The global coffee supply crisis?
From the March 2012 issue.
Global coffee consumption is showing no signs of waning and production is struggling to keep pace with demand.
Global coffee supply crisisBy Maja Wallengren
For four years running, the world’s coffee supply-demand has been running at a deficit.
Global stocks and inventories have continued to dwindle with no recovery in sight. Certified stocks under the ICE futures exchange in New York and European warehouses as of 27 January this year were at 1.532 million 60-kilogram bags. Take into account total green coffee stocks in the United States, which include shipments from the 2011-12 Brazil crop, and the figure comes to 4.295 million bags – equal to half a month’s demand in importing countries.
“This figure has continued to come down year after year, and even with the new crop from Brazil, and the main crop from Colombia and Vietnam, we still have not seen stocks recover,” says Pedro Echavarria, a veteran independent analyst in Colombia.