World coffee demand remains stable despite recession, ICO chief says

30th September 2009

The world demand for coffee remains stable overall, despite the effects of the world economic recession, according to the International Coffee Organization’s Executive Director Nestor Osorio, speaking at a press conference at the ICO’s Council meeting in London in late September.

Dr Osorio (pictured) characterised demand in the sector with the words “so far, so good,” and added that he expected that this year’s consumption once again would grow at the 2% to 2.4% rate seen in recent years. While there had been some disruption in emerging markets, he added, these regions were not yet significant consumers of coffee and, as a result, the overall trend was still positive.

Representatives at the ICO’s Council meeting discussed a number of issues, including the establishment of a forum on finance, which is a new element of the 2007 International Coffee Agreement.

That Agreement is expected shortly to come into force, when the required majority of member nations finally ratifies it. The previous 2001 Agreement was extended for another year at the September meeting as a precaution, Dr Osorio said, although ratification by top producer member Brazil would bring the new Agreement into force immediately.

The ICO Executive Director’s Coffee Market Report, updated each month, is available to download from the Publications section of this site; just click on the Media Centre tab above.