News September 27, 2018 Coffee prices are at their lowest price since 2012 and Starbucks commits big bucks to help out the smallholder coffee growers that produce their beans.The coffee commodity market dipped below $1 a pound at the end of August.Although you'd think lower coffee prices are a good thing, it really isn't because the growers aren't making money. Starbucks Commits 20 Million DollarsThat's right, Starbucks commits 20 million dollars to the smallholder farmers that grow their beans to get them through the hard economic time due to the historic low price of coffee beans.Starbucks committed the money for distribution to their smallholder growers in Nicaragua, Guatemala, Mexico and El Salvador. The money is to subsidize income during the upcoming harvest.Think about that, how rare is it for a private company to subsidize their producers, this type of action is what governments do.I think it's great, Starbucks is not going to charge less for coffee, only their profits would go up, so instead, they're taking a proactive step to distribute some of the profit back to the growers.Praise By Coffee AssociationsStarbucks is earning praise from the two major coffee membership organizations. These organizations are the SCA and NCA who appreciate that Starbucks is protecting their producers and stabilizing the industry. Protecting the Smallholders is ImportantIt's important to protect the smallholder coffee producers. Without economic protection during lean times the smallholders would either stop growing coffee or sell their plantations to larger growers.Having more players in coffee production can only be good for the industry, the people within the industry, and us the consumers.