The Origins and Cultural The Origins and Cultural Development of Development of Coffee in Taiwan:Coffee in Taiwan:

Coffee Cultivation, the “Coffeehouse,” and the Coffee Cultivation, the “Coffeehouse,” and the Development of a Coffee CultureDevelopment of a Coffee Culture

By: Virginia Shaffer By: Virginia Shaffer and Danielle Sleeperand Danielle Sleeper

  Coffee BeginningsCoffee Beginnings

in Taiwan in Taiwan Gukeng Province: Dutch Gukeng Province: Dutch

Colonization 1624Colonization 1624

Later revived by the Later revived by the Japanese in 1895Japanese in 1895

Coffee Era ended in 1949 Coffee Era ended in 1949 by Koumintang by Koumintang

Replaced with Betel Nut Replaced with Betel Nut and Fruit Tree Cropsand Fruit Tree Crops

Emergence of Oolong in Emergence of Oolong in 1970’s1970’s

Coffee revitalization in the Coffee revitalization in the 1990’s1990’s Both Coffeehouse and Both Coffeehouse and

CultivationCultivation

Coffee Origins and Coffee Origins and DevelopmentDevelopment

Japanese Coffeehouses Japanese Coffeehouses カフエー カフエー ((kissatenkissaten) ) Opulent lounges with well-to-do clientele Opulent lounges with well-to-do clientele and staffed by and staffed by jyokyuujyokyuu

Taiwanese CoffeehousesTaiwanese Coffeehouses Emerged in the 1920sEmerged in the 1920s A place for wealthy Taiwanese college grads, A place for wealthy Taiwanese college grads, literati--dramatists, singers, musicians and literati--dramatists, singers, musicians and

artistsartists Safe houses for those opposed to Japanese Safe houses for those opposed to Japanese

rulerule

Coffee Shops for the Coffee Shops for the LaobaixingLaobaixing ““Serve delicious coffee at a reasonable price”Serve delicious coffee at a reasonable price” Individual shops dominated 1970sIndividual shops dominated 1970s Arrival of coffee chains in 1990sArrival of coffee chains in 1990s

Coffee is a way of Coffee is a way of life.life.

Shifted food habits and changed the Taiwanese Shifted food habits and changed the Taiwanese breakfast meal breakfast meal

Taiwan’s Unique Taiwan’s Unique Coffee Bean and Coffee Bean and Innovative Innovative TechniquesTechniques

-Quality vs. Quantity: Taiwan ranks among -Quality vs. Quantity: Taiwan ranks among the first class coffee qualities of the worldthe first class coffee qualities of the world

-Climate Advantages-Climate Advantages-Yunlin, Gukeng and the Formosan Rock Monkey-Yunlin, Gukeng and the Formosan Rock Monkey

Sweeter Coffee with bold vanilla scent @ USD$56.00 per poundSweeter Coffee with bold vanilla scent @ USD$56.00 per pound

http://www.reuters.com/article/video/idUSSP22138820071114?videoId=70786

--Cultural Innovation:Cultural Innovation:

85C’s Sea Salt Coffee: 2009’s Best Seller85C’s Sea Salt Coffee: 2009’s Best Seller

Future Forecasts: Adding Cheese and Crushed FruitFuture Forecasts: Adding Cheese and Crushed Fruit

Using alternative energy to brew coffee – a REAL Cup of Joe!Using alternative energy to brew coffee – a REAL Cup of Joe!-Specialty Comes with a Price:-Specialty Comes with a Price:

NT$120 (US$3.70) a cup to NT$200 (US$6.15) NT$120 (US$3.70) a cup to NT$200 (US$6.15)

Coffee vs. Tea Coffee vs. Tea in the Modern Worldin the Modern World

Is Coffee Intrusive to the Is Coffee Intrusive to the Taiwan Tea Market?Taiwan Tea Market? The market prices of tea The market prices of tea

leaves have been dropping leaves have been dropping under the impact of under the impact of cheaper imports, following cheaper imports, following Taiwan's entry into the Taiwan's entry into the World Trade Organization World Trade Organization in January 2002.in January 2002.

Oolong Tea farmers are Oolong Tea farmers are switching to coffee bean switching to coffee bean cultivationcultivation

Coffee beans can Coffee beans can potentially earn triple the potentially earn triple the revenues yielded from tea revenues yielded from tea

Agro-tourism in coffee Agro-tourism in coffee cultivating towns boosts cultivating towns boosts the revenues for the the revenues for the communitycommunity

Coffee’s Coffee’s Role in the Role in the

Agro-Agro-tourism tourism IndustryIndustry

Positives:Positives:•Taiwan Coffee Festival, Taiwan Coffee Festival, launched October 2008launched October 2008•Gukeng listed in “Top Gukeng listed in “Top Rural Villages to See” Rural Villages to See” in Taiwanin Taiwan•The Taiwan Experience The Taiwan Experience in the Coffee Homelandin the Coffee Homeland

•Negatives:Negatives:•Marketing ProblemsMarketing Problems•High Price:High Price:

•Price gap in part to Price gap in part to Taiwan’s high labor costsTaiwan’s high labor costs

•Taiwanese Taste Taiwanese Taste PreferencePreference

International International Competition Competition of both the Coffee of both the Coffee

House and Coffee Bean House and Coffee Bean

The Coffee House: The Coffee House: Currently there are over Currently there are over

12,000 Coffeehouses in 12,000 Coffeehouses in Taiwan: (Chains, Franchises, Taiwan: (Chains, Franchises, Privately Owned)Privately Owned)

Starbucks entered Taiwan in Starbucks entered Taiwan in 1998 : 168 Locations1998 : 168 Locations

85C still remains as Taiwan’s 85C still remains as Taiwan’s biggest Coffeehouse chainbiggest Coffeehouse chain However, coffee is However, coffee is

imported from Guatemala imported from Guatemala

The Coffee Bean:The Coffee Bean: Taiwan's diplomatic allies:Taiwan's diplomatic allies:

Honduras, El Salvador, Honduras, El Salvador, Panama, Nicaragua, Panama, Nicaragua, Guatemala and BelizeGuatemala and Belize

Importing coffee beans Importing coffee beans from South America is still from South America is still cheaper than domestic cheaper than domestic coffee beans. coffee beans.

Present-Day Present-Day Coffee Coffee

Culture Culture

-The “Western” Coffee -The “Western” Coffee Shop Trend fully began Shop Trend fully began in the 1990’sin the 1990’s

-“New” & “Fashionable”: -“New” & “Fashionable”: A Social ChangeA Social ChangeWho Drives Demand: Who Drives Demand:

Businessmen and Businessmen and women, students, the women, students, the young generationyoung generation

-Coffee Market -Coffee Market CompetitionCompetitionAttractiveness to Attractiveness to EntrepreneursEntrepreneurs

-Wireless Internet-Wireless Internet

Discussion Topics:Discussion Topics:

Is a coffee culture new to Is a coffee culture new to a Taiwanese Society or is a Taiwanese Society or is it being revived? it being revived?

Is it possible that this is a Is it possible that this is a hybrid of both old and hybrid of both old and new tradition?new tradition?

Do you foresee the Do you foresee the addition of coffee tourism addition of coffee tourism in rural villages as a in rural villages as a positive way to help positive way to help communities? Do you communities? Do you foresee any negative foresee any negative aspects to this social aspects to this social movement?movement?