International Coffee Agreement And International Coffee Organization

International Coffee Agreement and International Coffee Organization Outline

The International Coffee Agreement was made for the purpose of regulating coffee markets, preventing excessive fluctuation in coffee prices and ensuring an adequate supply to the markets. There had been a number of annual agreements between 1958 and 1962. The first five-year International Coffee Agreement was made in 1962. It came into effect in 1963 and expired in 1968. This agreement set out export quotas to achieve market stability. The second Coffee Agreement entered into force in 1968 and expired in 1973. This was followed by the 1975 agreement which became effective in 1977 and expired in 1983. The 1982 agreement came into effect in 1983 and continued to operate in 1993. The ICO is set up under the international coffee agreements and has about 69 members, consisting of both coffee producers and consumers. The International Coffee Council in London, which is part of the ICO, is the mechanism for enforcing the coffee agreements.(1)

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Notes

1. John Mo, International Commercial Law