SUMMMARY:

STRATEGIES

for saving Hawaii's commercial kava industry

1. Put stories in the press about kava
2. Participate in educational/tasting events, tell the kava story
3. Hold annual kava festival

1. Open more kava cafes- at least 6 in US (Honolulu, Hilo, Kona, Maui?, Eugene, OR, Baca Raton, FL
2. Move into other food /beverage venues--cafes, Starbucks, Jamba juice, internet café
3. Develop a Small business innovative research grant; for Kava beverage making machine because hand squeezing limits production, raises labor costs. Proposals have been submitted by AHA, Puu Hoku Ranch
4. Develop a grant to develop a kava beverage that is shelf-stable product; (check with Lebot if he can share his formula particularly amylase enzyme use.

Team beverage:

Jerry Konanui , Jorge Nijensohn/Kulanaki Farm (Jeffrey Burger), HC Bittenbender.

AGENDA

Welcome -

HC 'Skip' Bittenbender, meeting facilitator Introductions and expectations

1. Kava-liver controversy CTAHR update
2. SWOT analysis (Strengths , Weaknesses, Opportunities, and Threats to Hawaii's commercial kava industry)
   • Identifying critical issues from the SWOT
   • Prioritizing these issues
   • Developing a plan to address these issues.

* PARTICIPANTS

Matt Archibald, Jeffery Burger, Kevin Dayton, Klaus Dragull, Keith Hopkins, Mel Jackson, Ed Johnston, Jerry Konanui, Genesis Lee Loy, Will McClatchey, Scot Nelson, George and Barbara Nijensohn, Jeri Ooka, Cliff Souza, Kawika Winter, Jonathan Yee

STEPPING BACK AND LOOKING AT THE BIG PICTURE

1 - Kava-liver controversy CTAHR update- HC Bittenbender,

Worldwide kava news Britain banned kava products in January 2003, citing the kava-liver controversy noting that not possible to tell who would have an adverse effect. Phytopharm Consulting (Germany), in cooperation with the Center for Development and Enterprise (CDE) and other NGO's, are fighting the unjustified ban on kava-containing products and are currently working out strategies to rebut it. Phytopharm Consulting is the leading international consulting company specialized in herbal medicines. A survey from this group was to awa leaders in Hawaii.

Three faculty in CTAHR are working on understanding the how of the kava liver controversy. Amy Brown will be screening the liver function via blood tests of kava drinkers and non-drinkers. Her project has not started yet but has been approved. This initial study will likely lead to a larger one. CS Tang and Pratibha Nerurkar are working together to study the effects of kavalactones and kava alkaloids on liver cell cultures and have proposal to study this with rat bioassays. Earlier work on kava alkaloids is now presented by Klaus Dragull, CS Tang's graduate student.

Kava alkaloid research at CTAHR- K. Dragull for CS Tang No liver problems have been associated with drinking kava, only capsules using extracts. The first report of liver problems was in 1998 in Germany and Switzerland, though extracts have been used long before in Germany.

Traditionally some cultures remove rootstock peelings to lighten the color of the powder and beverage. The peelings are sold as a lower value product. In Fiji, Kasa (stems) and civicivi (peelings) are sold to extractors. Stem peelings (bark) were being sold to kavalactone extractors in Europe and US as price and demand for kava rapidly increased in the mid and late 1990's. 1998 Port Import/Export Reporting Service (US) reported 186,000 pounds of dried kava peelings (bark of stump or rootstock and stems) was the major kava import into US, 82% of imports greater than roots or powder.

The predominant alkaloid in kava is pipermethystine. It is found in leaves, and peelings (bark) stem and stump (rootstock) of all varieties tested, but not in the roots. Moi and Hiwa peelings have the highest in Hawaii varieties tested but less than half to a third that found in Isa.

Newly identified alkaloids in kava are: Awaine in young leaves; Epoxy pipermethystine in peelings (bark) stem and stump (rootstock) of varieties high in pipermethystine like Isa.

The alkaloid Pipermethystine is concentrated in non-water extracts (eg. alcohol).

Standard kavalactone analysis masks pipermethystine behind the kavalactone peak for yangonin. This means using standard analysis the presence of this alkaloid would not be detected, it would be considered to be yangonin.

Extractors set a kavalactone minimum percentage, but because they do not pay a premium for higher percentages this led to adulteration of kava shipments to make all reach the minimum.

Preliminary test on liver cell cultures by Tang and Nerurkar indicate that kavalactones are well tolerated. However the alkaloid Pipermethystine had strong negative effect on liver tissue culture. This must be repeated, Henderson's lab at UC-Davis is helping to confirm this finding.

Green tissues like leaves and stem bark have larger amounts of pipermethystine than non-green bark below ground or mounded stem bark. Even some darker colored, non-green bark varieties like Hiwa and Moi have the alkaloid.

2- SWOT ANALYSIS

STRENGTHS

of Hawaii's Commercial Kava industry

means higher priority

• Excellent Hawaiian varieties of 'awa
• Good support from UH, including kava-liver controversy investigations.
• We have AHA--an active organization representing the industry, reference for grants.
• Beverage sales from fresh kava, not just from dry kava.
• Tourist industry for sales, new customers.
• Hawaii-grown brand name is supported by our culture.
• Fresh root exports to mainland.
• Made in the USA product
• Plenty of suitable land for kava.
• Cultural background of kava use
• Compared to South Pacific, cleaner facilities and fine powder grind for beverage Very innovative farmers
• Not damaging rain forest in expanding production Excellent fertilizer infrastructure, shipping Room for both small scale and large scale producers.

