1976 International Coffee Convention

The operation of these conventions allowed coffee prices to remain relatively stable from 1963 to 1972, and coffee production and consumption were also balanced. The Coffee Convention promoted Coffee has played a huge role in the economic development and international trade cooperation of coffee-producing countries.

Changing patterns of supply and demand caused coffee prices to rise, and in 1973 the quota system collapsed. All economic provisions of the 1968 Convention were abolished. The Coffee Organization continues to serve as a center for collecting and disseminating information about coffee, and it continues to work as a forum for negotiations towards a new convention.

The "1976 International Coffee Convention" was negotiated in 1975. The situation at that time was completely different from that of the previous two conventions. When the first two conventions were reached, the coffee market was oversupplied, which led to a drop in coffee prices. In 1975, Brazil, the world's largest coffee producer, suffered a severe frost, so people were worried that the world coffee market would be in short supply in the near future. , this doubt caused coffee prices to rise rapidly. This affects all COFCO member countries. Therefore, when countries negotiated the 1976 Convention, in addition to retaining the effective provisions of the two previous conventions, they also introduced some new provisions to strengthen the role of the organization.

One of the main features of the new 1976 Convention is that it allows the suspension of quotas when coffee prices are high and the reintroduction of quotas when prices are low. Under this system, a quota system was introduced in 1980. The experience gained during the implementation of the 1976 Convention laid a good foundation for the negotiation of the Fourth Convention, which entered into force in 1983.

The 1983 International Coffee Convention

The "1983 International Coffee Convention" has the following main economic characteristics: 1. When necessary, adopt an export quota system to ensure prices within a certain range Stablize. This range is agreed upon annually by the organization's coffee importing and exporting country members at meetings held by the International Coffee Council.

2. When the price of coffee rises above a certain level, the quota system will be terminated; and when the price falls, the quota system can be re-entered.

3. When setting individual quotas, the past export performance of coffee exporting member countries and the amount of coffee stocks must be taken into consideration.

4. The export quota system is supported by a mandatory and binding system. Every coffee export from each member country is accompanied by a certificate of origin. Unless the certificate is validated by a coffee export label issued by the International Coffee Organization, the coffee importing country will not accept coffee from the exporting country. When a quota system is in effect, coffee-importing countries must limit the amount of coffee they import from non-member countries. At the same time, coffee exports from coffee exporting countries to non-member countries will also be strictly controlled.

5. The coffee inventory of each coffee exporting member country must be verified every year, and the verification must involve all coffee warehouses in the country. This work is carried out at the end of each year's harvest period.

6. The Coffee Council should coordinate the production policies of various countries to achieve a reasonable balance between the world's coffee supply and demand.

7. The Convention also sets up a fund raised by coffee exporting countries to promote coffee consumption. This includes holding coffee promotion activities in major coffee importing countries; and sponsoring surveys and research on coffee consumption. Promotion funds are also used to fund coffee centers, scientific surveys and training projects to help improve coffee quality and overall image. Over the 20 years the fund has funded coffee promotion activities, coffee exporting countries have contributed approximately US$100 million to the fund.

The International Coffee Organization collects and disseminates all coffee-related data in order to enable the rapid implementation of the economic provisions of the 1983 Convention and to correct any imbalances that may arise. It is also a research center that studies all aspects of coffee production, sales and consumption. Statistical information from member countries and control systems is entered into computers for rapid query and analysis. The coffee organization has also established a public database service system-Coffee Online, which provides extensive information about coffee.

The quota and control system under the 1983 Convention continued to function until February 1986, when coffee prices rose beyond a critical point. In accordance with the provisions of the Convention, the Coffee Organization continues to play its full role during the non-quota control period. In December 1986, coffee market prices dropped again to a critical point where the quotas and controls system was reactivated. After lengthy negotiations, the caps and controls system was reactivated on 6 October 1987 and lasted until 4 July 1989. The Council realized that on October 1, 1989, when the 1983 Convention expired, it would be impossible to reach a new Convention in time. It was therefore decided to propose to the member governments that the validity period of the 1983 Convention be extended from October 1, 1989 to September 30, 1991, during which the quota and control system, inventory verification and relevant production policy provisions would be suspended. was also abolished. In addition to this, the Council decided to cease activities to promote the Fund.

The member states accepted the Council’s recommendation and the 1983 Convention was officially extended. The purpose of extending the Convention is to give member states and the Council time to negotiate for a new Convention.

In the first year of the Extension Convention, members continued to look for solutions to problems existing in the operation of the 1983 Convention. They launched a new round of negotiations, but despite the strong political will and constructive spirit of all member states, the negotiations did not yield results. In this case, the 1983 Convention was extended to September 30, 1992, so that member states could have time to continue negotiations to establish the framework of a new international coffee convention.

International Coffee Convention 1994

As a result of the decline in coffee prices in 1990-1991 and 1991-1992, the negotiation process for the new Convention received new impetus, so the Council It was agreed that the 1983 Convention would be extended until September 30, 1993. At the same time, the Council decided to set up a working group to conduct a comprehensive review and examination of all suggestions and opinions on cooperation on coffee issues. Separately, the Coffee Organization has established a consultative group to draft a new convention based on a universal export quota system. Despite extensive consultations on all sides, it was impossible to reach a satisfactory convention before the deadline of March 31, 1993. Therefore, the Council decided in June 1993 to extend the 1983 Convention again to September 30, 1994, to gain time for reaching a new convention. This time, member states are committed to negotiating a new convention that does not start with regulating coffee prices. This negotiation was successful, and the new International Coffee Convention finally came into effect on October 1, 1994.

1994 International Coffee Convention: Under the guidance of the 1994 Convention, the current work areas of the Coffee Organization are:

1. Provide a high-level forum to discuss world coffee economic issues .

2. Improve the transparency of the coffee market by collecting and disseminating objective world coffee market information, including (1) issuing a new "Coffee News" (published separately in the four official languages ??of the organization). ⑵ Introduce statistical data reading services, ⑶ cooperate with Dow Jones to develop an Internet website related to coffee, and ⑷ publish coffee profile analysis for major coffee producing and consuming countries.

3. Realize the role of the established international coffee commodity group and propose coffee development projects that can be funded by commodity financing (CommonFundForCommodities).

4. Establish a research project to study issues related to the prosperity of the global coffee industry, such as marketing systems and encouraging consumption.

5. Promote the sustainable management of coffee resources and resource use by carrying out activities and strengthening communication.

6. Hold seminars on major current issues related to coffee.

7. Promote the exchange of information between the member states of the organization and representatives of the private sector. This exchange can take place in regular academic meetings between experts, mainly discussing issues related to coffee, such as those affecting coffee. Market factors and research on coffee and health.

The organization has now received approval from CommonFundForCommodities to launch a project totaling US$30 million to address areas such as improving coffee quality, controlling pests, and improving the coffee market structure. The problem. Meanwhile, a $15 million project is in the works. Research work in related fields is ongoing, such as the determination and changes of coffee prices, the establishment of organic coffee and global coffee research networks, and special lectures on coffee and its impact on the environment are also being held continuously. A new organization, the United Coffee Industry and Trade Forum, has been established to allow the private sector to express its views and engage industrial organizations in coffee-producing and consuming countries on coffee issues of common concern.

The International Coffee Organization also uses the residual wealth of the promotion funds generated under the 1976 and 1983 Conventions to carry out promotion activities in new markets, especially in China and Russia, two countries with strong coffee production bases. There is great potential in consumption.