Regional roots link coffee beans to greener fuel to sprouting lawns. First in an occasional series.
Top soil and sod producer in Delta grows in synch with four very different local businesses. Lawn image via Shutterstock.
PAY THE LOVE FORWARD: A LOCAL SUCCESS STORY
How do coffee beans from a hemisphere away drip profits and good will through five businesses in British Columbia's Lower Mainland? Like this:
Saltspring Coffee. Local importer and roaster, seeking a customer who could put its brand in new places, entered into a beautiful relationship with...
ThirstFirst Coffee Services. Local vendor to offices, attracted by Salt Spring's quality product and credibility, took the plunge. Sales increased for both firms. But something was missing. ThirstFirst wanted more...
Eco-op Energy Savers Cooperative. Local propane supplier helped convert and now economically fuels ThirstFirst's trucks that deliver Salt Spring coffee to offices.
Recycling Alternative now handles ThirstFirst's coffee grounds and other waste. But who was the ideal partner to make use of the resulting composted mulch? That turned out to be...
West Coast Instant Lawns & EnviroSmart Organic, Ltd. Ain't love grand?
Read more about this golden chain in the accompanying story.
The setting is a warehouse in an industrial park in the Vancouver suburb of Richmond. We're surrounded by big burlap sacks of green coffee beans, stacked several pallets high. The air warms up and sweetens as we approach the roaring roaster. Now and then a circular cooling tray spits hot brown beans into buckets while the machine's young operators consult nearby computer screens. My tour guide is Salt Spring Coffee president and CEO Mickey McLeod. He's wearing horn-rimmed glasses and a dark grey sweater over a blue shirt. His upper lip is hidden by a bushy Movember handlebar moustache. He says his company's sales were up 12 per cent to some $9 million last fiscal year. And that it couldn't have happened without nurturing local business connections.
McLeod is hardly the first to plant his flag in the "go local" camp. In recent years, I've heard this mantra from entrepreneurs and investors, consumers and politicians, not-for-profits and academics. Supporting local businesses is a good way to kick-start innovative and resilient local economies, the story goes. Advocates insist localism creates jobs and piles up tax dollars, builds communities and protects the environment. It could even -- no big deal or anything -- lay the groundwork for world peace. And here I am still buying Christmas presents at Wal-Mart like a jerk.
"All of this sounds great, but..."
"Does the do-gooder part actually make business sense?" McLeod interrupts, sensing my skepticism.
"Exactly," I say as we move away from the heat and noise of the roaster.
"At the end of the day, you're building a family. And when you have a family, they're gonna help you," he says. "It's about keeping as much of the economy as we can here."
"Except coffee doesn't grow here," I murmur.
"Yes, we're buying our coffee abroad," McLeod says with a shrug. "But the value of coffee does spread quite wide, and it's a great vehicle for messaging community value, social value. And we really want to work with people that have similar values."
McLeod's value checklist includes ethical sourcing, running modern equipment, auditing energy use, buying carbon offsets and recycling. As such, he buys his shipping boxes from Great Little Box, a packaging producer on nearby Mitchell Island; his branded promotional schwag from Fairware, a supplier based in Vancouver's Kitsilano neighbourhood; and his composting and recycling services from Vancouver's Recycling Alternative. They're pricier than national or multinational brands, but McLeod trusts them because they audit their supply chains to make sure their businesses are not only profitable, but also ethical and sustainable.
"You want to get good value but you also want to make sure you're getting support and partnerships," he says. "If you go away, you're giving your money to some large shareholder in another part of the world."
Caffeinating the cubicles
On my way out of the roasting facility, I spot a curious Dodge Caravan in the parking lot. It's wrapped in vinyl decals for a company called ThirstFirst Coffee Solutions, but also a few smaller Salt Spring Coffee badges. I see it as an opportunity to poke deeper into some of this local business inbreeding that's allegedly good for the world. When I get the ThirstFirst business development director on the phone, he tells me his is a Surrey-based office coffee delivery company that sells and maintains whole-bean vending machines at some of Vancouver's law firms, technology companies and gaming houses. Jeff Stebbings also tells me he used to source a mid-grade national coffee brand for the machines, but when the company re-branded three years ago, Salt Spring became its sole coffee supplier.
"People in offices want quality, they want a story behind it, most of them are looking for organic, fair-trade," says Stebbings. "The ThirstFirst brand is not a recognizable name at this point. But Salt Spring Coffee is."
"That's because office coffee sucks," I exclaim.
"We're trying to change that in this market," he says. "As soon as we switched our customers over to Salt Spring Coffee, our consumption just on that went up 10 per cent."
And what's in it for the coffee roaster?
"Co-brand marketing," he explains. "There's tens of thousands of people in the city drinking Salt Spring Coffee everyday through our machines."
I ask about other local partnerships and Stebbings says he saw huge savings after switching his fleet of eight trucks from gasoline to propane bought from Richmond-based propane supplier Eco-op Energy Savers Cooperative. He's also working on a partnership with Recycling Alternative set to launch in the spring of 2013 in the hopes it will streamline ThirstFirst's composting and recycling operations.
