78.2 million sacks of exportable coffee They are equivalent to 10.3 billion pounds, and it is an amount that a country like Brazil would take more than 3 and a half years to consume. That amount of bags It was burned between 1931 and 1944a desperate decision of a country whose economy was historically linked to infusion. The question is: Why did they do it?
The relationship between Brazil and Café Data since 1870when Brazil began to separate from the monarchy on its way to the formation of a republic, which could be realized in 1889with a coup d’etat that overthrew the emperor Dom Pedro II. This movement actively participated in the large producers of coffee and landowners, who advocated the abolition of slavery and subsidies to bring European immigrants to work in coffee plantations.
To the regime started in 1898, led second civil president of the country, SALES FIELDhe was known as the “Republic of Café Com Leite” or “coffee with milk.” This name was composed of the most important economic activities in the country, led by states such as Minas Gerais and San Pablo.
Coffee Crisis in Brazil
In 1906a Café overabundance had caused a coffee prices dropwhich led governors of three states to make an assessment of the product, through international loans to buy coffee surpluses. Thus, product prices in the international market were stabilized, and Brazil managed to dominate world production of coffee. At the same time, coffee was stored and there was not much concern for the quality of that production.
However, for 1929the Great Depression It greatly affected the Brazilian economy, which suffered at the international level. In fact, More than 50% of the value of exported goods from Brazil was in coffeesomething that does not happen today. Being the United States, the largest coffee export market in Brazil, its sharp fall made the Latin American country run the same fate. A coffee bag in Brazil was worth 200,000 ranges in national currency in early 1929 and ended up using 10% of that amount by the end of that year.
This crisis led to a Military coup in 1930which ended with the Republic of Café with milk. Getúlio Vargas assumed power and at first sought to break government ties with the great rural coffee growers, although the economy was still in a delicate state. Finally, a decision came in response: Basic products were sold for export while manufactured products were imported. This collapse led to prices to fall, and Getúlio chose to increase national customs tariffs and buy the coffee stored to burn it.
Destroy everything, a solution?
One was created Coffee chain members commission to make decisions, write laws and supervise the destruction of grains. Finally, what would start with a burning of poor quality coffee ended up becoming the entire harvest, with the aim of increasing the value of the product in the international market by reducing supply and storage costs.
Brazil Cafe Crisis 2.jpeg
On average, between 1931 and 1944 27% of annual stocks were destroyed. The cycles of burning were made in Santos, and The newspapers reported on the smell of burnt coffee that the wind carried up and down the coast of the state of San Pablo. They even got to see Coffee smoke clouds kilometers away.
In 1932 It was created National Coffee Stabilization Councilto stabilize all coffee production. However, coffee burn led to tensions in international relations. There was so much coffee that one part was thrown into the sea -it was called Café Marino -while another portion was used as a source of experimental fuel in some industrial factories and boilers.
The consequences were fatal to the Brazilian government; The cost for political management was immense, many farmers declared bankruptcy and prices remained low for years, since many were indebted and had little access to credit.
Source: Ambito
