ARCHIVES HISTORIQUES 
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COM (83) 286 
 
 
 
Vol. 1983/0 115 
  
 
Disclaimer  
Conformém ent au règlement (CEE, Euratom) n° 354/83 du Conseil du 1er février 1983 
concernant l'ouverture au public des archives historiques de la Communauté économique 
européenne et de la Communauté européenne de l'énergie atomique (JO L 43 du 15.2.1983, 
p. 1), tel que modifié par le règlement (CE, Euratom) n° 1700/2003 du 22 septembre 2003 
(JO L 243 du 27.9.2003, p. 1), ce dossier est ouvert au public. Le cas échéant, les documents 
classifiés présents dans ce dossier ont été déclassifiés conformément à l'article 5 dudit 
règlem ent. 
In accordance with Council Regulation (EEC, Euratom) No 354/83 of 1 February 1983 
concerning the opening to the public of the historical archives of the European Economic 
Community and the European Atomic Energy Communit y (OJ L 43, 15.2.1983, p. 1), as 
amended by Regulation (EC, Euratom) No 1700/2003 of 22 September 2003 (OJ L 243, 
27.9.2003, p. 1), this file is open to the public. Where necessary, classified documents in this 
file have been declassified in conformity with Article 5 of the aforementioned regulation. 
In Übereinstimmung mit der Verordnung (EWG, Euratom) Nr. 354/83 des Rates vom  1. 
Februar 1983 über die Freigabe der historischen Archive der Europäischen 
Wirtschaftsgemeinschaft und der Europäischen Atomgem einschaft (ABI. L 43 vom  15.2.1983, 
S. 1), geändert durch die Verordnung (EG, Euratom) Nr. 1700/2003 vom 22. Septem ber 2003 
(ABI. L 243 vom 27.9.2003, S. 1), ist diese Datei der Öffentlichkeit zugänglich. Soweit 
erforderlich, wurden die Verschlusssachen in dieser Datei in Übereinstimmung mit Artikel 5 
der genannten Verordnung freigegeben. 
COMMISSION OF THE EUROPEAN COMMUNITIES
C0M183) 286 final  
Brussels, 30 May 1983
Recommendation for a Council Decision
concerning the signing and notification of provisional  
application by the European Economic Community of the  
International Coffee Agreement 1983
(submitted to the Council by the Commission)
C0M(83) 286 final

Explanatory memorandum
Negotiations concerning the new International Coffee Agreement 1983  
were concluded on 16 September 1982 within the framework of the  
International Coffee Council, which groups together 47 exporting  
countries and 24 importing countries. The overall structure of the new  
Agreement is broadly the same as that of the previous 1976 Agreement,  
based on a supply regulation mechanism (export quotas) linked to a price  
range and to a system of import controls, although more flexible elements  
have been introduced, thereby improving it and bringing it up to date.
Such elements include the following :
- the basic quotas are fixed by the Agreement Council for at least two  
coffee years commencing 1  October 1984 and, prior to the end of this  
period, if need be, for the remainder of the duration of the Agreement.  
Should the Council fail to reach a decision, quotas will be suspended  
notwithstanding the other provisions relating to quotas.
Angola is treated as a separate case in order to take account of the  
difficult current situation there following the events which have  
occurred in that country, and in order to safeguard the future.
- a percentage (4.2%) of the overall quota fixed by the Council is  
reserved for all the member countries to which no basic quota is  
allocated. More favourable measures are envisaged in respect of  
two land-locked countries, namely Rwanda and Burundi.
- the provisions relating to the maintenance, suspension and restoration
of quotas will ensure that, to some degree, the quota system will operate  
automatically from year to year in the event of difficulties within the  
Council preventing a decision from being taken. Also, the Executive  
Director is under certain circumstances empowered to fix an overall  
annual quota on the basis of consumption, in order to preserve the  
continuity of the system and avoid a possible market collapse.
- the declaration of quota shortfalls to ensure their re-distribution is  
intended to avoid quotas which might not correspond to actual supplies  
of coffee available for export and will have the effect of guaranteeing  
regular supplies to importing member countries.

2/
- the possible adoption by the Council of a selective adjustment system  
for quotas in line with price movements for the main categories of  
coffee is now possible, following a study of the feasibility of such  
a system.
- the exporting members undertake to adopt and implement a production  
policy aimed at attaining the objectives of the Agreement.
- the duration of the Agreement will be for six years i.e. until September  
1989.
2. The new Agreement was negotiated by the Community and its Member States on  
the basis of a previously established joint position (1). The amendments  
appearing in the new 1983 Agreement were accepted by the Community and the  
Member States in the course of the negotiations.
3. The Agreement is open for signing between 1  January and 30 June 1983.
The Commission proposes that the Community and its Member States should  
sign it as soon as possible.
4. In view of the periods of time necessary for the conclusion of the  
constitutional procedures in certain Member States, the Commission also  
proposes that the Community and its Member States should notify, by 30  
September 1983, their intention to apply the Agreement on a provisional  
basis pending the completion of the procedures necessary for its  
conclusion.
It should be noted that the Community is the world's biggest consumer  
of coffee, with around 40% of world import trade, and that the percentage·  
of votes held by the Member States of the EEC out of the minimum of  
80% of the votes necessary on the importers' side in order for the  
Agreement to enter into force is crucial.
Moreover, coffeee, with a trade totalling around 12 000 million Î a year, 
represents one of the most important commodities for the export earnings  
of many developing countries.
(1) See Council Document N° 4467/82 Proba 4 of 17 January 1982.

3/
The political importance for the Community of signing the Agreement and  
of notifying its provisional application prior to the opening of the  
Belgrade session of the United Nations Conference on Trade and Development  
its therefore significant.
In conclusion, the Commission recommends that the Council adopt the  
draft decision relating to the signing and notification of provisional  
application by the European Economic Community of the International  
Coffee Agreement 1983.

COUNCIL DECISION
concerning the signing and notification of provisional  
application by the Eurppean Economic Community of the  
International Coffee Agreement 1983
THE COUNCIL OF THE EUROPEAN COMMUNITIES,
Having regard to the Treaty establishing the European Economic Community, and  
in particular Article 113 thereof.
Having regard to the recommendation from the Commission,
Whereas the International Coffee Agreement 1983 is open for signing until  
30 June 1983; whereas the said Agreement represents an instrument for regulating  
international trade, having as its main object to balance supply and demand for  
coffee in order to stabilize the price of that product in the light of market  
conditions; whereas application of the said Agreement by the Community will  
contribute to the realization of its common commercial policy,
Whereas the Community should therefore sign the said Agreement and notify the  
Secretary-General of the United Nations of its intention to apply it on a provi­
sional basis, subject to its subsequent approval,
HAS DECIDED AS FOLLOWS
Apt i  cle 1
In accordance with Article 59 of the International Coffee Agreement 19C3, the  
Community will sign the said Agreement by 30 June 1983.
Article 2
In accordance with Article 61 of the International Coffee Agreement 1983, the  
Community will deposit with the Secretary-General of the United Nations, by  
30 September 1983, the notification annexed to this Decision, to the effect that  
the Community will implement the said Agreement on a provisional basis, in its  
capacity as an importing member, when the Agreement enters into force in accordance  
with the said Article.
Article 3
The President of the Council is hereby authorized to designate the person  
empowered to sign the Agreement and to deposit the notification of provisional  
application of the Agreement.
The texts of the notification of application and of the Agreement are annexed  
to this Decision (j).
Done at Brussels, For the Council
The President
(1) The text of the International Coffee Agreement 1983 will be published as an  
addendum to this document.

