Grupo Terruño Nayarita; Giving Vertical Perspective To Supply Chain Integration

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Grupo Terruño Nayarita; Giving Vertical Perspective To Supply Chain Integration Providing Consistent Quality, Socially and Environmentally Responsible, Internet Traceable Coffee From Mexico James Kosalos (jamesk@gtnay.com) Devorah Zeitlin (devz@sancristocafe.com) Marcela Ladron de Guevara (marcelals@gtnay.com) Pagina, 1

Grupo Terruño Nayarita: Vertically Integrated Our Partners In Sustainability Approach: Increases Quality, Consistency & Business Stability Reduces Risk In: Coffee supply Coffee price Coffee quality Environmental degradation Promotes A More Sustainable Business Improves Competitive Strategies Exclusivity and Cause marketing Controlled quality and full traceability built-in from the start Reduced dependency on commodity prices Corporate environmental and social responsibility Pagina, 2

The Structure Of Our Enterprise San Cristobal Coffee Importers Authorized distributor and marketing agent Grupo Terruño Nayarita Cafés Sustentables de Mexico Process and fiscal controls ASTAL BASILIO CUERNO Authorized Mexican distributor Café Oriental RIVIERA PROCAA TAMBOR GTN stockholders are democratic coffee producing societies; the group distributes it s coffee through San Cristobal Coffee Importers Pagina, 3

Our External Partners Bennetts Coffee Importer Kew (Melbourne), Australia DR Wakefield Coffee Importer London, England Kencaf Coffee Importer Markham (Toronto), Canada Walker Coffee Trading Coffee Importer Houston, USA Café Oriental Coffee Roaster and Distributor of green coffee Mexico City, Mexico Pagina, 4

How We Work Together 1. Involved Importers & Roasters Worldwide 2. San Cristobal Coffee Importers Exclusive distributor and US importer Marketing agent 3. Grupo Terruño Nayarita a) Cafes Sustentables de Mexico, S. de R.L de C.V. Producer services Coffee process and quality control Dry mill services Export documentation and logistics Enterprise Level administrative services Distribution of harvest loans Distribution of price adjustments and quality premiums b) Independent Democratic Producer Societies Independent management and development of infrastructure Pagina, 5

We Strengthen The Supply Chain. By Placing Process And Quality Management Systems Where They Are Most Needed Quality Management Systems Generally Exist In These Entities Exporter Importer Roaster Retailer Farm Wet Mill Dry Mill Quality Management Systems Here Traditionally Exist Only In Large Organizations; Small Producers And Small Cooperatives Who Supply The Majority Of The World s Coffee Fly Without Instruments Pagina, 6

We Use The FincaLab FincaLab Is A Mini-ERP For Coffee Producers Professional Portable Laboratory Included!! All-In-One Process Controls Documentation For Traceability Includes Fiscal Controls Web Based All Bags With Bar Codes & Serial #s Click on laboratory for description Pagina, 7

Consistent Quality, Traceable Coffee Coffee Farm To Consumer: Click on TAG to trace coffee Consumers Cafetales and producers Roasters COOP Wet Mills COOP Dry Mills COOP Exporters Importers End-to-end QA & shipping by Cafes Sustentables Pagina, 8

Grupo Terruño Nayarita Keys To Success Vertical Cooperation & Quality Management! Consistency, Traceability, And Transparency Promote Supply Chain Integrity Positive Synergy For All Assured quality and availability Low risk Partner financing Exclusive Direct Trade Coordinated marketing Eco-tourism Strong, Vertically Oriented Organizations Can Manage Prices To Remain Competitive Pagina, 9

Links and Resources www.sancristocafe.com San Cristobal Coffee Importers, our US company located in Kirkland, WA. www.cafesumex.com Cafes Sustentables de Mexico, S.R.L. de C.V., our Mexican affiliate, a coffee quality control company and maquiladora www.trackyourcoffee.com Coffee lot tracking with map links www.fincalab.com Website for our coffee quality control system www.cafeoriental.com.mx Website for our Mexican roaster partner Pagina, 10