Economics With A Face

The park with the suspension bridges was very interesting but it made me glad we have already seen so many interesting animals along the way. The pressure is off for us, so to speak. Costa Rica, even in the rain, has been crowded with tourists all trying to catch a glimpse of something special. It is no wonder that the wildlife keeps away. We walked along and could just enjoy the forest for what it was without stressing out about what we could be seeing if only we were lucky. [Note from Em: Darn those elusive sloths and quetzals] During the walk we stopped and talked to a couple from Spain and shared some traveling stories. The bridges during the walk really gave you a great view of the beautiful lush, mossy forest. Hopefully the pictures do it justice.

After the park we headed back to town and grabbed a bite to eat in a restaurant known for its comida tipica. Covering the walls of the restaurant were sheets of paper that tourists had decorated with messages or drawings about Costa Rica. One caught our eye in particular: a depiction of the artist’s feelings about CAFTA, the Central American Free Trade Agreement that is almost ratified. The artist needed an economics lesson as he claimed that Costa Rica wouldn’t be able to export anything to the U.S. [hint: the balance of payments must equal zero]. I’ll be putting together an essay on the subject at a later date.

Next, we headed to the coffee plantation. It is completely different doing things in Costa Rica as a tourist. Even though many of the roads are unpaved, you just can tell you are traveling a well worn path. Tourists are everywhere and this is the low-season.

Our guide’s name was Miguel and despite the fact that it was raining, he gave us a great tour of the plantation. Miguel had just recently started doing this tour for the company, but as a kid he would spend summers picking coffee with his family so he already knew a good deal about the industry. We first visited a small farm that was only about 2.5 acres, but part of a cooperative made up of many small coffee growers, and this cooperative helped the farmers become Fair-Trade certified. We learned about the coffee plants, when the beans ripen, prices and quality of the harvest, and much more.

To be Fair Trade certified, the coffee-plants had to be interspersed with trees (shade-grown), the idea being that some of the integrity of a forest habitat would be maintained. Another requirement is that the plants are to be farmed organically (without chemical fertilizers, but it was unclear whether pesticides could be used). Especially interesting was that according to Miguel, “shade-grown” coffee beans have no higher quality than regularly-grown coffee beans. The premium paid for “shade-grown” coffee is all about maintaining habitat for wildlife. We were surprised to learn that there was no real requirement that the trees providing the shade be primary growth or even native growth. Banana or other fruit trees were sufficient. There has been evidence that these fruit trees do draw sloths, primates and birds, however it would be stretching it to claim that the integrity of the original habitat is maintained. Better than nothing, I suppose. Also, the cooperative has to pay annually for its Fair trade and Organic certification. And while the Fair Trade label meant that the farmers were in fact paid more for their product, the cooperative itself requires that the beans be picked red instead of green (more difficult to pick but of better quality) to justify the higher price.

It was made clear that coffee farming was not the profitable business it had once was. In the 90’s the coffee bean was often referred to as “el grano de oro” (i.e. golden bean), but no longer. The entry of Vietnam into the market has greatly suppressed prices and the farmer whose land we toured was only able to survive off of the coffee he grew as he also was paid a percentage of the cost of the tours. Without this extra money, he would have to get another job to supplement his income.

Another interesting point was that migrant workers flood into Costa Rica from Nicaragua and Honduras during the harvest to pick the coffee beans. Em asked if wages were increased as a requirement for Fair Trade certification, but we were told that the members of the cooperative are small farmers that can pick their own coffee without hiring labor. Usually, family members of these small growers provide sufficient labor to pick the coffee during harvest. It is the larger, non-shade grown, non-organic, non-Fair-Trade certified, massive coffee plantations that do most of the hiring.

Down at the cooperative we were able to see the whole process from where the beans are inspected after they are picked until they are roasted (but beans that are exported to the U.S. are actually roasted in Montana from this cooperative, not in Costa Rica.) On our way back to Santa Elena, our driver picked up the owner of the farm which we had just toured to give him a ridedrive to his place we were lucky enough to get a good view of two toucans that were perched on a tree right by the side of the road. Go figure. We spent all morning in the park looking for animals and we end up seeing these awesome birds right by the road at the coffee plantation.

Back at the restaurant where the coop sells and brews their coffee we actually met a friend of a friend from Healdsburg. Lorraine was her name, living in Costa Rica and working for the cooperative in the café. Yet another example of this small crazy world.

Back at the hotel we picked up our dry clothes (finally!) and grabbed some dinner. Tomorrow we will tour the Monteverde Cloud Forest which is what this area of Costa Rica is most famous for.