26th October 2006 - Linda McAvan MEP joins condemnation of Starbucks' plan to "cost Ethiopia £47million"

Labour Euro-MP Linda McAvan joined critics of the coffee giant Starbucks' apparent attempts to prevent Ethiopian farmers from gaining trademarks that would boost the earnings of farmers from the sale of coffee beans in the United States.

Ms McAvan, who sits on the European Parliament's International Development Committee, raised her concerns following a report from the charity Oxfam, which suggests that the moves will cost coffee growers in the African country some £47 million a year.

The bid for trademarks for speciality coffees by Ethiopian farmers had been undertaken in part with grant funding from the British government.

In a letter to Starbucks CEO, Jim Donald, Ms McAvan acknowledges the work that Starbucks have done with Oxfam in the past to bring the benefits of trading coffee to farmers in developing countries, but goes on to say in relation to Ethiopia;
"I hope that you do not seek to place the narrow economic interests of your company, with its undoubted financial muscle, ahead of the broader needs of many of the world's poorest people."

Linda McAvan, said;
"Allowing farmers to trade on fair terms is essential to beating poverty in the developing world. Countries do not get much poorer than Ethiopia - half of the people there live below the poverty line. Last year Starbucks made almost £2 billion in profits. Whilst global trade and foreign investment can be part of the solution to poverty in Africa, we cannot allow foreign firms to perpetuate the suffering of millions of people in this way."

To read Oxfam's statement, visit http://www.oxfam.org.uk/press/releases/starbucks261006.htm.