Coffee is Commerce: The Complete Guide to Coffee Exporting, Importing, and Buying

Navigating the global coffee market, C market, specialty coffee, and transparency in coffee trade

Sep 01, 2025

Introduction: Coffee as a Global Industry

Welcome to the fourth installment of our "Coffee Is" series, where we delve into coffee through the lens of commerce. Coffee commerce encompasses the intricate web of exporting, importing, and trading that transforms harvested beans into the cups we cherish. This chapter explores the dynamics of the C market versus specialty coffee, the logistics of green coffee buying, and the critical role of transparency in ensuring fair and sustainable coffee trade.

Understanding coffee commerce is essential for roasters, importers, and enthusiasts alike. It reveals how global markets influence prices, how specialty coffee differentiates itself from commodity trading, and why ethical practices in exporting and importing are vital for the industry's future. From the bustling ports of origin countries to the warehouses of importing nations, coffee commerce drives the economic engine of this beloved beverage.

The C Market: Commodity Coffee Trading

At the heart of coffee commerce lies the C market, a standardized global marketplace for trading coffee futures contracts. Established in 1968, the C market operates out of New York and serves as a benchmark for coffee prices worldwide. Unlike specialty coffee, the C market treats all coffee as a commodity, focusing on contracts for commercial washed coffee delivered in specific quantities and qualities.

Key aspects of the C market include:

• Futures Contracts: Buyers and sellers trade contracts for coffee to be delivered in the future, allowing hedging against price volatility.
• Price Discovery: Supply and demand, influenced by factors like Brazil's harvest cycles, determine spot prices that can fluctuate dramatically.
• Volatility: Prices have ranged from 41 cents to over $4 per pound in recent years, impacting global coffee economics.

The C market represents 90-95% of global coffee trade, providing stability for large-scale operations but often failing to reward quality or sustainability. In contrast, specialty coffee emerges as a reaction to this commoditization, emphasizing distinctiveness and ethical sourcing.

To learn how specialty buyers operate in practice, see our buyer-friendly guides: How to Source Green Coffee from Ethiopia and Best Ethiopian Coffee Exporter, Importer & Supplier.

Case Study: 2024 Price Volatility and What It Meant

The 2024 season saw one of the sharpest price swings in recent memory. Producers who had little access to price risk-management tools experienced sudden income spikes followed by rapid declines. For many smallholders this translated into impossible planning for inputs and labor. Specialty buyers who maintained forward contracts and transparent premiums were able to provide more stable income and preserve long-term partnerships.

Practical takeaway: roasters should consider multi-year contracts or early-payment options to smooth income for producers and secure reliable supply for their roasteries.

Specialty Coffee: Differentiated and Transparent

Defining Specialty Coffee

Specialty coffee transcends the C market by recognizing coffee's unique qualities, origins, and processing methods. It prioritizes traceability, cup excellence, and relationships over standardized contracts. Specialty coffee scoring, using tools like the SCA cupping form, evaluates attributes such as sweetness, balance, and distinctiveness, often scoring 80+ points.

Unlike the C market's anonymity, specialty coffee involves direct connections between producers, exporters, importers, and roasters. This approach ensures that premiums are paid for exceptional quality, social programs, and environmental stewardship, fostering a more equitable coffee commerce ecosystem.

Ethiopian specialty coffee exemplifies this model. When you purchase a traceable lot from Yirgacheffe or Guji, you're not just buying beans - you're buying a story: the specific washing station, the processing method, the altitude, the harvest date. This information enables roasters to communicate value to their customers and justify speciality pricing. It also creates accountability that benefits farmers - when quality commands premiums, there's incentive to invest in better agricultural practices and processing infrastructure.

C Market vs. Specialty: Key Differences

The C market and specialty coffee operate on fundamentally different principles:

• Standardization: C market coffee is uniform; specialty celebrates diversity in flavor and origin.
• Pricing: C market prices are volatile and low; specialty commands premiums based on quality differentials.
• Traceability: C market lacks origin details; specialty emphasizes transparency from farm to cup.

Specialty coffee's growth to 5-10% of global volume highlights a shift toward value-driven commerce, where consumers and buyers seek meaningful connections and sustainable practices.

