What Is the International Coffee Organization?

If you’ve ever wondered who helps keep coffee prices stable, ensures fair trade practices, or funds coffee research worldwide, the answer lies with a little-known but powerful intergovernmental group: the International Coffee Organization.

The ICO, founded in 1963 in London, is a global forum for coffee exporting and importing countries. It implements the International Coffee Agreement and works to improve the coffee industry through international cooperation—impacting over 50 producer nations and two-thirds of the world’s coffee market.

What Is the International Coffee Organization?

The International Coffee Organization (ICO) is an intergovernmental body established in 1963 and headquartered in London. It includes both coffee-exporting and -importing countries. Its core mission is to implement the International Coffee Agreement and foster international collaboration to enhance the global coffee sector. The ICO serves as a platform where producing and consuming nations align on policies that affect the coffee trade and industry development.

Why Was the ICO Created?

Coffee is one of the most traded commodities in the world, with around one million bags produced annually across fifty countries. It supports jobs for roughly 100 million people globally, and many coffee-producing nations rely heavily on it—often deriving over 80% of their export earnings from coffee. The ICO’s export members account for over 97% of global coffee production, while its import members represent about 65% of the $500+ billion annual coffee retail market. Both developing and developed countries participate, adhering to shared guidelines to ensure major decisions affecting coffee receive broad support.

How Has the ICO Impacted the Coffee Industry?

Historically, the ICO managed a quota system to balance supply and demand, helping stabilize prices. Today, it employs more modern strategies, including stimulating demand in emerging markets, reducing crop losses from pests, and improving marketing and quality. These efforts aim to enhance long-term competitiveness for coffee growers and contribute to poverty reduction.

The ICO makes key contributions in several specific areas:

• It facilitates high-level government dialogues to coordinate coffee policies and resolve disputes.
• It funds coffee development projects—totaling $31 million to date—focused on quality improvement, pest control, and marketing, supported by the Common Fund for Commodities.
• It has launched innovative coffee promotion campaigns in emerging markets like China and Russia.
• It maintains a global coffee research network, enabling member countries to access international research findings.
• It provides critical market intelligence, including reports, economic models, in-depth studies, and profiles on over 20 countries, processing around 130,000 data points annually to ensure transparency.
• It has built a strong Private Sector Consultative Board to collaborate on food safety and related issues.
• It promotes sustainable coffee production and environmental standards through expert research and discussions.
• It partners with global organizations such as UNEP, CABI Bioscience, FAO, and ITC/WTO/UNCTAD.
• It developed the icoffee internet platform in collaboration with Dow Jones, offering up-to-date coffee industry news and services.

How Is the ICO Structured?

The ICO functions through three main bodies, providing a forum for regular meetings between importers and exporters to ensure smooth implementation of coffee agreements.

The International Coffee Council

This is the ICO’s highest authority, composed of all member countries. It has the final say on extending or ending the International Coffee Agreement, approving annual budgets, admitting new members, and resolving disputes among countries.

The Executive Committee

Consisting of eight exporting and eight importing member countries elected annually (with potential for re-election), this committee handles the ICO’s daily operations under the Council’s guidance. It reviews all materials before they reach the Council to streamline decision-making.

The Executive Director

Nominated by the Executive Committee and appointed by the Council, the Executive Director manages the ICO’s operations and is accountable for all duties under the agreement. The Executive Director’s staff reports solely to them.

How Often Does the ICO Meet?

The ICO holds about 15 days of formal meetings per year. The Council typically meets twice annually for 3–5 days each. Various working groups and committees are formed to address specific topics and convene as needed throughout the year.

Where Is the ICO Based?

The ICO’s permanent headquarters is a four-story building in central London. It features three meeting rooms equipped with simultaneous interpretation in the organization’s four official languages. The largest room accommodates up to 84 delegates.

How Can I Contact the ICO?

You can reach the Executive Director of the ICO at:
Address: 22 Berners Street
London W1P 4DD, England
Phone: 0044-20-75808591
Fax: 0044-20-75806129
Email: info@ico.org

Frequently Asked Questions

What does the ICO actually do for coffee producers?

The ICO supports coffee producers by stabilizing markets, funding research and development projects, improving market transparency, and advocating for fair trade policies. It also helps producers access better marketing strategies, pest management solutions, and quality improvement initiatives, particularly in developing countries where coffee is a major part of the economy.

How many countries are involved with the ICO?

The ICO includes both exporting and importing member countries, representing over 50 coffee-producing nations and covering around 97% of global coffee production. Its import members make up approximately 65% of the global retail coffee market, which exceeds $500 billion annually.

What is the International Coffee Agreement?

The International Coffee Agreement is a treaty implemented by the ICO that sets guidelines for international coffee trade, pricing policies, and market stability efforts. It is periodically updated and serves as the foundation for ICO-led cooperation between coffee-producing and -consuming countries.

How does the ICO help stabilize coffee prices?

While it once used a quota system to manage supply, the ICO now employs strategies like boosting demand in emerging markets, improving coffee quality, reducing crop loss from pests, and enhancing marketing. These measures aim to create balanced supply-demand dynamics and support long-term price stability for farmers.

Where is the ICO headquartered and can I visit?

The ICO is headquartered in a four-story building in central London. The facility includes meeting spaces with interpretation equipment and can host up to 84 delegates. While it's primarily a governmental and intergovernmental hub, inquiries can be made through their official contact details.