ANNEX
Notification of provisional application of the International Coffee Agreement 1983
In accordance with Article 61 of the International Coffee Agreement, the Council  
of the European Communities hereby notifies the Secretary-General of the United  
Nations, the depositary of the Agreement, that it intends to implement the  
institutional procedure required for the approval of the said Agreement and that  
the Community will apply the Agreement on a provisional basis, in its capacity  
as a consumer member, when it enters into force in accordance with the said  
Arti cle.

INTERNATIONAL COFFEE
ORGANIZACION INTERNACIONAL DEL CAFE  
ORGANIZACÄO INTERNACIONAL DO CAFÉ  
ORGANISATION INTERNATIONALE DU CAFE
J ^ 2 2 2 § § 3 3 2 2 2 S 2 S 2 2 !!2 iÄ H !i!!!i2 3 2 iSORGANIZATION
INTERNATIONAL
COFFEE
AGREEMENT
1983
COPY OF AUTHENTICATED TEXT
October 1982  
London, England

CONTENTS
Article Page
Preamble 1
CHAPTER I - OBJECTIVES
1 Objectives 2
2 General undertakings by Members 3
CHAPTER II - DEFINITIONS
3 Definitions 5
CHAPTER III - MEMBERSHIP
4 Membership in the Organization 9
5 Separate membership in respect of
designated territories 10
6 Group membership upon joining the Organization 10
7 Subsequent group membership 13
CHAPTER IV - ORGANIZATION AND ADMINISTRATION
8 Seat and structure of the
International Coffee Organization 14
9 Composition of the International Coffee Council 14
10 Powers and functions of the Council 14
11 Election of the Chairman and Vice-Chairmen
of the Council 15
12 Sessions of the Council 16
13 Votes 16
14 Voting procedure of the Council 18
- i -

»
ArticlePage,
15 Decisions of the Council18
16 Composition of the Board19
17 Election of the Board20
18 Competence of the Board21
19 Voting procedure of the Board22
20 Quorum for the Council and the Board23
21 The Executive Director and the staff23
22 Cooperation with other organizations24
CHAPTER V - PRIVILEGES AND IMMUNITIES  
23 Privileges and immunities 25
CHAPTER VI - FINANCE
24 Finance 27
25 Determination of the Budget and
assessment of contributions 27
26 Payment of contributions 28
27 Audit and publication of accounts 29
CHAPTER VII - REGULATION OF EXPORTS AND IMPORTS
28 General provisions 30
29 Markets subject to quota 30
30 Basic quotas 30
31 Exporting Members exempt from basic quotas 31
32 Provisions for the adjustment of basic quotas 33
33 Provisions for the continuation, suspension
and réintroduction of quotas 33
- ii -

Article Page
34 Setting of the global annual quota 36
35 Allocation of annual quotas 37
36 Quarterly quotas 38
37 Adjustment of annual and quarterly quotas 39
38 Price measures 39
39 Additional measures for the adjustment of quotas 40
40 Shortfalls and undershipments 41
41 Export entitlement of a Member group 41
42 Compliance with quotas 42
43 Certificates of Origin and other forms of Certificates 43
44 Exports not charged to quotas 45
45 Regulation of imports 46
CHAPTER VIII - OTHER ECONOMIC PROVISIONS
46 Measures related to processed coffee 48
47 Promotion 48
48 Removal of obstacles to consumption ■  51
49 Mixtures and substitutes 52
50 Production policy 53
51 Policy relative to coffee stocks 53
52 Consultation and cooperation with the trade 54
53 Information 54
54 Studies 55
55 Special Fund 56
56 Waiver 58
- iii -

Article Page
CHAPTER IX - CONSULTATIONS, DISPUTES AND COMPLAINTS
57 Consultations 59
58 Disputes and complaints 59
CHAPTER X - FINAL PROVISIONS
59 Signature 62
60 Ratification, acceptance, approval 62
61 Entry into force 63
62 Accession 64
63 Reservations 65
64 Extension to designated territories 65
65 Voluntary withdrawal 66
66 Exclusion 66
67 Settlement of accounts with withdrawing
or excluded Members 67
68 Duration and termination 68
69 Amendment 69
70 Supplementary and transitional provisions 70
71 Authentic texts of the Agreement 70
Annexes
1 People's Republic of Angola 73
2 Exporting Members subject to the provisions
of Article 31 75
3 Share of individual Members in the global quota
for exporting Members entitled to a basic quota
in coffee year 1983/84 77
- iv -

INTERNATIONAL COFFEE AGREEMENT 1983
Preamble
The Governments party to this Agreement,
Recognising the exceptional importance of coffee to the economies of  
many countries which are largely dependent upon this commodity for their  
export earnings and thus for the continuation of their development  
programmes in the social and economic fields;
Considering that close international cooperation on trade in coffee  
will foster the economic diversification and development of coffee-  
producing countries, will improve political and economic relations  
between producers and consumers and will provide for increasing consumption  
of coffee;
Recognising the desirability of avoiding disequilibrium between  
production and consumption which can give rise to pronounced fluctuations  
in prices harmful both to producers and to consumers;
Believing that international measures can assist in correcting the  
effects of such disequilibrium, as well as help to ensure an adequate  
level of earnings to producers through remunerative prices;
Noting the advantages derived from the international cooperation  
which resulted from the operation of the International Coffee  
Agreements 1962, 1968 and 1976;
Have agreed as follows :

-  2 -
CHAPTER I - OBJECTIVES
Article 1  
Obj ectives
The objectives of this Agreement are:
(1) to achieve a reasonable balance between world supply and demand on  
a basis which will assure adequate supplies of coffee at fair prices to  
consumers and markets for coffee at remunerative prices to producers and  
which will be conducive to long-term equilibrium between production and  
consumption;
(2) to avoid excessive fluctuations in the levels of world supplies,  
stocks and prices which are harmful to both producers and consumers;
(3) to contribute to the development of productive resources and to the  
promotion and maintenance of employment and income in Member countries,  
thereby helping to bring about fair wages, higher living standards and  
better working conditions;
(4) to increase the purchasing power of coffee-exporting countries by  
keeping prices in accordance with the provisions of paragraph ( 1) of this  
Article and by increasing consumption;
(5) to promote and increase the consumption of coffee by every possible  
means;
(6) in general, in recognition of the relationship of the trade in coffee  
to the economic stability of markets for industrial products, to further  
international cooperation in connection with world coffee problems.

- 3 -
Article 2
General undertakings by Members
(1) Members undertake to conduct their trade policy in such a way that  
the objectives set out in Article 1 may be attained. They further  
undertake to achieve these objectives by strict observance of the  
obligations and provisions of this Agreement.
(2) Members recognise the need to adopt policies which will maintain  
prices at levels which will ensure adequate remuneration to producers and  
seek to ensure that prices of coffee to consumers will not hamper a  
desirable increase in consumption. When such objectives are being  
achieved Members shall abstain from multilateral actions which could  
affect the price of coffee.
(3) Exporting Members undertake not to adopt or maintain any governmental  
measures which would permit the sale of coffee to non-members on terms  
commercially more favourable than those which they are prepared to offer  
at the same time to importing Members, taking into account normal trade  
practices.
(4) The Council shall review periodically compliance with the provisions  
of paragraph (3) of this Article and may require Members to supply  
appropriate information in accordance with the provisions of Article 53.
(5) Members recognise that Certificate^ of Origin are a vital source of  
information on the trade in coffee. During periods when quotas are  
suspended, the responsibility for ensuring the proper use of Certificates

- 4 -
nf Origin rests with exporting Members. However, importing Members,  
while under no obligation to demand that Certificates accompany  
consignments of coffee when quotas are not in effect, shall cooperate  
fully with the Organization in the collection and verification of  
Certificates relating to shipments of coffee received from exporting  
Member countries in order to ensure that the maximum information is  
available to all Members.