Recycling money and other stuff
By the time I chase the coffee story back into East Vancouver, dusk is falling on an industrial lot near a tangle of freight train tracks off lower Main Street. A container truck with a hydraulic lift beeps as it navigates the tight yard in reverse around stacks of wooden pallets and cubic cardboard bales. Several workers in overalls exit a small yellow warehouse, where columns of stacked wire bins form a mahjong puzzle of plastic bottles, pop cans and shredded paper.
Louise Schwartz is my host here. The owner of Recycling Alternative is a short, energetic redhead with piercing blue eyes and an affinity for recycled jewelry. The Vancouver native wears a black vest, a purple scarf and several silver rings on her fingers. She peppers her speech with Italian expressions, such as Bravo! and Ciao ciao! She started the company in 1989. There were no blue boxes back then and she and her partner did the collection runs in a hatchback. Since then, the commercial recycler has grown to 35 employees and 16 diesel trucks converted to run on recycled vegetable oil. She runs a one-pump biodiesel co-op off the side of the warehouse to service her trucks. The surplus fuels 300 member accounts.
It's some of these trucks that gather the organic waste products from Salt Spring Coffee and ThirstFirst and deliver them to Westcoast Instant Lawns & Enviro-Smart Organic Ltd., a topsoil producer in Delta, a 30-minute drive from Vancouver. Another "go local" apostle, Schwartz also buys her office supplies from nearby office products dealer Mills Basics. She says she likes to be able to meet her suppliers in person.
As we settle into an upstairs kitchen space, Schwartz tells me of the trades she recently negotiated with neighbouring businesses: free recycling services in exchange for weekly samples from a florist, a baker and a commissary kitchen for many of the city's food trucks.
"But how much are local relationships worth anyway?" I say, entering the familiar role of antagonist. "Can't the global marketplace provide cheaper products and services?"
"But what about quality? Variety? Accountability?" she fires back. "It has trashed us in so many ways."
"How can you be sure all this local cheerleading will be any different?" I press, which makes her think for a moment. A cat meows. A woman washes a dish in a nearby sink.
"This is not a marketing fad," she finally says. "It's a model for running a business that's anchored in its community. It's an operating strategy to reclaim our economy, reclaim our jobs, reclaim our supply chains and production lines."
As we'll find out next, that's a challenge requiring savvy, support and commitment. ![[Tyee]](http://thetyee.cachefly.net/ui/img/ico_fishie.png)
Luke Brocki is a Vancouver-based journalist. Follow him on Twitter @lukebrocki. Read his previous articles published on The Tyee here.
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SteveA
23 weeks ago
Confession
Good for you admitting to being a WalMartian Luke.
Now how about letting us know how your going to change these nasty shopping habits?
So many others have this affliction. The quest for what they believe to be 'cheap' goods. But reality is the stuff people buy from big box junk stores just gets used once or twice and ends up in the landfill.
Purchase domestically. Will help the Planet in so many ways.
alive
23 weeks ago
SteveA
Sound like a good point,but where exactly do you find truly made in Canada products?
Many are merely packaged here, in order to have a made in Canada sticker on them.
All the brandnames we recognize from years back are no longer made here.
So yes a good idea, but about twenty years too late.
Buwisit
23 weeks ago
Never too late.
SteveA. That's a valid point and one that has troubled me for years. But it is never too late.
freewilly
23 weeks ago
coffee lore
I used to be coffee conasseur (junky)
Salt Spring Coffee is very nice! I have no idea what is in it as I have only bought it ground. Its well packaged, fresh a nice even grind and roasted properly
At the height of my addiction....
There was a place in cloverdale on Fraser Hwy that sold 'green' coffee beans, they did their own roasting as well. Cool thing is that they had every kind of bean.
The terms fair trade and organic had just become popular.
The yemen arabica beans have been grown in the same region for millenia, thats organic farming! (origin of coffeee disputed where they came from ethiopia or whereever...)
We used a centrifugal popcorn popper to roast our beans. It worked like a charm except it would set off the fire detector from time to time. Mixing different varieties, and creating different blends was very cool, giving different coffee-narco effects and taste.
The strongest (caffeine) bean was a 'peabody' bean from india. I found it way too much by itself. (dangerously strong)
So from what I learned beans grown close to sea level are harsher and have more caffiene, while beans growing in higher elevations are prefered and milder. Of course there are exceptions.
Papua New Guinea produces an amazing amount of coffee, its 'organic', excellent coffee for the price but fair trade practices I doubt it. Completely undervalued.
I drink coffee but Im not as fussy as used to be. I won't go to the trouble of roasting, but I like whole beans I can grind myself. I have a bag of president's choice whole beans, supposed to be expresso grade not bad but badly roasted, actually underroasted. Its a shame because roasting is the most important last step. Some well meaning hard working soul created this wonderful product and some cheap ass ruins it. (at least it was salvagable)
Coffee like chocolate is undervalued. Its also a drug and like all drugs quality is key. Fair trade its a name, stamped on a number of products these days. Cynical I am, but I know what quality coffee is, and I also understand advertising.
