What are stocks in the green coffee trade?

Stocks refer to the physical inventory of green coffee held at any point in the supply chain - in warehouses at origin, in transit, in importing country warehouses, or in roastery storage. At a global level, total coffee stocks are a key indicator of supply and demand balance and influence price formation on the C-Market.

The ICO distinguishes between stocks in exporting countries (held by producers, processors, traders, and exporters) and stocks in importing countries (held by importers, roasters, and traders). Changes in global stocks - whether building or drawing down - are closely tracked as a signal of supply tightness or surplus. Low global stocks tend to push prices higher; high stocks indicate ample supply and can suppress prices.

For roasters and buyers, the more immediate practical meaning of stocks is the inventory of green coffee they have on hand or committed. Managing green coffee stocks involves balancing freshness (coffee held too long degrades), capital efficiency (too much stock ties up cash), and supply security (too little leaves you vulnerable to disruption or price spikes). Understanding how global stock levels affect the C-Market helps explain why green coffee prices can move independently of the quality of any individual lot.