- 5 -
CHAPTER II - DEFINITIONS
Article 3  
Definitions
For the purposes of this Agreement:
(1) "Coffee" means the beans and cherries of the coffee tree, whether  
parchment, green or roasted, and includes ground, decaffeinated, liquid  
and soluble coffee. These terms shall have the following meaning:
(a) "green coffee" means all coffee in the naked bean form before  
roasting;
(b) "dried coffee cherry" means the dried fruit of the coffee tree;  
to find the equivalent of dried coffee cherry to green coffee,  
multiply the net weight of the dried coffee cherry by 0.50;
(c) "parchment coffee" means the green coffee bean contained in the  
parchment skin; to find the equivalent of parchment coffee to  
green coffee, multiply the net weight of the parchment coffee  
by 0.80;
(d) "roasted coffee" means green coffee roasted to any degree and  
includes ground coffee; to find the equivalent of roasted coffee
to green coffee, multiply the net weight of roasted coffee by 1.19;
(e) "decaffeinated coffee" means green, roasted or soluble coffee  
from which caffeine has been extracted; to find the equivalent  
of decaffeinated coffee to green coffee, multiply the net weight  
of the decaffeinated coffee in green, roasted or soluble form by  
1.00, 1.19 or 2.6 respectively;

-  6 -
(f) "liquid coffee" means the water-soluble solids derived from  
roasted coffee and put into liquid form; to find the equivalent  
of liquid to green coffee, multiply the net weight of the dried  
coffee solids contained in the liquid coffee by 2.6;  and
(g) "soluble coffee" means the dried water-soluble solids derived  
from roasted coffee; to find the equivalent of soluble coffee  
to green coffee, multiply the net weight of the soluble coffee  
by 2.6.
(2) "Bag" means 60 kilogrammes or 132.276 pounds of green coffee; "tonne"  
means a metric tonne of 1,000 kilogrammes or 2,204.6 pounds; and "pound"  
means 453.597 grammes.
(3) "Coffee year" means the period of one year, from 1 October to  
30 September.
(4) "Organization", "Council" and "Board" mean, respectively, the  
International Coffee Organization, the International Coffee Council and  
the Executive Board.
(5) "Member" means a Contracting Party, including an intergovernmental  
organization referred to in paragraph (3) of Article 4; a designated  
territory or territories in respect of which separate membership has been  
declared under the provisions of Article 5; or two or more Contracting  
Parties or designated territories, or both, which participate in the  
Organization as a Member group under the provisions of Article 6 or 7.
(6) "Exporting Member" or "exporting country" means a Member or country,  
respectively, which is a net exporter of coffee; that is, a Member or  
country whose exports exceed its imports.

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(7) "importing Member" or "importing country" means a Member or country,  
respectively, which is a net importer of coffee; that is, a Member or  
country whose imports exceed its exports.
(8) "Producing Member" or "producing country" means a Member or country,  
respectively, which grows coffee in commercially significant quantities.
(9) "Distributed simple majority vote" means a majority of the votes cast  
by exporting Members present and voting and a majority of the votes cast  
by importing Members present and voting, counted separately.
(10) "Distributed two-thirds majority vote" means a two-thirds majority of  
the votes cast by exporting Members present and voting and a two-thirds  
majority of the votes cast by importing Members present and voting,  
counted separately.
(11) "Entry into force" means, except as otherwise provided, the date on  
which this Agreement enters into force, whether provisionally or  
definitively.
(12) "Exportable production" means the total production of coffee of an  
exporting country in a given coffee or crop year, less the amount destined  
for domestic consumption in the same year.
(13) "Availability for export" means the exportable production of an  
exporting country in a given coffee year, plus accumulated stocks from  
previous years.
(14) "Export entitlement" means the total quantity of coffee which a Member  
is authorised to export under the various provisions of this Agreement, but  
excluding exports which under the provisions of Article 44 are not charged  
to quotas.

-  8 -
(15) "Shortfall" means any amount by which the annual export entitlement  
of an exporting Member in a given coffee year exceeds the amount of  
coffee as identified within the first six months of the coffee year,  
which:
(a) the Member has available for export, calculated on the basis  
of stocks and forecast crop; or
(b) the Member states that it intends to export to quota markets  
in that coffee year.
(16) "Undershipment" means the difference between the annual export  
entitlement of an exporting Member in a given coffee year and the amount  
of coffee which that Member has exported to quota markets in that coffee  
year, unless this difference is a "shortfall" as defined in paragraph (15)  
of this Article.

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CHAPTER III - MEMBERSHIP
Article 4
Membership in the Organization
(1) Each Contracting Party, together with those territories to which this  
Agreement is extended under the provisions of paragraph (1) of Article 64,  
shall constitute a single Member of the Organization, except as otherwise  
provided for under the provisions of Articles 5, 6 and 7.
(2) A Member may change its category of membership on such conditions as  
the Council may agree.
(3) Any reference in this Agreement to a Government shall be construed as  
including a reference to the European Economic Community, or any inter­
governmental organization having comparable responsibilities in respect of  
the negotiation, conclusion and application of international agreements,  
in particular commodity agreements.
(4) Such intergovernmental organization shall not itself have any votes  
but in the case of a vote on matters within its competence it shall be  
entitled to cast collectively the votes of its Member States. In such  
cases, the Member States of such intergovernmental organization shall not  
be entitled to exercise their individual voting rights.
(5) The provisions of paragraph (1) of Article 16 shall not apply to such  
intergovernmental organization but it may participate in the discussions  
of the Executive Board on matters within its competence. In the case of a  
vote on matters within its competence, and notwithstanding the provisions of  
paragraph (1) of Article 19, the votes which its Member States are entitled  
to cast in the Executive Board may be cast collectively by any one of those  
Member States.  '

-  10  -
Artide 5
Separate membership in respect of  
designated territories^
Any Contracting Party which is a net importer of coffee may, at any  
time, by appropriate notification in accordance with the provisions of  
paragraph (2) of Article 64, declare that it is participating in the  
Organization separately with respect to any of the territories for whose  
international relations it is responsible, which are net exporters of  
coffee and which it designates. In such case, the metropolitan territory  
and its non-designated territories will have a single membership, and its  
designated territories, either individually or collectively as the  
notification indicates, will have separate membership.
Article 6
Group membership upon joining the Organization
(1) Two or more Contracting Parties which are net exporters of coffee may,  
by appropriate notification to the Council and to the Secretary-General of  
the United Nations at the time of deposit of their respective instruments  
of approval, ratification, acceptance or accession, declare that they are  
joining the Organization as a Member group. A territory to which this  
Agreement has been extended under the provisions of paragraph (1) of  
Article 64 may constitute part of such Member group if the Government of  
the State responsible for its international relations has given appropriate  
notification thereof under the provisions of paragraph (2) of Article 64.  
Such Contracting Parties and designated territories must satisfy the  
following conditions:

- I l ­
ia) they shall declare their willingness to accept responsibility 
for group obligations in an individual as well as a group  
capacity; ana
(b) they shall subsequently provide satisfactory evidence to the  
Council that:
(i) the group has the organization necessary to implement a  
common coffee policy and that they have the means of  
complying, together with the other parties to the group,  
with their obligations under this Agreement; and that either  
(ii) they have been recognised as a group in a previous  
International Coffee Agreement; or
(iii) they have a common or coordinated commercial and economic  
policy in relation to coffee and a coordinated monetary  
and financial policy, as well as the organs necessary to  
implement such policies, so that the Council is satisfied  
that the Member group is able to comply with the group  
obligations involved.
(2) The Member group shall constitute a single Member of the Organization,  
except that each party to the group shall be treated as if it were a  
single Member in relation to matters arising under the following provisions
(a) Articles 11 and 12 and paragraph (1) of Article 20;
(b) Articles 50 and 51; and
(c) Article 67.
(3) The Contracting Parties and designated territories joining as a Member 
group shall specify the Government or organization which will represent  
them in the Council on matters arising under this Agreement other than  
those specified in paragraph (2) of this Article.

