International Trade Master Essay Example | Topics and Well Written Essays - 2250 words

International Trade Master - Essay Example Ethiopia is one of the Worlds poorest, with Gross National Income per Capita of US $220.00 (World Bank 2008). Ethiopia home to ancient civilizations (Internet. Houston Museum of Natural Science) produces only 2.6 % of the world's coffee (Internet. FAO). Ethiopia's distinct and mild Arabica coffee however is some of the most aromatic and sought after coffee beans worldwide. "The Horn of Africa country prides itself as the origin of coffee. Its beans are grown in the misty forested highlands of southwestern Ethiopia in a region known as Kaffa which legend says gave its name to the plant. Ethiopia earned $525 million from exporting 170,888 tonnes in the 2007/08 season, and hopes to earn $800 million from 224,831 of exports this year, according to the Trade Ministry". (Internet. Reuters) Coffee exports and the impact of world trade regulations on its coffee exports are important to Ethiopia and its farmers; as coffee comprises between 35-40% percent of Ethiopia's export earnings of 1. 2 billion USD. However Ethiopia earned a mere $ 525 million in 2008, or 1.05% of a trading market recently valued in 2006 at $50 billion. (Internet. Source: Retail World 2003 and BIS Shrapnel, Coffee in Australia 2006-2008). Any improvements to word trade regulations or trading arrangements with regard to coffee will be important to Ethiopia and its coffee farmers. This piece of ... 2 billion USD. However Ethiopia earned a mere $ 525 million in 2008, or 1.05% of a trading market recently valued in 2006 at $50 billion. (Internet. Source: Retail World 2003 and BIS Shrapnel, Coffee in Australia 2006-2008). Any improvements to word trade regulations or trading arrangements with regard to coffee will be important to Ethiopia and its coffee farmers. 2. Introduction and Overview: This piece of work examines the impact of international trading regulations as they now exist, on the activities of Ethiopian coffee farmers. It addresses and analyzes the impact, both direct and indirect, of international trade regulations on the activities of Ethiopian coffee farmers. It shows the socio-economic adversities which can impact farmers who produce coffee in a developing country, when international trade regulations outside of the farmers' control, impact world coffee prices and therefore the earnings of Ethiopian coffee farmers. The plight these farmers is further exacerbated when the farmers as a group have relatively little bargaining power over the processors and distributors of coffee in its final consumed state in global markets. These issues affect farmers notwithstanding the existence and impact of international trade regulations, purportedly intended to benefit developing countries through the expansion of world trade; but which have the opposite effect when th e agreements do not truly take into account the interests of developing countries. A number of credible sources with relevant data will be cited to support our arguments. The question is important insofar as it analyzes the effects of international trade regulations and agreements on the economy of a poor developing country. In the alternative, we seek to set out some alternative legal