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  • Definitions related to supply

    Supply is generally defined as the sum of production in a given coffee year plus stocks carried over from the previous year.

    Exportable supply
    , however, is defined as supply minus domestic consumption and an amount deemed to be required for working stocks.
    The definition of working stocks is imprecise as it relates to the volume of coffee required to maintain a steady and planned flow of exports to the market. It is generally perceived as the amount of coffee in the pipeline in an exporting country at any one time.

    Harvesting and export patterns vary from country to country, so working stocks are not defined as a fixed percentage or proportion of a country’s production or export capacity, but rather as an individual amount unique to every country. In many respects the calculation of working stocks is arbitrary, but it is generally based on historical data for each country.

    Exportable production
    is total annual production less domestic consumption (see 01.02.06) in producing countries. Availability for export is equivalent to the carry-over stocks from the previous year plus exportable production of the current year. Any difference between exportable production and actual exports (surplus or shortfall) results in an adjustment up or down of the carry-over stocks to the following year.