-  12  -
(4) The voting rights of the Member group shall be as follows:
(a) the Member group shall have the same number of basic votes as a  
single Member country joining the Organization in an individual  
capacity. These basic votes shall be attributed to and cast  
by the Government or organization representing the group; and
(b) in the event of a vote on any matters arising under the  
provisions of paragraph (2) of this Article, the parties to the  
Member group may cast separately the votes attributed to them  
under the provisions of paragraphs (3) and (4) of Article 13 as  
if each were an individual Member of the Organization, except  
for the basic votes, which shall remain attributable only to the  
Government or organization representing the group.
(5) Any Contracting Party or designated territory which is a party to a  
Member group may, by notification to the Council, withdraw from that group  
and become a separate Member. Such withdrawal shall take effect upon  
receipt of the notification by the Council. If a party to a Member group  
withdraws from that group or ceases to participate in the Organization,
the remaining parties to the group may apply to the Council to maintain the  
group; the group shall continue to exist unless the Council disapproves  
the application. If the Member group is dissolved, each former party to  
the group will become a separate Member. A Member which has ceased to be  
a party to a group may not, as long as this Agreement remains in force,  
again become a party to a group.

- 13 -
Artide 7
Subsequent group membership
Two or more exporting Members may, at any time after this Agreement  
has entered into force, apply to the Council to form a Member group. The  
Council shall approve the application if it finds that the Members have  
made a declaration and have provided satisfactory evidence in accordance  
with the requirements of paragraph (1) of Article 6. Upon such approval,  
the Member group shall be subject to the provisions of paragraphs (2), (3),
(4) and (5) of that Article.

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CHAPTER IV - ORGANIZATION AND ADMINISTRATION
Article 8
Seat and structure of the  
International Coffee Organization
(1) The International Coffee Organization established under the
1962 Agreement shall continue in being to administer the provisions and  
supervise the operation of this Agreement.
(2) The seat of the Organization shall be in London unless the Council by  
a distributed two-thirds majority vote decides otherwise.
(3) The Organization shall function through the International Coffee  
Council, the Executive Board, the Executive Director and the staff.
Article 9
Composition of the International Coffee Council
(1) The highest authority of the Organization shall be the International  
Coffee Council, which shall consist of all the Members of the Organization.
(2) Each Member shall appoint one representative on the Council and, if  
it so desires, one or more alternates. A Member may also designate one or  
more advisers to its representative or alternates.
Article 10
Powers and functions of thé Council
(1) All powers specifically conferred by this Agreement shall be vested in  
the Council, which shall have the powers and perform the functions  
necessary to carry out the provisions of this Agreement.

- 15 -
(2) The Council shall, by a distributed two-thirds majority vote, 
establish such rules and regulations, including its own rules of procedure 
and the financial and staff regulations of the Organization, as are 
necessary to carry out the provisions of this Agreement and are consistent 
therewith. The Council may, in its rules of procedure, provide the means 
whereby it may, without meeting, decide specific questions.
(3) The Council shall also keep such records as are required to perform 
its functions under this Agreement and such other records as it considers 
desirable.
Article 11
Election of the Chairman and Vice-Chairmen of the Council
(1) The Council shall elect, for each coffee year, a Chairman and a first, 
a second and a third Vice-Chairman.
(2) As a general rule, the Chairman and the first Vice-Chairman shall 
both be elected either from among the representatives of exporting Members 
or from among the representatives of importing Members and the second and 
the third Vice-Chairmen shall be elected from among representatives of 
the other category of Member. These offices shall alternate each coffee 
year between the two categories of Member.
(3) Neither the Chairman nor any Vice-Chairman acting as Chairman shall 
have the right to vote. His alternate will in such case exercise the 
voting rights of the Member.

- 16 -
Artide 12
Sessions of the Council
As a general rule, the Council shall hold regular sessions twice a 
year. It may hold special sessions should it so decide. Special 
sessions shall also be held at the request of the Executive Board, of 
any five Members, or of a Member or Members having at least 200 votes. 
Notice of sessions shall be given at least 30 days in advance except in 
cases of emergency. Sessions shall be held at the seat of the 
Organization, unless the Council decides otherwise.
Article 13 
Votes
(1) The exporting Members shall together hold 1,000 votes and the 
importing Members shall together hold 1,000 votes, distributed within 
each category of Member - that is, exporting and importing Members, 
respectively - as provided for in the following paragraphs of this 
Article.
(2) Each Member shall have five basic votes, provided that the total 
number of basic votes within each category of Member does not exceed 150. 
Should there be more than 30 exporting Members or more than 30 importing 
Members, the number of basic votes for each Member within that category 
of membership shall be adjusted to keep the number of basic votes for 
each category of Member within the maximum of 150.

- 17 -
(3) Exporting Members listed in Annex 2 shall, in addition to the basic 
votes, have the number of votes attributed to them in column (2) of that 
Annex. If any exporting Member referred to in this paragraph elects to 
have a basic quota under the provisions of paragraph (3) of Article 31, 
the provisions of this paragraph shall cease to apply to it.
(4) The remaining votes of exporting Members shall be divided among 
those Members having a basic quota in proportion to the average volume of 
their respective exports of coffee to importing Members in the preceding 
four calendar years.
(5) The remaining votes of importing Members shall be divided among those 
Members in proportion to the average volume of their respective imports
of coffee in the preceding four calendar years.
(6) The distribution of votes shall be determined by the Council in 
accordance with the provisions of this Article at the beginning of each 
coffee year and shall remain in effect during that year, except as 
provided for in paragraph (7) of this Article.
(7) The Council shall provide for the redistribution of votes in 
accordance with the provisions of this Article whenever there is a change 
in the membership of the Organization or if the voting rights of a Member 
are suspended or regained under the provisions of Article 26, 42, 45, 47, 
55 or 58.
\  ‘
(8) No Member shall hold more than 400 votes.
(9) There shall be no fractional votes.

- 18 -
Article 14
Voting procedure of the Council
(1) Each Member shall be entitled to cast the number of votes it holds 
and shall not be entitled to divide its votes. However, a Member may 
cast differently any votes which it holds under the provisions of 
paragraph (2) of this Article.
(2) Any exporting Member may authorise any other exporting Member, and 
any· importing Member may authorise any other importing Member, to 
represent its interests and to exercise its right to vote at any meeting 
or meetings of the Council. The limitation provided for in paragraph (8) 
of Article 13 shall not apply in this case.
Article 15
Decisions of the Council
(1) All decisions of the Council shall be taken, and all recommendations 
shall be made, by a distributed simple majority vote unless otherwise 
provided for in this Agreement.
(2) The following procedure shall apply with respect to any decision by 
the Council which under the provisions of this Agreement requires a 
distributed two-thirds majority vote :
(a) if a distributed two-thirds majority vote is not obtained
because of the negative vote of three or less exporting or three 
or less importing Members, the proposal shall, if the Council so 
decides by a majority of the Members present and by a distributed 
simple majority vote, be put to a vote again within 48 hours;

- 19 -
(b) if a distributed two-thirds majority vote is again not obtained 
because of the negative vote of two or less exporting or two or 
less importing Members, the proposal shall, if the Council so 
decides by a majority of the Members present and by a distributed 
simple majority vote, be put to a vote again within 24 hours;
(c) if a distributed two-thirds majority vote is not obtained in the 
third vote because of the negative vote of one exporting Member 
or one importing Member, the proposal shall be considered 
adopted; and
(d) if the Council fails to put a proposal to a further vote, it 
shall be considered rejected.
(3) Members undertake to accept as binding all decisions of the Council 
under the provisions of this Agreement.
Article 16
Composition of the Board
(1) The Executive Board shall consist of eight exporting Members and· 
eight importing Members elected for each coffee year in accordance with 
the provisions of Article 17. Members may be re-elected.
(2) Each Member of the Board shall appoint one representative and, if it 
so desires, one or more alternates. Each Member may also designate one or 
more advisers to its representative or alternates.
(3) The Executive Board shall have a Chairman and Vice-Chairman who shall 
be elected by the Council for each coffee year and may be re-elected. 
Neither the Chairman nor a Vice-Chairman acting as Chairman shall have the

