What Does Costa Rica's Water Crisis Mean for Coffee Production by Country?
Costa Rica's water supply problems are now a direct risk to its coffee crop. Between 2017 and 2023 the Water Supply and Sewerage Authority executed only 48.8% of its budget, and since January the country has seen xylene contamination in Moravia, hydrocarbon-tainted drinking water around Hatillo, and rolling supply cuts in many cities. Contaminated water entering soil can damage ecosystems and reduce coffee yield and quality.
The country is an important exporter of pineapple, banana, and coffee, and its agriculture depends heavily on reliable water. Experts reject the authority's explanation that shortages force water to be diverted to worse-off areas, pointing instead to aging infrastructure and insufficient reservoir capacity. A possible La Niña drought in the second half of the year could compound the damage in a key coffee origin country.
Costa Rica is renowned for its abundant water resources and geothermal energy, and is also a major global exporter of pineapple, banana, and coffee, with its agricultural sector highly dependent on water resources. However, in recent years, the country has frequently encountered water supply crises, from xylene contamination to excessive hydrocarbons, and to sustained water outages, with problems emerging one after another. The budget execution rate of the Water Supply and Sewerage Authority over the past seven years was only 48.8%, and issues such as aging infrastructure and insufficient reservoir capacity have been identified as root causes. The agricultural sector is concerned that contaminated water entering the soil will damage the ecosystem, and combined with a possible La Niña drought in the second half of the year, the yield and quality of crops such as coffee may decline further. Front Street Coffee continues to monitor developments in the producing region and brings you an overview of the multiple challenges behind this water crisis.
It is understood that Costa Rica possesses extremely abundant water resources and geothermal energy, and the country also places great emphasis on agricultural development. It is an important global exporter of pineapple, banana, and coffee, and is highly dependent on water resources.
However, Costa Rica has recently experienced frequent water resource crises. According to local media reports, the Water Supply and Sewerage Authority (AyA) had a budget execution rate of only 48.8% during the seven years from 2017 to 2023, which has led to tight water supply in multiple regions.
In January of this year, the water supply in Moravia in central Costa Rica and its surrounding cities was contaminated by xylene; in February, areas such as Hatillo experienced water shortages, and drinking water in multiple counties and cities was contaminated by hydrocarbons; and since March, many cities have continued to face water supply interruptions. In response, AyA explained that diverting water to areas with more severe shortages is necessary, so suspending water supply services is a helpless move.

But water culture experts in the country do not agree with this explanation. They point out that Costa Rica is originally a country with abundant water resources, and it is truly shameful for so many water use problems to occur. The root cause lies in infrastructure, especially long-used pipes that are aging and leaking seriously, along with a lack of seasonal reservoirs and absent water resource protection.
In addition, according to estimates by the National Meteorological Institute (IMN) of Costa Rica, under normal circumstances, the average annual rainfall in the Balva area can reach 4,000 to 5,000 millimeters, but due to insufficient capacity of the built water tanks, a large amount of water resources is lost in vain.
Furthermore, water pollution is simultaneously threatening drinking water safety and agricultural production. For drinking water pollution, the current remedial measure is to dispatch water tanker trucks to supply water to contaminated areas to prevent residents from feeling unwell after drinking it. The agricultural sector is worried that once water contaminated by xylene seeps into the soil, it will poison the soil and plants and disrupt the ecological balance of the soil. Even more worrying is that the La Niña phenomenon may return in the second half of the year, when Costa Rica may experience severe weather such as drought, and the water shortage problem may worsen further, ultimately leading to declines in both the quality and yield of crops such as coffee.
In response, the chairman of AyA stated that an "investment acceleration plan" is currently being formulated to build and renovate the water supply system. However, the funds available to AyA are still insufficient to immediately carry out a comprehensive renovation of the entire water supply system. The main reason is that poor management by previous governments caused a loss of resources. Now, with limited funds, improvement work can only proceed slowly.
The above content is compiled by CoffeeHunters, a coffee news website.