ECONOMICS ICO
The green bean price roller-coaster THE ICO LOOKS AT GREEN COFFEE’S WILD PRICE RIDE, THE UNDERLYING FACTORS RESPONSIBLE FOR THE LOW-PRICE TREND REVERSAL AND JUST HOW LONG RISING PRICES WILL PREVAIL.
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he International Coffee Organization (ICO) has collected, processed, and disseminated coffee statistics and prices for nearly 60 years, serving all coffee stakeholders in a neutral and professional manner. We have recorded and predicted ups and downs, significant volatility, and impact on farmers, exporting countries earnings, industry, and consumers. Now, what is happening in 2021 when we are all still fighting the vicious COVID-19 pandemic and growing weather-related shocks due to overall climate change? Over the last 10 months, coffee prices have shown signs of recovery after experiencing four years of low levels, as shown by the ICO composite indicator price standing at 160.14 US cents per pound in August 2021, which represents an increase of 51.3 per cent over October 2020, the beginning of the current coffee year. The monthly average of the ICO composite indicator in August 2021 is the highest level since 162.17 US cents per pound recorded in November 2014.
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G C R | N OV E M B E R / D E C E M B E R 2021
The prices of both types of coffee, Arabica, and Robusta have increased, although gains have been less marked in the case of Robusta coffee. The prices of the two washed Arabica groups (Colombian Milds and Other Milds) increased by 46.1 per cent and 42.2 per cent respectively, with respect to their levels recorded in October 2020. For Colombian Milds, the price of 225.40 US cents per pound reached in August 2021 is the highest since the mark of 244.14 US cents per pound registered in February 2012.