-  20  -
right to vote. If a representative is elected Chairman or if a Vice- 
Chairman is acting as Chairman, his alternate will have the right to vote 
in his place. As a general rule, the Chairman and the Vice-Chairman for 
each coffee year shall be elected from among the representatives of the 
same category of membership.
(4) The Board shall normally meet at the seat of the Organization but may 
meet elsewhere.
Article 17
Election of the Board
(1) The exporting and the importing Members of the Board shall be elected 
in the Council by the exporting and the importing Members of the 
Organization respectively. The election within each category shall be 
held in accordance with the provisions of the following paragraphs of this 
Article.
(2) Each Member shall cast for a single candidate all the votes to which 
it is entitled under the provisions of Article 13. A Member may cast for 
another candidate any votes which it holds under the provisions of 
paragraph (2) of Article 14.
(3) The eight candidates receiving the largest number of votes shall be 
elected; however, no candidate shall be elected on the first ballot unless 
it receives at least 75 votes.
(4) If, under the provisions of paragraph (3) of this Article, less than 
eight candidates are elected on the first ballot, further ballots shall be

-  21  -
held in which only Members which did not vote for any of the candidates 
elected shall have the right to vote. In each further ballot the minimum 
number of votes required for election shall be successively diminished by 
five until eight candidates are elected.
(5) Any Member which did not vote for any of the Members elected shall 
assign its votes to one of them, subject to the provisions of paragraphs (6) 
and (7) of this Article.
(6) A Member shall be deemed to have received the number of votes cast 
for it when it was elected and, in addition, the number of votes assigned 
to it, provided that the total number of votes shall not exceed 499 for 
any Member elected.
(7) If the votes deemed received by an elected Member exceed 499, Members 
which voted for or assigned their votes to such elected Member shall 
arrange among themselves for one or more of them to withdraw their votes 
from that Member and assign or re-assign them to another elected Member so 
that the votes received by each elected Member shall not exceed the limit 
of 499.
Article 18
Competence of the Board
(1) The Board shall be responsible to and work under the general 
direction of the Council.
(2) The Council may, by a distributed two-thirds majority vote, delegate 
to the Board the exercise of any or all of its powers other than the 
following:

-  22  -
(a) approval of the Administrative Budget and assessment of 
contributions under the provisions of Article 25;
(b) suspension of the voting rights of a Member under the provisions 
of Article 45 or 58;
(c) decisions on disputes under the provisions of Article 58;
(d) establishment of conditions for accession under the provisions 
of Article 62;
(e) a decision to exclude a Member under the provisions of 
Article 66;
(f) a decision concerning the renegotiation, extension or termination 
of this Agreement under the provisions of Article 68; and
(g) recommendation of amendments to Members under the provisions of 
Article 69.
(3) The Council may, by a distributed simple majority vote, at any time 
revoke any powers which have been delegated to the Board.
Article 19
Voting procedure of the Board
(1) Each Member of the Board shall be entitled to cast the number of 
votes received by it under the provisions of paragraphs (6) and (7) of 
Article 17. Voting by proxy shall not be allowed. A Member of the Board 
shall not be entitled to divide its votes.
(2) Any decision taken by the Board shall require the same majority as 
such decision would require if taken by the Council.

- 23 -
Article 20
Quotum for the Council and the Board
(1) The quorum for any meeting of the Council shall be the presence of 
a majority of the Members representing a distributed two-thirds majority 
of the total votes. If there is no quorum at the time appointed for the 
commencement of any Council meeting, the Chairman of the Council may 
decide to postpone the opening time of the meeting for at least three 
hours. If there is no quorum at the new time set, the Chairman may again 
defer the opening time of the Council meeting for at least a further three 
hours. This procedure may be repeated until a quorum is present at the 
appointed time. Representation in accordance with the provisions of 
paragraph (2) of Article 14 shall be considered as presence.
(2) The quorum for any meeting of the Board shall be the presence of a 
majority of the Members representing a distributed two-thirds majority of 
the total votes.
Article 21
The Executive Director and the staff
(1) The Council shall appoint the Executive Director on the recommendation 
of the Board. The terms of appointment of the Executive Director shall
be established by the Council and shall be comparable to those applying to 
corresponding officials of similar intergovernmental organizations.
(2) The Executive Director shall be the chief administrative officer of 
the Organization and shall be responsible for the performance of any 
duties devolving upon him in the administration of this Agreement.

- 24 -
(3) The Executive Director shall appoint the staff in accordance with 
regulations established by the Council.
(4) Neither the Executive Director nor any member of the staff shall have 
any financial interest in the coffee industry, the coffee trade or the 
transportation of coffee.
(5) In the performance of their duties, the Executive Director and the 
staff shall not seek or receive instructions from any Member or from any 
other authority external to the Organization. They shall refrain from any 
action which might reflect on their position as international officials 
responsible only to the Organization. Each Member undertakes to respect 
the exclusively international character of the responsibilities of the 
Executive Director and the staff and not to seek to influence them in
the discharge of their responsibilities.
Article 22
Cooperation with other organizations
The Council may make arrangements for consultation and cooperation 
with the United Nations and its specialised agencies and with other 
appropriate intergovernmental organizations. Such arrangements may 
include financial arrangements which the Council considers appropriate 
for achieving the objectives of the Agreement. The Council may invite 
these organizations and any organizations concerned with coffee to send 
observers to its meetings.

- 25 -
CHAPTER V - PRIVILEGES AND IMMUNITIES
Article 23
Privileges and immunities
(1) The Organization shall have legal personality. It shall in particular 
have the capacity to contract, acquire and dispose of movable and 
immovable property and to institute legal proceedings.
(2) The status, privileges and immunities of the Organization, of its 
Executive Director, its staff and experts, and of representatives of 
Members while in the territory of the United Kingdom of Great Britain and 
Northern Ireland for the purpose of exercising their functions, shall 
continue to be governed by the Headquarters Agreement concluded between 
the Government of the United Kingdom of Great Britain and Northern Ireland 
(hereinafter referred to as the host Government) and the Organization on 
28 May 1969.
(3) The Headquarters Agreement referred to in paragraph (2) of this 
Article shall be independent of this Agreement. It shall however terminate
(a) by agreement between the host Government and the Organization;
(b) in the event of the headquarters of the Organization being moved 
from the territory of the host Government; or
(c) in the event of the Organization ceasing to exist.
(4) The Organization may conclude with one or more other Members 
agreements to be approved by the Council relating to such privileges and 
immunities as may be necessary for the proper functioning of this Agreement

- 26 -
(5) The Governments of Member countries other than the host Goverment 
shall grant the Organization the same facilities in respect of currency 
or exchange restrictions, maintenance of bank accounts and transfer of 
monies, as are accorded to the specialised agencies of the United Nations.

