them through our trade group. At the same time we celebrate the unique cultural perspective that makes us American in character as well as in name. You will lose out when the focus leaves North America, unless there are safeguards to protect you built into the deal. They aren’t there now.
BREXIT AFFECTS SCAA AND YOU
The UK decision to exit the European Economic Community (BREXIT) changes the viability of consolidation with SCAE. The Board has ordered updated financials, as if getting an update will give them powers to see the extremely uncertain world financial future. They might as well use tea leaves.
The Board believes Brexit is no big deal. We believe this opinion is unique in the world. Turn on the TV. The European model of a new world economic order is failing. Now is not the time to throw in with that sinking ship.
You should keep your SCAA, and offer the Europeans a good deal to join your trade association, The Specialty Coffee Association of America, led by America, and benefiting your members at home and abroad, as you have for years past.
SCAXIT – SCAA WILL BE LOST
Vote for Consolidation as presented and SCAA will cease to exist. There will be no more SCAA. It will be replaced by something else; something foreign. There will essentially be a new trade group. It will not be American in character, temperament, or name.
THE BOARD BOBBLED THE BALL
The SCAA Board is not sinister. The Board is just wrong. We don’t know if unification is a good idea or a bad idea. We know the Board did this badly. They started by talking about the idea secretly, and then doubled-down by going about it foolishly. There was a nod toward transparency, but no actual openness. The provided information has left out just what the deal is and how it will work, and what happens if it doesn’t work. Here’s a case in point; there is no written Exit Plan for SCAA, if a year or three in, the merger is a failure. If we want out what will the dollar cost have been all-in from inception to withdrawal?
It’s all just one big marketing plan; a grand house blend of jargon, graphics, money, and little substance. They have done it all with mirrors. They may not have intended it but The Board has come off as all-knowing, inflexible, intolerant and conceited all at once. The result is that we must all question what we are being told.
This business of voting on July 5th is dumb. Your leaders are taking you down this path too fast without giving you the chance to digest information that was presented too late to be properly vetted. Being in the dark makes me nervous. How does it make you feel?
You don’t even know how much of your money has been spent on consultants, financial advisors, travel and other expenses in the last years to bring this merger about. We can only guess, and wince.
IF IT’S A GOOD DEAL NOW IT WILL BE A GOOD DEAL LATER
We think that if unification is a good deal now it will be just as good in a year from now. We believe the opportunity to lose the deal to another is limited, and the need to give this idea more study, and get it right is compelling.
We want your businesses to thrive, and your trade group to move confidently into the future. You can’t get there using unwarranted and dangerous haste. Things are moving very fast now, and we believe that you need to take a breath. Recall the fundamental goals of the association that we built together, and move, after a season of knowledge gathering and reasoned open discussion, with steadiness and caution into a new place, if that is what you decide, and not just hold your nose, and jump into an unknown ocean.
THE BOARD HOPES YOU’LL PASS
The Board points to past voter turnout and says you don’t care about your future. They think that gives them the right to do whatever they want. We believe that most of the time you are just too busy making a living to give thought to their decisions. Well, this time is different. The consequences are too big for you to leave the decision to them.
The Board is counting on your apathy. They will win a low turnout vote. A big vote will swamp the Board organized few who will vote for unification.
SCAA DESTINY IS IN YOUR HANDS
You don’t often get the chance to save the world. Here’s your chance. Each of you holds the destiny of your trade group in your personal hands. So vote. Vote your conscience, and we will be satisfied. We believe in you, as we always have, and we will celebrate your decision, whatever it is.
We wish each of you the best of good luck, and good coffee.
Sincerely,
Donald Schoenholt
Founding Father SCAA & Roasters Guild
SCAA Lifetime Achievement Laureate
And in Alphabetic Order:
Dan Cox
SCAA President 1984, 1985, 1986
SCAA Lifetime Achievement Laureate
David Dallis
SCAA President 1994–1995
Leonor Gavina-Valls
SCAA President 1985
SCAA Lifetime Achievement Laureate
Paul Katzeff
SCAA President 1984, 2000–2001
SCAA Lifetime Achievement Laureate
Becky McKinnon
SCAA President 1998–1999
Danny O’Neill
SCAA President 2001–2002
Grady Saunders
SCAA President 1993–1994
Linda Smithers
SCAA President 1997–1998
Gary Talboy
SCAA President 1987–1988
Further Reading:
Cui Bono?, Coffeeman’sDiary coffeegillies.wordpress.com/
Globalization Blues Part 2. T&CTJ 04.16, P38 www.e-digitaleditions.com/i/673312-tc-april-2016?utm_source=rss&utm_medium=rss
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In Conclusion…
Making a Difference requires personal involvement. Contributing to one of the projects featured in this issue, voting in this and our national election in November, holding a child’s hand, emailing a friend for a note of support, these are not only activities they make a difference. Like the little boy by the ocean watching the old man tossing starfish back into the sea…with each toss of a starfish back into the sea a difference was made.
Get involved…your actions will make a difference!