The Inter-American Coffee Agreement (IAC) is an international agreement between coffee-producing countries in the Americas, focused on promoting stability in the coffee market and improving the livelihoods of coffee farmers.
The agreement was first signed in 1962 and has since undergone several revisions, the most recent of which was in 2001. Currently, the IAC includes 14 member countries, including Brazil, Colombia, Costa Rica, Mexico, and the United States.
One of the primary goals of the IAC is to regulate the supply and demand of coffee in the market. This is achieved by setting export quotas for member countries, which helps to prevent oversupply and ensure stable prices for coffee farmers.
Additionally, the IAC seeks to improve the quality of coffee produced by member countries. This is done through the establishment of quality standards and the promotion of sustainable production practices. By improving the quality of coffee, member countries can command higher prices in the market and improve the livelihoods of their farmers.
The IAC also provides a platform for member countries to collaborate and share knowledge and resources. This has led to the development of programs focused on research and development, training for coffee farmers, and the promotion of coffee as a cultural and economic resource.
While the IAC has been successful in promoting stability in the coffee market and improving the livelihoods of coffee farmers, it has faced challenges in recent years. One of the main challenges has been the increasing competition from non-member countries, particularly in Asia and Africa.
Despite these challenges, the IAC remains an important agreement for coffee-producing countries in the Americas. Through continued collaboration and innovation, member countries can work together to address new challenges and ensure the long-term sustainability of the coffee industry.