- 27 -
CHAPTER VI - FINANCE
Article 24 
Finance
(1) The expenses of delegations to the Council, representatives on the 
Board and representatives on any of the committees of the Council or the 
Board shall be met by their respective Governments.
(2) The other expenses necessary for the administration of this Agreement 
shall be met by annual contributions from the Members assessed in 
accordance with the provisions of Article 25. However, the Council may 
levy fees for specific services.
(3) The financial year of the Organization shall be the same as the 
coffee year.
Article 25
Determination of the Budget and 
assessment of contributions
(1) During the second half of each financial year, the Council shall 
approve the Administrative Budget of the Organization for the following 
financial year anc shall assess the contributions o: each Member tr ths i
(2) The contribution of each Member to the Budget for each financial year 
shall be in the proportion which the number of its votes at the time the 
Budget for that financial year is approved bears to the total votes of all 
the Members. However, if there is any change in the distribution of votes

-  28 -
among Members in accordance with the provisions of paragraph (6) of 
Article 13 at the beginning of the financial year for which contributions 
are assessed, such contributions shall be correspondingly adjusted for 
that year. In determining contributions, the votes of each Member shall 
be calculated without regard to the suspension of the voting rights of any 
Member or any redistribution of votes resulting therefrom.
(3) The initial contribution of any Member joining the Organization after 
the entry into force of this Agreement shall be assessed by the Council 
on the basis of the number of votes to be held by it and the period 
remaining in the current financial year, but the assessments made upon 
other Members for the current financial year shall not be altered.
Article 26
Payment of contributions
(1) Contributions to the Administrative Budget for each financial year 
shall be payable in freely convertible currency and shall become due on 
the first day of that financial year.
(2) If any Member fails to pay its full contribution to the Administrative 
Budget within six months of the date on which the contribution is due, 
both its voting rights in the Council and its right to have its votes cast 
in the Board shall be suspended until such contribution has been paid. 
However, unless the Council by a distributed two-thirds majority vote so 
decides, such Member shall not be deprived of any of its other rights nor 
relieved of any of its obligations under this Agreement.

- 29 -
(3) Any Member whose voting rights have been suspended either under the 
provisions of paragraph (2) of this Article or under the provisions of 
Article 42, 45, 47, 55 or 58 shall nevertheless remain responsible for 
the payment of its contribution.
Article 27
Audit and publication of accounts
As soon as possible after the close of each financial year, an 
independently audited statement of the Organization's receipts and 
expenditures during that financial year shall be presented to the 
Council for approval and publication.

- 30 -
CHAPTER VII - REGULATION OF EXPORTS AND IMPORTS
Article 28 
General provisions
(1) All decisions of the Council under the provisions of this Chapter 
shall be adopted by a distributed two-thirds majority vote.
(2) The word "annual" in this Chapter shall mean any period of 12 months 
established by the Council. However, the Council may adopt procedures 
for applying the provisions of this Chapter for a period longer than
12 months.
Article 29
Markets subject to quota
For the purpose of this Agreement, the world coffee market shall be 
divided into Member quota and non-member non-quota markets.
Article 30 
Basic quotas
(1) Each exporting Member shall, subject to the provisions of Articles 31 
and 32, be entitled to a basic quota. The basic quotas shall, subject to 
the provisions of paragraph (1) of Article 35, be used for the distribution 
of the fixed part of the annual quota in accordance with the provisions
of paragraph (2) of that Article.
(2) Not later than 30 September 1984, the Council shall set the basic 
quotas for a period of not less than two years with effect from

- 31 -
1 October 1984. Before the completion of this period the Council shall, 
if necessary, set the basic quotas for the remainder of the life of the
» ■N
Agreement.
(3) If the Council fails to set basic quotas in accordance with the 
provisions of paragraph (2) of this Article and unless it decides otherwise 
quotas shall be suspended notwithstanding the provisions of Article 33.
(4) Quotas may be reintroduced at any time after their suspension under 
the provisions of paragraph (3) of this Article as soon as the Council
has set the basic quotas in accordance with the provisions of paragraph (2) 
of this Article provided that the relevant price conditions referred to 
in Article 33 are met.
(5) The provisions of this Article shall apply to Angola under the 
conditions set out in Annex 1.
Article 31
Exporting Members exempt from basic quotas
(1) The Members listed in Annex 2, excluding Burundi and Rwanda, shall 
together have an export quota corresponding to 4.2 percent of the global 
annual quota set by the Council under the provisions of Article 34.
(2) The quota referred to in paragraph (1) of this Article shall be 
distributed among the Members listed ip Annex 2 in accordance with the 
percentages shown in column (1) of that Annex.
(3) Any exporting Member listed in Annex 2 may at any time request the 
Council to establish a basic quota for it. In the event that a basic

- 32 -
quota is established for one of these countries the percentage indicated 
in paragraph (1) of this Article shall be decreased proportionally.
(4) If an exporting country accedes to the Agreement and is subject to 
the provisions of this Article, the Council shall allocate a quota to the 
Member and the percentage referred to in paragraph (1) of this Article 
shall be increased proportionally.
(5) Of the Members listed in Annex 2 only those with annual quotas above 
100,000 bags shall be subject to the provisions of Articles 36 and 37.
(6) Burundi and Rwanda shall each have the following annual export 
quotas:
(a) for coffee year 1983/84: 450,000 bags;
(b) for subsequent coffee years during the lifetime of the
present Agreement: 470,000 bags.
(7) Whenever the Council sets basic quotas in accordance with the 
provisions of paragraph (2) of Article 30, the percentage referred to in 
paragraph (1) and the amount shown in sub-paragraph (b) of paragraph (6) .  
of this Article shall be reviewed and may be modified.
(8) Subject to the provisions of Articles 6 and 41, shortfalls declared 
by exporting Members listed in Annex 2 shall be distributed pro rata
to their annual quotas among those other Members listed in Annex 2 able 
and prepared to export the amount of the shortfalls.

- 33 - 
Article 32
Provisions for the adjustment of basic quotas
(1) If an importing country which was neither a Contracting Party to the 
International Coffee Agreement 1976 nor to the International Coffee 
Agreement 1976 as Extended becomes a Member of the Organization, the 
Council shall adjust the basic quotas resulting from the application of 
the provisions of Article 30.
(2) The adjustment referred to in paragraph (1) of this Article shall 
take into account either the average exports of individual exporting 
Members to the importing country concerned during the period 1976 to 
1982 or the proportionate share of individual exporting Members in the 
average imports of that country during the same period.
(3) The Council shall approve the data to be used as a basis for the 
calculations necessary for the adjustment of basic quotas, as well as the 
criteria to be followed for the purpose of applying the provisions cf 
this Article.
Article 33
Provisions for the continuation, suspension 
and réintroduction of quotas'
(1) If the Council fails to establish ,the conditions for the operation 
of the quota system under the relevant Articles of this Chapter and unless
4

- 34 -
it decides otherwise, quotas shall continue in effect at the commencement 
of a coffee year if the fifteen-day moving average of the composite 
indicator price is at or below the highest price for the upward adjustment 
of quotas in the price range established by the Council for the preceding 
coffee year under the provisions of Article 38.
(2) Unless the Council decides otherwise, quotas shall be suspended as 
soon as either of the following conditions is fulfilled:
(a) the fifteen-day moving average of the composite indicator price
remains, during 30 consecutive market days, 3.5 percent or more
above the highest price for the upward adjustment of quotas in 
the price range in effect provided that all pro rata upward 
adjustments to the global annual quota established by the 
Council have already been applied; or
(b) the fifteen-day moving average of the composite indicator price
remains, during 45 consecutive market days, 3.5 percent or more
above the highest price for the upward adjusment of quotas in 
the price range in effect and provided that any remaining upward 
adjustments are applied on the date on which the fifteen-day 
moving average reaches that price.
(3) If quotas are suspended under the provisions of paragraph (2) of this 
Article for more than 12 months the Council shall meet in order to review 
and possibly revise the price range or price ranges established under the 
provisions of Article 38.
(4) Unless the Council decides otherwise, quotas shall be reintroduced in 
accordance with the provisions of paragraph (6) of this Article if the

