ICO Monthly Coffee Market Report June 2013 Coffee prices fell sharply in June 2013, as market fundamentals, combined with an uncertain macroeconomic outlook, drove the ICO composite indicator price to its lowest level since September 2009. The market remains well supplied with coffee, with total exports for the first eight months of coffee year 2012/13 (October to May) reaching 75.7 million bags, compared with 72 million in the same period last year. Moreover, commodity prices in general declined over the course of the month, mostly due to negative economic news from China and the United States. Given current price trends, there is a diminishing incentive for farmers to invest in their crops, and the use of inputs such as fertilizers and labour will likely be reduced. This could potentially have a negative impact on production volumes and quality over the next couple of years, resulting in increased price volatility and a less sustainable agricultural value chain. Th...