- Entered
into force for six years on 1 October 2001, on
expiry of the International Coffee Agreement (ICA) 1994.
- Extension(s) of the Agreement
for up to six years now depend(s) upon a vote in the Council rather than
on ratification by member country governments.
- The
Private Sector Consultative Board, comprising
eight producing and eight consuming representatives of the private sector,
is now an integral part of the ICO with the power to make recommendations
on matters raised for its consideration by the Council.
- The
World Coffee Conference is also now an integral part of
the ICO and will feature as an ongoing regular event. The conference is
called upon to discuss matters of interest to the industry at large and to
be self-financing, unless the Council decides otherwise. The first World
Coffee Conference was held in London in May 2001, the second in Brazil in
September 2005 and the third in Guatemala in February 2010.
- The ICO is
authorized to promote
consumption using resources pledged by interested parties.
- The ICO has been
empowered to work towards the sustainable
management of coffee resources and processing.
- The ICO is to
consider improving
the standard of living and working conditions of
populations engaged in the coffee sector, consistent with their stage of
development.
- The ICO’s headquarters is
to remain in London, unless the members vote otherwise.
- The ICO’s
decision-making structure is virtually unaltered. The Council, which
comprises all ICO members, remains the highest authority. It will continue
to meet twice a year, while the 16-member Executive Board will continue to
be elected annually in September.
- The ICO will
continue to act as the centre for the collection and exchange of information on coffee and
will continue to conduct studies
and surveys as well maintain the system of indicator prices.
- Certificates
of origin will continue to accompany all exports
unless the Council deems that exceptional circumstances warrant using an
alternative.
- The
preamble acknowledges the exceptional importance
of coffee to the economies of many countries and to the livelihoods of
millions of people, as well as the desirability of avoiding disequilibrium
between production and consumption because of the harm price fluctuations
can do to both sides of the coffee industry.
- The objectives
include providing a forum when appropriate for negotiating ways to achieve
a reasonable balance between world supply and demand on a basis, which
will assure adequate supplies of coffee at fair prices to consumers and
markets for coffee at remunerative prices for producers and which will be
conducive to long-term equilibrium between production and consumption.
*The list of main elements is based on F.O.Licht, International Coffee Report,
Vol.16 N°3. See also www.ico.org/history.asp .
International Coffee Agreement (ICA) 2007 – came into force 02
February 2011*
The 2007 agreementis designed to enhance the ICO’s role as a forum
for intergovernmental consultations, increase its contributions to meaningful
market information and market transparency, and to ensure that the organization
plays a unique role in developing capacity building in the coffee sector,
including facilitating the availability of information on financial tools and
services that can assist coffee producers. The Agreement also recognizes the
contribution of a sustainable coffee sector to the achievement of
internationally agreed development goals, including the Millennium Development
Goals (MDG’s), particularly with respect to poverty eradication.
The organizational structure of the ICO has been changed with the
elimination of the Executive Board, and the creation of a number of new bodies
to assist the Council in its work: the Consultative Forum on Coffee Sector
Finance, the Projects Committee, the Promotion and Market Development
Committee, and the Finance and Administration Committee. The Council, which
comprises all ICO members, remains the highest authority.
The full text of the 2007 Agreement can be downloaded from www.ico.org.
* Due to delays in the ratification procedure the 2001
Agreement was extended for a total of four years