NKG BLOOM
Coffee Sourcing with a Purpose
Among the world’s 12.5 million coffee farms, more than
These smallholders produce close to
Yet more than
Among the world’s 12.5 million
coffee farms, more than
These smallholders produce
close to
Yet more than
Source: Enveritas (www.enveritas.org). Definition of smallholders is based on country context, poverty refers to international poverty line of 3,20 USD per day (2011 PPP).
* Poverty is “a human condition characterized by sustained or chronic deprivation of the resources, capabilities, choices, security and power necessary for the enjoyment of
an adequate standard of living and other civil, cultural, economic, political and social rights.”
Low profitability, climate-change challenges and the pull of cities make coffee farming
an unattractive business option for current and next-generation coffee farmers.
“The future of coffee
is our business.”
is our business.”
David M. Neumann, Group CEO, Neumann Gruppe GmbH
What is NKG BLOOM?
NKG BLOOM is an initiative of the Neumann Kaffee Gruppe (NKG) to ensure the long-term viability of green coffee supplies by providing smallholder farmers with the opportunities and resources they need to run their farms at full potential and enter a pathway out of poverty.
Participating farmers are smallholders (they farm fewer than 30 hectares of coffee) and farmer organizations largely comprised of producers with fewer than 30 hectares. They commit to work in collaboration with our teams to run their farms as businesses and to improve upon prioritized social and environmental practices.
Financing is often the core bottleneck faced by farmers. In a years-long effort, NKG worked with five organizations—USAID, IDH: The Sustainable Trade Initiative, and European banks ABN-AMRO, BNP Paribas and Rabobank—to create an innovative risk-sharing solution that minimizes the risk of lending to some of the world’s poorest farmers. This $25 million revolving-credit facility creates a way for smallholder farmers and farmer groups to quickly and easily borrow needed funds.
NKG BLOOM has 3 key tenets.
Tenet 1
Enabling farmers to realize their full potential.
Permanent Farmer Services Units at NKG export companies provide farmers with access to financing, inputs and any know-how they need to run their farms at their full potential and maximize their net incomes.
Tenet 2
Supporting inclusive sustainability.
Teams engage farmers who are struggling to meet sustainability standards — even with the prickliest topics — so that every earnest effort and improvement is encouraged.
Tenet 3
Striving for transparency and traceability.
Mobile software will link each NKG BLOOM coffee to the work being done on the ground in support of it, the farm or farm group that produced it, and the green buyer who purchases it — and enable verifiable monitoring and evaluation.
NKG BLOOM Countries
Through dedicated teams within NKG export companies, NKG BLOOM identifies and addresses barriers to farmer success and offers individuals and farmer groups bespoke combinations of services centered around financing.
Already changing lives in early markets, NKG BLOOM’s goal is to meaningfully improve the livelihoods of 300,000 coffee-farming families across 10 countries by the year 2030. Find out more about the countries that already launched NKG BLOOM:
NKG BLOOM Uganda
NKG BLOOM Honduras
NKG BLOOM Kenya
NKG BLOOM Mexico
NKG BLOOM in the Media
Feed the Future Partnering for Innovation
09/06/2021 – Article
Less Risk, More Reward: Empowering Smallholder Coffee Farmers to Better Manage Risk
IDH
26/02/2020 – Podcast
Farmer finance as a new asset class
Mastercard Foundation
14/02/2020 – Blog Post
Strengthening agricultural supply chains
through the delivery of financial services
Neumann Kaffee Gruppe
01/10/2019 – Official Press Release
Launch of NKG BLOOM, Signing of
Smallholder Livelihoods Facility
New Foresight
10/2019 – Article
Sustainable market transformation:
NKG BLOOM & sustainable coffee sourcing
Fortune
23/08/2019 – Article
Mastercard CEO: How to Make the Digital
Economy Work for Everyone
USAID AgriLinks
17/01/2019 – Blog Post
Building a More Sustainable and
Resilient Coffee Supply Chain
We are in this —
this extraordinary world
of coffee — together.
Neumann Kaffee Gruppe (NKG) is the world’s leading green coffee service group. Privately owned for more than three decades, it’s comprised of more than 50 companies in 26 countries specializing in green coffee farming, exporting, importing and specialty services.
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