WEAKNESSES

of Hawaii's Commercial Kava industry

means higher priority

• Bad press from kava-liver controversy, even though a strong case not made against kava.
• Insufficient evidence, test results, to explain liver-kava controversy for our education program about safety of 'awa * Don't have a large kava drinking population in Hawaii.
• Companies making kava products cannot buy liability insurance, due to kava-liver controversy.
• Banned, several in countries due to kava-liver controversy.
• Is Kava leaf tea a liability due to alkaloids? Unknown analysis Public unfamiliar with kava, they know it as a medicine in pills not a beverage
• Taste of beverage is poor
• Fear of kava in general public
• Production costs are high compared to others in Pacific Price to farmers $1/lb fresh is too low, not enough return, no economic sense.
• Not every grower has a market
• Severe diseases--kava dieback, nematode, shot hole, root rot, few management options Lack of registered pesticides--disease, insects
• Lack of products besides powder, or beverages, in kava cafes

OPPORTUNITIES

for Hawaii's Commercial Kava industry

means higher priority

• New products based on water extracts of fresh or dry 'awa (not alcohol extractions), eg. freeze dried developed by Electic Institute OR was tasted, frozen fresh ground root .
• Research to develop new kava beverage, eg. refrigerator ready to drink products, shelf-stable ready to drink * Expand local beverage market to tourists and residents *Get travelers to drink, use kava to reduce jet lag and stress-related sleep disorders * Lyon Arboretum (UH) is sponsoring HI &Pacific Islands Kava festival as public education, tasting. Info www.HawaiianKava.com, click on discussions * Include kava into other ag/cultural festivals around the state, mainland
• Expand positive news on kava
• Research to understand and prevent the kava-liver controversy continuing
• Develop market to military for anxiety (note at least 2 proposals on this topic rejected by military funding sources for health and image reasons).
• Sale kava to China, there is interest and rising stress in their country.
• Alternative use for stems and leaves, (analysis indicate not a good fodder).
• Tropical uses--gargles, leaves--poultices Awa candy, chewing gum
• Make kava part of main cropping system-eg. Papaya, upland taro, timber.
• Strengthen HAC (or AHA) to lobby for Kava at legislature
• Farms hosting student interns, agtourism, ecotourism
• When market returns, export planting materials to other regions.

THREATS

to Hawaii's Commercial Kava industry

means higher priority

• Poor image due to news media of kava-liver controversy
• Poor market for extractors
• Declining share of extraction markets
• Few farmers planting 'awa
• Pests and diseases
• Exporting plant materials to competitors
• Other competing medications for kava. Companies may not want kava success
• No product liability insurance availability for companies producing kava products.
• Possibility of FDA ban, government buy out growers

CRITICAL ISSUES

1. Keep kava in the press--good news is better than bad eg pharmaceutical companies conspiracy story but that's better than no news at all.
   • Resolve the kava-liver controversy
   • Don't fight to resolve the extract-based Kava-liver controversy. We sell Hawaiian kava for beverage.
   • Kava for anxiety, the drink for these modern times --Iraq war, terrorists Keep promoting kava for peace, not profit, conflict resolution.
   • Research to promote uses With kava you can't hate
   • News item on successful kava bars
2. Having Kava at ag/cultural festivals in HI, mainland, have some one to answers questions about kava. Build on traditional use; ceremony, cultural sensitivity. Culture night at Planet Goloka a kava bar in Eugene, OR that serves Hawaiian-grown kava.
3. Getting Kava beverage into HI food venues, eg. Kanaka Kava is successful in Kona Airport kava concession stand
4. Have franchise, or kava module for restaurants Kava in the school program
5. Brand HI Kava as 'awa
6. Don't dodge controversy by name change
7. Maintain high quality, don't hurt HI image
8. Extracts--don't focus only on beverage.
9. High profitability for middlemen created problem - use of peelings

STRATEGIES

for saving Hawaii's commercial kava industry

1. Promotion of Kava
   1. Put stories in the press about kava
   2. Participate in educational/tasting events, tell the kava story
   3. Hold a kava festival
2. Increase publics access to kava beverage
   1. Open more kava cafes- at least 6 in US (Honolulu, Hilo, Kona, Maui?, Eugene, OR, Baca Raton, FL
   2. Move into other food /beverage venues--cafes, Starbucks, Jamba juice, internet café
   3. Develop a Small business innovative research grant; for Kava beverage making machine because hand squeezing limits production, raises labor costs. Proposals have been submitted by AHA, Puu Hoku Ranch
   4. Develop a grant to develop a kava beverage that is shelf-stable product; (check with Lebot if he can share his formula particularly amylase enzyme use.

Team beverage:

Jerry Konanui , Jorge Nijensohn/Kulanaki Farm (Jeffrey Burger), HC Bittenbender.

EVALUATION

• Outcome was good.
• Kava.
• Snacks
• Focusing after discussion
• Lots of ideas
• Now I know where need to go
• Change
• Need more info written down