- 35 -
fifteen-day moving average of the composite indicator price is at or below 
a price corresponding to the mid-point, increased by 3.5 percent, between 
the highest price for the upward adjustment of quotas and the lowest price 
for the downward adjustment of quotas in the most recent price range 
established by the Council.
(5) If quotas continue in effect under the provisions of paragraph (1) of 
this Article, the Executive Director shall immediately set a global annual 
quota on the basis of the disappearance of coffee in quota markets, 
estimated in accordance with the criteria established in Article 34. This 
quota shall be allocated to exporting Members in accordance with the 
provisions of Articles 31 and 35. Except as otherwise provided for in 
this Agreement, the quotas shall be fixed for a period of four quarters.
(6) Whenever the relevant price conditions referred to in paragraph (4) 
of this Article are met, quotas shall come into effect as soon as possible 
and in any event not later than the quarter following the fulfilment of the 
relevant price conditions.  Except as otherwise provided for in this 
Agreement, the quotas shall be fixed for a period of four quarters. If 
the global annual and quarterly quotas have not previously been established 
by the Council, the Executive Director shall set a quota as provided for
in paragraph (5) of this Article. This quota shall be allocated to 
exporting Members in accordance with the provisions of Articles 31 and 35.
(7) The Council shall be convened:
(a) during the first quarter of the coffee year if quotas continue in 
effect in accordance with the provisions of paragraph (1) of this 
Article; and

- 36 -
(b) during the first quarter following the réintroduction of quotas 
under the provisions of paragraph (4) of this Article.
The Council shall establish a price range or price ranges and review and, 
if necessary, revise quotas for such a period as it deems advisable, 
provided that this period does not exceed 12 months from the first day of 
the coffee year if quotas continue in effect or from the date on which the 
réintroduction of quotas takes place, whichever is relevant. If during 
the first quarter after the provisions of paragraphs (1) and (4) of this 
Article have been applied, the Council fails to establish a price range or 
price ranges and fails to agree on quotas the quotas set by the Executive 
Director shall be suspended.
Article 34
Setting of the global annual quota
Subject to the provisions of Article 33, the Council shall, at its 
last regular session of the coffee year, set a global annual quota 
taking into account intev alia  the following:
(a) estimated annual consumption of importing Members;
(b) estimated imports of Members from other importing Members and 
from non-member countries;
(c) estimated changes in the level of inventories in importing 
Member countries and in free ports;
(d) compliance with the provisions of Article 40 concerning 
shortfalls and their redistribution; and

- 37 -
(e) for the réintroduction of quotas under the provisions of
paragraph (4) of Article 33, exports of exporting Members to 
importing Members and to non-members during the twelve-month 
period preceding the réintroduction of quotas.
Article 35
Allocation of annual quotas
(1) In the light of the decision taken under the provisions of Article 34 
and after deducting the amount of coffee required to comply with the 
provisions of Article 31, the annual quotas of exporting Members entitled 
to a basic quota for coffee year 1983/84 shall be allocated to them in 
the proportions shown in Annex 3.
(2) With effect from 1 October 1984, annual quotas shall be allocated in 
fixed and variable parts to exporting Members entitled to a basic quota 
in the light of the decision taken under the provisions of Article 34 and 
after deducting the amount of coffee required to comply with the provisions 
of Article 31. The fixed part shall correspond to 70 percent of the. 
global annual quota, as adjusted to comply with the provisions of 
Article 31, and shall be distributed among exporting Members in accordance 
with the provisions of Article 30. The variable part shall correspond to 
30 percent of the global annual quota, as adjusted to comply with the 
provisions of Article 31. These proportions may be changed by the Council 
but the fixed part shall never be less than 70 percent. Subject to the 
provisions of paragraph (3) of this Article, the variable part shall be 
distributed among exporting Members in the proportion which the verified 
stocks of each exporting Member bears to the total verified stocks of all

- 38 -
exporting Members having basic quotas, provided that, unless the Council 
establishes a different limit, no Member shall receive a share of the 
variable part of the quota in excess of 40 percent of the total volume of 
such variable part.
(3) The stocks to be taken into account for the purposes of this Article 
shall be those verified in accordance with the appropriate rules for the 
verification of stocks.
Article 36 
Quarterly quotas
(1) Immediately following the allocation of annual quotas under the 
provisions of paragraphs (1) and (2) of Article 35, and subject to the 
provisions of Article 31, the Council shall allocate quarterly quotas to 
each exporting Member for the purpose of assuring an orderly flow of 
coffee to world markets throughout the period for which quotas are set.
(2) Unless the Council decides otherwise, these quotas shall be normally 
25 percent of the annual quota of each Member. The Council may authorise 
the alteration of the quarterly quotas of two or more Members provided 
that this does not alter the global quota for the quarter. If exports
by any Member in one quarter are less than its quota for that quarter, 
the outstanding balance shall be added to its quota for the following 
quarter.
(3) The provisions of this Article shall also apply to the implementation 
of paragraphs (5) and (6) of Article 33.

- 39 -
(4) If, on account of exceptional circumstances, an exporting Member 
considers that the limitation provided for in paragraph (2) of this Article 
would be likely to cause serious harm to its economy, the Council may, at 
the request of that Member, take appropriate action under the provisions 
of Article 56. The Member concerned must furnish evidence of harm and 
provide adequate guarantees concerning the maintenance of price stability. 
The Council shall not, however, in any event, authorise a Member to export 
more than 35 percent of its annual quota in the first quarter, 65 percent 
in the first two quarters, and 85 percent in the first three quarters.
Article 37
Adjustment of annual and quarterly quotas
(1) If market conditions so require, the Council may vary the annual 
and quarterly quotas allocated under the provisions of Articles 33, 35 
and 36. Subject to the provisions of paragraphs (1) and (2) of Article 35 
and except as provided for in Article 31 and paragraph (3) of Article 39, 
the quotas of each exporting Member shall be varied by the same percentage.
(2) Notwithstanding the provisions of paragraph (1) of this Article, the 
Council may, if it finds the market situation so requires, make adjustments 
among the current and remaining quarterly quotas of exporting Members 
without, however, altering the annual quotas.
Article 38 
Price measures
(1) The Council shall establish a system of indicator prices which shall 
provide for a daily composite indicator price.

- 40 -
(2) On the basis of such a system, the Council may establish price 
ranges and price differentials for the principal groups of coffee and a 
composite price range.
(3) In establishing and adjusting any price range for the purposes of 
this Article, the Council shall take into consideration the prevailing 
level and trend of coffee prices including the influence thereon of:
- the levels and trends of consumption and production as well as 
stocks in importing and exporting countries;
changes in the world monetary system;
- the trend of world inflation or deflation; and
- any other factors which might affect the achievement of the 
objectives set out in this Agreement.
The Executive Director shall supply the data necessary to permit the 
Council to give due consideration to the foregoing elements.
Article 39
Additional measures for the adjustment of quotas
(1) If quotas are in effect, the Council shall be convened in order to 
establish a system for the pro rata adjustment of quotas in response to 
movements in the composite indicator price, as provided for in Article 38.
(2) Such a system shall include provisions regarding price ranges, the 
number of market days over which counts shall be held and the number and 
size of adjustments.
(3) The Council may establish a system for adjusting quotas in response 
to movements in the prices of the principal groups of coffee. The Council

- 41 -
shall undertake a study of the feasibility of such a system. The Council 
shall decide whether to apply such a system during coffee year 1983/84. 
Similarly, the Council shall decide whether to apply such a system 
whenever it establishes a composite indicator price range under the 
provisions of paragraph (1) of this Article.
Article 40
Shortfalls and undershipments
(1) When quotas are in force at the beginning of a coffee year each 
exporting Member shall declare any anticipated shortfall from its export 
entitlement in order to permit redistribution in the same coffee year 
among exporting Members able and prepared to export the amount of the 
shortfalls. An equivalent amount to any shortfall not declared by the 
sixth month of the coffee year and therefore not redistributed during the 
same coffee year shall be added to the quota for the following year and 
distributed only to those Members which did not have undeclared shortfalls
(2) Special provisions may be established when quotas are introduced in 
the course of a coffee year.
(3) Before the end of coffee year 1983/84 the Council shall make rules 
for the purposes of this Article, in order to enforce declaration and 
redistribution of shortfalls and identification of undershipments.
Article 41
Export entitlement of a Member group
If two or more Members form a Member group in accordance with the 
provisions of Article 6 or 7, the basic quotas or the export entitlements,