While this is an interesting read it comes across as a sort of infommercial. Maybe the Tyee should have a 'progressive' business section for these kinds of articles?
snert
23 weeks ago
Salspring Island Coffee
#105 - 3551 Viking Way, Richmond, British Columbia.
I woulda thought they would have been run off the island for moving their plant.
Time for Timmies to take over.
freewilly
23 weeks ago
reminiscing
This article reminded me of some great businesses in Surrey and lowermainland
Reminiscing about Lady Bug Organics a home delivery service we used to use, years ago. I hope they are still operating they had a unique service with ethics and supportive of local farmers and producers of various products. It was fun ordering from them we never new what we were going to get, but we knew all of the produce was good! And who wouldnt want Avalon milk delivered weekly in a glass bottle. What a blast from the past
All these folks have to get together and the
The Tyee has to change their format a wee bit to showcase some of these businesses.
Tbarnston
23 weeks ago
Echo generation/Stealth inflation
The relocalization of the economy has moved beyond fad and is a bona fide business strategy. For the echo generation "local" will mean building local networks that provide services for all aspects of life, while still generating income from an economy that operates in a global context.
Why?
Has anyone else noticed how low priced goods are essentially DOA? In other words, the quality of most Walmart and chain store goods is so poor that the items end up in the dumpster within weeks or months? The reason is that corporations have extracted all they can from the globalization game over the past 25 years. There is no new cheap labour frontier to exploit, and cheap energy is a thing of the past. Product quality is now where they cut corners to boost their profits margins so they can meet Wall Street's quarterly profit targets. Call it stealth inflation.
Since the signing of NAFTA, the global supply chain has been financed on a few key inputs:
1) Wage arbitrage: Killing North American manufacturing jobs by outsourcing production to low wage countries like China
2) Cheap oil: Oil prices didn't meaningfully inflate until their peak in 2008.
3) Lower product quality.
There is no more room at the margin to generate profit growth in that context. Small upstart lean companies like those profiled in this article are competitive with global behemoths because the local companies can build business models around the weaknesses of globalized corporations. Namely, their servitude to Wall Street and pursuit of endless growth, which everyone knows is impossible.
Once business leaders realize that a low and stable leverage rate of the economy is desirable then we will be on our way to seeing the above mentioned businesses as normal and globalization as a fad.
zalm
23 weeks ago
snicker
Steve sez: "But reality is the stuff people buy from big box junk stores just gets used once or twice and ends up in the landfill."
That about matches the attention spans of the people who use them, Steve. Right in synch, I'd say.
(NOT written from my IPhone or any other idiot internet device that distracts me from taking in the real world while I'm walking home)
zalm
23 weeks ago
Tbarnston
Like your thoughts.
I think some of it has already happened - wage and price inflation in China is a serious leap up this year from last year - by 8 or 13% depending on whose figures you don't believe. China is only a few years from pricing themselves out of the market for wages, and a few more years beyond that in raw materials too - say two generations at the very outside.
However, I doubt that this will confer a local advantage on businesses that operate here. Two reasons:
- One is that our own business model (like our native N.A. culture) is inherently maladaptive - it relies extensively on competition to produce its best results, and that implies losers, where models in many other countries, particularly in Asia, have a generally cooperative model of enterprise, often family- or clan-based; and
- Two is that scarcity of resources may lead once again to a critical deficit in thinking as happened under Meiji Japan, Prussian and Nazi Germany, Victorian England, and others. The inevitable outcome such thinking is major war, and it's probably the most easily-globalized product the world has today.
I'm hoping not to live long enough.
SteveA
23 weeks ago
Easy Research
Sourcing products made closer to home is not too difficult. Same goes for ferretting out the ones that are simply re-packaged. Consumers do have power to make the neccessary change, with their wallet. Interesting news story today that Apple is bringing back some manufacturing base to American shores. Maybe when a domestically produced I-diot device is available will I purchase one! maybe...
freewilly
23 weeks ago
Apples and tomatoes
'In other words, the quality of most Walmart and chain store goods is so poor that the items end up in the dumpster within weeks or months? The reason is that corporations have extracted all they can from the globalization game over the past 25 years.'
So true, I supported computer products that came from Walmart as a call-center technician. They contract a manufacturer to build say 'computers'. The manufacturer builds them as cheap as possible and they end up as low budget computers on walmart shelves, usually for Xmas. Now this was over 10 years ago maybe OEM companies have learned that this is not good business practice.
Apple has generally built a good product with a hefty price tag, but even Apple has had lemons. For a short time after Jobs was fired from his own company, Apple allowed companies to build clones of their machines. It was a disaster, not because the clones were of substandard quality but because (apple) didnt give up enough. If they had the apple OS would have been as ubiquitous as Windoze. (that is my opinion other apple afficionados would dispute this)
On another note, hothouse tomatoes grown in BC are of a generally high standard, but what you get in the big stores are usually unripe enemic looking fruit. I have had the priviledge of tasting produce that never reaches those stores from the same producers, nice ripe tomatoes and peppers and they end up being recycled as compost.
No conspiracy, just an issue of scale