OUR distribution MODEL
Where does your €100 go?
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*Illustrative distribution based on our current model. Actual costs can vary by coffee, origin and shipment. Please contact us if you want to know the exact breakdown of your purchased coffee for your transparency reports.
Price Breakdown
We believe transparency starts with showing exactly how the value of your coffee is distributed, from the farmer who produces it to the roaster who brings it to life.
60%
FARMGATE PRICE
The largest share stays at origin.
This goes to the farmer and micro-mill responsible for producing and processing the coffee.
The exact split can vary between producers depending on their setup, as some farmers operate their own processing facilities while others work with hiring the services of a separate micro-mill.
15%
LOGISTICS
Getting exceptional coffee from origin to your warehouse.
This covers the costs and coordination required to move the coffee from the farm to Europe, including:
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Export management and documentation
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Inland and international transport
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Origin warehousing
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Insurance
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Import and customs clearance in Rotterdam
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Q-grading and quality control
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Risk management and administrative costs
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Export taxes, for example, the Costa Rican ICAFE export tax (1.5% of FOB value)
20%
GROUNDS OPERATIONS
The work behind the connection.
This is what allows Grounds to connect roasters directly with our partner producers and make the relationship work commercially.
It covers sourcing and importing coffees, quality selection, sales and marketing, sample programmes, cuppings, international events, and coordinating the journey from producer to roaster.
It also covers the less visible work: building long-term relationships, managing currency fluctuations and financial risk, coordinating deliveries, overseeing warehousing and shipping, and helping producers access financing when needed.
In other words, this is the infrastructure that makes a more direct coffee supply chain possible.
5%
FINANCING
Helping farmers get paid upfront.
For Spot coffees, Grounds finances upfront payments to our partner farmers through external financing.
When you participate in our #JOINTHEBOAT pre-sale, your commitment helps reduce that financing requirement, which is why we can offer a pre-sale discount.
At the same time, your commitment gives farmers greater certainty about the allocation of their coffee before it leaves origin.
THE PRINCIPLE BEHIND THE MODEL
We don't pretend the supply chain is free. We make the costs visible.
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And by making them visible, we can have a more honest conversation about where the value goes and how much of it reaches the people who produce the coffee.
let's talk...
Annelise Scholl
founder
Born in Costa Rica and half Dutch, Annelise is on a mission to function as a bridge for Costa Rican farmers. She wants to raise the bar for all players in the coffee industry, helping farmers improve their crop, the livelihood of their families and leading them on their journey to conquer the international market. Annelise's vision lies in supporting the development of new value-driven business models, managing the articulation of a business strategy and is the creator behind the #jointheboat campaign.