Coffee stocks in exporting countries have declined to 17.4 million bags in the 2011-12 season, their lowest levels since International Coffee Organisation (ICO) began keeping records, the London-based body of coffee exporting and importing countries said.
Opening stocks of coffee - the world’s second most traded commodity after crude oil - stood at 18.45 million bags of 60 kg each in the 2010-11 coffee season (October-September).
“World stocks have been significantly eroded due to the high exports recorded in calendar year 2011. On the basis of information provided by members, the volume of opening stocks in exporting countries in crop year 2011-12 is around 17.4 million bags, the lowest on record,” ICO said.
The relatively high prices seen over the last two years have encouraged strong export performance and a reduction in stocks, the intergovermental body added.
World coffee exports in calendar year 2011 rose by 8 per cent to 103.68 million bags compared to 95.85 million bags in 2010 calender year.
Similarly, worldwide shipments of coffee rose by 11 per cent to an all-time high of 104.5 million bags in the 2010-11 coffee year from 94.3 million bags in the 2009-10 coffee year.
However, ICO said that accumulation of stocks in importing countries has eased concerns over the rise in prices of the commodity.
“Inventories in importing countries on the other hand, have increased to a relatively healthy level of 22.3 million bags,” it added.
This accumulation has eased concerns regarding the limited supply of certain origins (coffee), contributing towards the downward trajectory of prices since their peak in early May 2011, ICO noted.