Financing operations for coffee commercialization on the Covid-19 Pandemic period: analysis on brazilian coffee producers

Abstract

Currently, the coffee consumption has grown exponentially around the world. According to the Brazilian Coffee Industry Association – ABIC’s report (2020), coffee is an agricultural product of great importance for the Brazilian’s and also to the local industry.According to the United States Department of Agriculture –USDA (2020), Brazil is leader in coffee production, including diverse and variant coffees.The consumption figures showed that, despite the economic crisis generated by the pandemic period, which affected several sectors in 2020, the demand for coffee continued its growth rate. The demand was 1.34% higher than the same period analyzed in the previous year. While rising demand offers unprecedented opportunities to growers, they also have to live up to a growing set of challenges. Many are confronted with inadequate access to credit and high price volatility. This quantitative study used a structured questionnaire and the SPSS software to process the data obtained from coffee producers. It is noticed that after a year of pandemic, the search for coffee has grown. However, the lack of better management in the marketing process can bring some obstacles for entrepreneurs in this sector. A better understanding of financing and commercial processes can contribute to the strengthening of business for coffee producers.