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Over 90% of the country’s income comes from oil and gas, but this revenue stream is running out
Timor-Leste is not only one of the world’s youngest countries, it was also the most oil-reliant nation on the planet. That was however, until the oil reserves which surround Timor-Leste dried up. Coffee may well be one of the country’s largest exports, but it produces far less than it needs to if it is going to replace oil revenue. It is a race against time for coffee to become Timor-Leste's most profitable commodity.
Poverty is widespread
Following 25 years of conflict that claimed 200,000 lives and destroyed all infrastructure, Timor-Leste became the first new independent state of the 21st century. Today in Timor-Leste, poverty remains widespread; almost half of the children under 5 years old suffer from chronic malnutrition, a statistic that hasn’t improved in 20 years
Improving the coffee sector is of critical importance
Coffee is the second-highest earner for the country after oil, with over a third of households depending on coffee for a portion of their income. Productivity is currently unreliable and extremely low, standing at a fifth of the average seen in Colombia. The profitability of Timorese coffee is both low and volatile for all individuals along the supply chain; from pickers to exporters.
Low Production Levels
Coffee production is low due to many factors. One of the key elements is that Timorese coffee trees are old, which reduces the amount of fruit they produce. The other main issue is that the coffees sell for low prices, which fluctuate all the time.
Right now, coffee is not a crop that people can rely on. This is a damning prospect, as more than one third of Timorese people depend on coffee for income. And in Ermera where we focus most of our current efforts, one quarter of people said that 90% of their income came from coffee.
Timor-Leste is not only one of the world’s youngest countries, it was also the most oil-reliant nation on the planet. That was however, until the oil reserves which surround Timor-Leste dried up. Coffee may well be one of the country’s largest exports, but it produces far less than it needs to if it is going to replace oil revenue. It is a race against time for coffee to become Timor-Leste's most profitable commodity.
Poverty is widespread
Following 25 years of conflict that claimed 200,000 lives and destroyed all infrastructure, Timor-Leste became the first new independent state of the 21st century. Today in Timor-Leste, poverty remains widespread; almost half of the children under 5 years old suffer from chronic malnutrition, a statistic that hasn’t improved in 20 years
Improving the coffee sector is of critical importance
Coffee is the second-highest earner for the country after oil, with over a third of households depending on coffee for a portion of their income. Productivity is currently unreliable and extremely low, standing at a fifth of the average seen in Colombia. The profitability of Timorese coffee is both low and volatile for all individuals along the supply chain; from pickers to exporters.
Low Production Levels
Coffee production is low due to many factors. One of the key elements is that Timorese coffee trees are old, which reduces the amount of fruit they produce. The other main issue is that the coffees sell for low prices, which fluctuate all the time.
Right now, coffee is not a crop that people can rely on. This is a damning prospect, as more than one third of Timorese people depend on coffee for income. And in Ermera where we focus most of our current efforts, one quarter of people said that 90% of their income came from coffee.