Saturday deal opens China’s door to unroasted coffee

CHINA and Papua New Guinea signed an agreement on Saturday in Port Moresby allowing for unroasted coffee beans from PNG to be exported to that country’s markets.
The protocol for China phytosanitary requirements on export of coffee from PNG was done during the official visit of China’s foreign affairs minister Wang Yi to Port Moresby over the weekend.
Coffee Minister William Bando, who signed the agreement for PNG, said it was a momentous occasion for the coffee industry and agriculture sector.
“It marks a historic moment in the relationship between Papua New Guinea and the People’s Republic of China, to sign the phytosanitary protocols to open the Chinese market to our unroasted coffee beans,” he said.
The milestone reflected the years of negotiation undertaken by Prime Minister James Marape and Foreign Affairs Minister Justin Tkatchencko to garner understanding between the two nations.
Bando said it was important as coffee had been traded mostly to western societies and Asia has so far been a transhipment ports, but now, PNG coffee would be brought directly to the Chinese markets.
“PNG produces less than one million green bean bags, but our coffee reaches more than 34 countries worldwide, a global acknowledgment of our coffee’s distinctiveness,” Bando said.
“Our presence in such a wide array of markets is indicative of the unique position PNG coffee holds in the hearts and cups of enthusiasts globally.
“As we embark on this new journey with China, it is imperative to reflect on the essence of this partnership.
“My ministry will work to enhance the entire coffee value chain, from farm to cup, by investing in infrastructure, technology and capacity-building initiatives that improve productivity, quality and market access for farmers,” he said.
Over the past three years, from 2021 to 2023, PNG had witnessed a dynamic evolution in its coffee export sector, particularly to China.
This journey started modestly, but with concerted efforts and an unwavering commitment to quality, PNG has seen its exports grow both in volume and value.
PNG had exported 50,651 bags (3,039 tonnes) of coffee to China amounting to a cumulative value of K42 million.
Bando said this achievement was a testament to the hard work of the local farmers and exporters, where 58 per cent out of the 32 registered exporters had ventured into the Chinese market, diversifying and expanding their horizons.
The signing opened up market for PNG products but it was a challenge to PNG coffee industry to produce more as direct exports would obviously mean more direct sourcing of PNG coffee.
Meanwhile, China’s foreign affairs minister Weng Yi said before the signing that with the direct flight of Air Niugini service to Guangzhou province of China, it would boost export efficiency between PNG and that country.
Bando also concurred with Yi that PNG could expand its roast and ground coffee trade with the direct flights between PNG and China through Air Nuigini’s three flights weekly.
“We need to put more roast beans and ground coffee on these flights to China apart from the unroasted or green bean exports on ships.
“Our coffee production is struggling to go over the million green bean bags, despite coffee now being grown in 19 of the 22 provinces, creation of specialised agencies such as NAQIA, NARI and the Coffee Research Institute and the decentralisation of extension and training services,” Bando said.
He said the ministry would start with pilot projects in Eastern Highlands, Jiwaka and Western Highlands.
Bando said free grants and handouts would cease with more focus on investment, monitoring and evaluation, and providing management support.
He urged all Coffee Industry Corporation board members and staff, including agriculture officers throughout PNG, to get moving on the ground to motivate and encourage local producers of this huge income-earning opportunities and in moving the industry forward.