JavaScript hint:

Please activate JavaScript on your browser to be able to use all functions on this website.

More Commodities - Coffee

A drop in coffee exports

July 22, 2017 at 10:38 AM , Mark Overseas

Water, GST all played against coffee

The coffee exports are likely to decline by 20% due to lack of orders from the overseas buyers.
As per Coffee Board’s export data for the period from January 1 to July 17, 2017, the total export volumes were at 216’926 tonnes –– a marginal drop compared to same period last year. But there are expectations of the exports to drop in the coming years.
A big misunderstanding causes the coffee industry to suffer loss and a decline in the exports. In the start of the year there were expectation of a 30% fall in the production hence, buyers sourced coffee from other countries as they did want to pay a higher prices due low arrivals but it was only later that we got to know there was only a 10% decline in the production.
The Global price of Robusta coffee is around $2’126 per tonne.
The exports are hoping to export better next year but this seems a bit of an issue to lack of rain the coffee growing regions. And coupled with that decline in the level of groundwater as well.
Coffee auctions are held once a week in Bangalore but nor much movement or buying happens as traders are still confused over the nil duty and 5% tax rates for coffee beans under the new tax regime.

View related articles

Go to the News Overview

Coffee

Jun 18, 2019

Coffee: Consumption to reach new record in 2019/20

WASHINGTON, DC. According to the FAS/USDA’s recently issued coffee biannual, global production is set to decline in 2019/20. The USDA has, in addition, revised its estimates for this season’s ending stocks and anticipates a record consumption.

Coffee

Jun 12, 2019

Coffee: Exports are on the rise

WASHINGTON DC. The USDA Foreign Agricultural Service has recently issued the coffee annuals for Tanzania, Nicaragua and Ethiopia as well as Mexico. The export figures are mainly on the rise.

Coffee

Mar 17, 2018

Coffee to turn sweeter

Rains in Karnataka seen for a good coffee crop.

Alerts and Regulations

Jan 30, 2018

Coffee: Brazil expects record crop in 2018

Experts say that a record crop in 2018 can help the country to regain lost shares in the world market. Global supply to exceed demand.

What are incoterms?

Incoterms are internationally recognized trade clauses that facilitate the trade in goods with the help of standardized contract formulas. They regulate the distribution of costs and obligations and thus prevent misunderstandings and disputes. They must always be agreed by both contracting parties and confirmed by signing the contract.

Overview of the incoterms

Please note that this is only a rough overview of the Incoterms. For a comprehensive description of the Incoterms, please visit the website of the International Chamber of Commerce.

EXW - Ex-Works (ex works)
The seller must ensure access to the goods at another named location (e.g. factory, factory, warehouse, etc.). The buyer organizes the loading and the transport and bears the costs and risks.

FCA – Free Carrier (free carrier)
The seller must deliver the goods to the buyer's carrier at a location specified by the buyer (for shipping or collection). The seller also undertakes the export customs declaration. The buyer assumes the risk from the moment the goods are handed over to the carrier.

FOB – Free on Board (free on board)
The seller assumes all costs and risks until the goods have been loaded onto the ship. The seller is also responsible for export clearance. The buyer takes responsibility as soon as the goods are on board.

CIF – Cost, Insurance And Freight (Costs, insurance and freight to the port of destination)
The seller assumes all costs and risks until the goods have been loaded onto the ship. The seller bears the costs for packaging and postage for export. The seller also takes out insurance against the buyer's risk of losing or damaging the goods during carriage.

DAP – Delivered At Place (delivered named place)
The seller assumes the costs and risks for the transport of goods to an agreed address.

DAT - Delivered at Terminal (delivered terminal)
The seller must make the goods cleared for import available to the buyer at the terminal of the named port of destination at the agreed time.

CPT – Carriage Paid To (freight paid by)
The seller must make the goods cleared for import available to the buyer at the terminal of the named port of destination at the agreed time.

DDP – Delivered Duty Paid (duty paid free)
The seller delivers the goods to a destination at his own risk and expense. He takes care of all the formalities and bears all costs and import duties.

CFR – Cost and Freight (cost and freight)
The seller assumes all costs and risks until the goods have been loaded onto the ship. The seller has to conclude the transport contract and bears the costs and freight for transporting the goods to the named port of destination or import terminal

CIP – Carriage And Insurance Paid To (freight and insurance paid by)
The seller delivers the goods to the carrier or another person named by the seller to an agreed location. The seller bears the costs and risks for the transport to the specified destination, as well as for the freight insurance. The buyer regulates the import handling and import taxation.

FAS – Free Alongside Ship (free alongside ship)
The seller delivers the goods to the carrier or another person named by the seller to an agreed location. The seller bears the costs and risks for the transport to the specified destination, as well as for the freight insurance. The buyer regulates the import handling and import taxation.