Coffee Exporting and Importing: Logistics of Global Trade

The Export Process

Coffee exporting begins after milling, where green beans are prepared for international shipment. Exporters, ranging from government-run entities to private companies, source coffee from producers, cooperatives, or mills. They handle logistics like bagging, quality control, and transportation to ports.

Key steps in exporting include:

• Sourcing: Collecting coffee in parchment or green bean form from various entities.
• Processing: Milling, sorting, and bagging into jute bags for shipment.
• Shipping: Transporting via truck to ports, then by sea freight to importing countries.

Free on Board (FOB) pricing covers costs from sourcing to loading onto ships, ensuring exporters profit while supporting upstream partners.

The Import Process

Importing coffee involves receiving shipments at destination ports and managing customs, warehousing, and distribution. Importers like Cafe Imports purchase from exporters, handle logistics, and provide services such as financing and quality assurance.

The import journey includes:

• Receiving: Offloading containers and clearing customs.
• Quality Checks: Sampling and approving pre-ship samples before final payment.
• Distribution: Warehousing and shipping to roasters via Ex Works (EXW) pricing.

Effective coffee importing requires trust, efficient logistics, and a commitment to fair pricing to maintain supply chain integrity.

Green Coffee Buying: Strategies and Transparency

Entities in Green Buying

Green coffee buying involves producers, cooperatives, exporters, importers, and roasters. Producers sell at farmgate prices, cooperatives aggregate for market access, and exporters facilitate international trade. Importers and roasters negotiate based on quality, origin, and impact.

Pricing tiers include:

• Farmgate: Paid to producers, covering production and living costs.
• FOB: Exporter pricing, including sourcing and logistics.
• EXW: Importer pricing, delivering to roasters.

Specialty premiums reward quality, social programs, and certifications, bridging the gap between C market baselines and differentiated value.

The Buying Timeline

Green buying follows a structured process: receiving offers, cupping samples, drafting contracts, milling, approving pre-ship samples, booking logistics, and final payment via cash-against-documents systems. This ensures quality and timely delivery in coffee commerce.

Transparency in Coffee Trade: Building Trust and Accountability

Transparency in coffee commerce means sharing information about pricing, origins, and impacts to foster accountability. It addresses challenges like undocumented farmgate prices and power imbalances, promoting fair compensation and sustainable practices.

Key transparency practices include:

• Data Sharing: Providing breakdowns of payments to producers and supply chain partners.
• Third-Party Verification: Using certifications like B Corp for social and environmental impact.
• Relationship Building: Aligning with partners who share values in ethical coffee commerce.

By prioritizing transparency, the industry can ensure that coffee commerce uplifts producers, protects the environment, and delivers value to consumers, moving beyond extractive practices toward mutual benefit.

Conclusion: The Future of Coffee Commerce

Buyer Checklist & Pricing Waterfall

A short checklist and quick pricing waterfall to understand how money flows:

• Ask for: Farmgate price, premiums, FOB, and any quality bonuses
• Understand: Exporter costs (milling, testing, logistics) versus importer/roaster margins
• Pricing waterfall: Farmgate → Local logistics/milling → Exporter margin → Freight/insurance → Importer margin → Roaster price

Transparency here is crucial request a payment breakdown when possible to ensure fair share for producers.

Coffee commerce is more than transactions; it's a system of relationships, logistics, and ethics that connects global communities. From the volatility of the C market to the nuanced world of specialty coffee, understanding exporting, importing, and green buying empowers stakeholders to drive positive change. Transparency remains the cornerstone, ensuring that every cup reflects fair trade and sustainable practices.

At Ethio Coffee, we champion ethical coffee commerce by sourcing directly from Ethiopian producers, prioritizing transparency, and supporting specialty coffee's growth. Join us in building a more equitable industry.

Continue Your Coffee Education

Now that you understand how coffee moves through global commerce, explore the quality systems that drive value:

• Coffee Is Science - The chemical analysis and sensory evaluation behind specialty grading
• Coffee Is Art - How roasters transform green coffee into the final product
• Direct Trade Partnerships - How we build relationships that benefit Ethiopian farmers