Nicaragua plans to create country brand focused on specialty coffees
By Guy José Bendaña-Guerrero & Asociados
The Ministry of Finance and Public Credit of Nicaragua announced that agreements have been reached to prepare a plan to create a country brand focused on specialty coffees, the highest grade of coffee available, related to the entire supply chain, using single origin or single estate coffee.“A technical team is going to make a proposal to maximize the Nicaraguan position in the export of high-quality coffee, and all efforts will be made by public institutions and producers to enforce an industry with exports that surpass USD 400 million per year,” the Ministry stated in a press release.
Coffee is produced mainly in the North Central Region of Nicaragua with a range of altitudes from 365 to 1,500 meters above sea level. According to the most recent agricultural census, 87 percent of the coffee plantations are located in the North Central Region of the country, in the cities of Jinotega, Matagalpa and Nueva Segovia. Thirteen percent of the plantations are located in other municipalities. There are approximately 140,000 hectares planted with coffee.
Nicaragua has two main laws that regulate coffee production: Ley del Café (Law 368) or the Coffee Law, which was published in December 2000 and provides a number of tax exonerations for coffee growers; and the law of the transformation and development of the coffee sector (Law 853), which was passed in 2013 and aims to renovate and transform the Nicaraguan coffee sector through the creation of a fund to renovate old coffee plantations.
