SEATTLE
03 May, 2007
Starbucks Coffee Co. said Thursday it will sign a licensing, distribution and marketing agreement with the Ethiopian government this month in hopes of settling a dispute over the trademarking the names of three coffees produced in the country.
"Ethiopia is firmly committed to work in partnership with all international specialty coffee companies and distributors of its fine coffees, including Harar, Sidamo and Yirgacheffe," said Getachew Mengistie, EIPO Director General.
"We realise our approach to trademarking and licensing these coffee brands that originate in and represent the best of Ethiopia's coffee heritage is a new approach that not only meets the needs of small Ethiopian fine coffee farmers and traders but also the coffee roasting and distributing companies and their customers," Mengistie added.
In February, Starbucks said it would double purchases of fine coffee from East African countries by 2009 and invest in several aid measures for farmers. The world's largest specialty coffee retailer has said about 6 percent of the 294 million pounds of coffee it purchased in the last fiscal year came from East Africa.
Ethiopia wants to secure rights to the three coffee names through the U.S. Patent and Trademark Office. The country so far has trademarked the name Yirgacheffe, but a final decision hasn't been made on the others.
Starbucks, which says it pays above-average prices for its beans, opposes Ethiopia's trademark efforts. Instead, the company has said it wants to help officials establish a geographic certification for the coffee bean names, as is done with Washington apples or Kona coffee.
Oxfam International has criticized Starbucks in the trade dispute, saying the company is keeping Ethiopia from reaping nearly $100 million more per year.
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