- 42 -
as the case may be, of those Members shall be added together and the 
combined total treated as a single basic quota or a single export 
entitlement for the purposes of this Chapter.
Article 42
Compliance with quotas
(1) Exporting Members shall adopt the measures required to ensure full 
compliance with all provisions of this Agreement relating to quotas. In 
addition to any measures the Member itself may take, the Council may 
require such Member to adopt additional measures for the effective 
implementation of the quota system provided for in this Agreement.
(2) Exporting Members shall not exceed the annual and quarterly quotas 
allocated to them.
(3) If an exporting Member exceeds its quota for any quarter, the Council 
shall deduct from one or more of its subsequent quotas a quantity equal
to 110 percent of that excess.
(4) If an exporting Member for the second time exceeds its quarterly 
quota, the Council shall make the same deduction as that provided for in 
paragraph (3) of this Article.
(5) If an exporting Member for a third or subsequent time exceeds its 
quarterly quota, the Council shall make the same deduction as provided 
for in paragraph (3) of this Article and the voting rights of the Member 
shall be suspended until such time as the Council decides whether to 
exclude such Member from the Organization under the provisions of 
Article 66.

- 43 -
(6) The deductions provided for in paragraphs (3), (4) and (5) of this 
Article shall be deemed to be shortfalls for the purposes of paragraph (1) 
of Article 40.
(7) The Council shall apply the provisions of paragraphs (1) to (5) of 
this Article as soon as the necessary information is available.
Article 43
Certificates of Origin and other forms of Certificates
(1) Every export of coffee by a Member shall be covered by a valid 
Certificate of Origin. Certificates of Origin shall be issued, in 
accordance with rules established by the Council, by a qualified agency 
chosen by the Member and approved by the Organization.
(2) If quotas are in effect, every re-export of coffee by a Member shall 
be covered by a valid Certificate of Re-export. Certificates of Re-export 
shall be issued, in accordance with rules established by the Council, by
a qualified agency chosen by the Member and approved by the Organization, 
and shall certify that the coffee in question was imported in accordance 
with the provisions of this Agreement.
(3) The rules referred to in this Article shall contain provisions which 
will permit their application to groups of importing Members forming a 
customs union.
(4) The Council may make rules governing the printing, validation, 
issuing and use of Certificates and may adopt measures to issue coffee 
export stamps against payment of a fee to be determined by the Council.

- 44 -
The affixing of such stamps to Certificates of Origin may be one of the 
means prescribed for the validation of such Certificates. The Council 
may make similar arrangements for the validation of other forms of 
Certificates and for the issuing of other forms of coffee stamps on 
conditions to be determined.
(5) Each Member shall notify the Organization of the government or 
non-government agency which is to perform the functions specified in 
paragraphs (1) and (2) of this Article. The Organization shall 
specifically approve a non-government agency upon submission by the Member 
of satisfactory evidence of the agency's ability and willingness to 
fulfil the Member's responsibilities in accordance with the rules and 
regulations established under the provisions of this Agreement. The 
Council may at any time, for cause, declare a particular non-government 
agency to be no longer acceptable to it. The Council shall, either 
directly or through an internationally recognised world-wide organization, 
take all necessary steps so that at any time it will be able to satisfy 
itself that all forms of Certificates are being issued and used correctly 
and to ascertain the quantities of coffee which have been exported by 
each Member.
(6) A non-government agency approved as a certifying agency under the 
provisions of paragraph (5) of this Article shall keep records of the 
Certificates issued and the basis for their issue, for a period of not 
less than four years.  In order to obtain approval as a certifying agency 
under the provisions of paragraph (5) of this Article, a non-government 
agency must previously agree to make such records available for examination 
by the Organization.

- 45 -
(7) If quotas are in effect Members shall, subject to the provisions of 
Article 44 and those of paragraphs (1) and (2) of Article 45, prohibit 
the import of any shipment of coffee which is not accompanied by a valid 
Certificate in the appropriate form issued in accordance with rules 
established by the Council.
(8) Small quantities of coffee in such forms as the Council may determine, 
or coffee for direct consumption on ships, aircraft and other international 
carriers, shall be exempt from the provisions of paragraphs (1) and (2)
of this Article.
(9) Notwithstanding the provisions of paragraph (5) of Article 2 and of 
paragraphs (2) and (7) of this Article the Council may require Members to 
apply the provisions of these paragraphs when quotas are not in effect.
(10) The Council shall make rules concerning the effect of the introduction 
of quotas or adjustments thereto on contracts entered into prior to such 
introduction or adjustment.
Article 44
Exports not charged to quotas
(1) As provided for in Article 29, exports to countries not party to this 
Agreement shall not be charged to quotas. The Council may make rules 
governing, -inter aliaa the conduct and supervision of this trade, the 
treatment of, and the penalties for, diversions and re-exports from 
non-member to Member countries and the documents required to cover exports 
to both Member and non-member countries.

- 46 -
(2) Exports of coffee beans as raw material for industrial processing for 
any purposes other than human consumption as a beverage or foodstuff shall 
not be charged to quotas, provided that the Council is satisfied from 
information supplied by the exporting Member that the coffee beans are in 
fact used for such other purposes.
(3) The Council may, at the request of an exporting Member, decide that 
exports of coffee made by that Member for humanitarian or other non­
commercial purposes shall not be charged to its quota.
Article 45
Regulation of imports
(1) To prevent non-member countries from increasing their exports at the 
expense of exporting Members, each Member shall, whenever quotas are in 
effect, limit its annual imports of coffee from non-member countries which 
were not Contracting Parties to the International Coffee Agreement 1968 
to an amount equal to the annual average of its imports of coffee from 
non-member countries from either calendar year 1971 to calendar year 1974. 
inclusive, or from calendar year 1972 to calendar year 1974 inclusive. If 
a non-member country becomes a party to the Agreement the limitation of 
each Member in respect of the annual limitation of coffee from non-member 
countries shall be adjusted accordingly. The adjusted limitation shall 
apply from the following coffee year onwards.
(2) When quotas are in effect, Members shall also limit their annual 
imports of coffee from each non-member which was a Contracting Party to 
the International Coffee Agreement 1976 or the International Coffee 
Agreement 1976 as Extended to a quantity not greater than a percentage

- 47 -
of the average annual imports from that non-member during coffee years 
1976/77 to 1981/82. In coffee year 1983/84 this percentage shall be 
70 percent and in coffee years 1984/85 to 1988/89 this percentage shall 
correspond to the proportion which the fixed part bears to the global 
annual quota under the provisions of paragraph (2) of Article 35.
(3) The Council shall revise the quantitative limitations resulting from 
the application of the provisions of paragraph (1) of this Article prior 
to the end of coffee year 1983/84 taking into account more recent 
reference years than those referred to in that paragraph.
(4) The obligations established in the preceding paragraphs of this 
Article shall not derogate from any conflicting bilateral or multilateral 
obligations which importing Members have entered into with non-member 
countries prior to the entry into force of this Agreement, provided that 
any importing Member which has such conflicting obligations shall carry· 
them out in such a way as to minimise any conflict with the obligations 
established in the preceding paragraphs. Such Member shall take steps as 
soon as possible to bring its obligations into harmony with the provisions 
of paragraphs (1) and (2) of this Article and shall inform the Council of 
the details of the conflicting obligations as well as of the steps taken 
to minimise or eliminate the conflict.
(5) If an importing Member fails to comply with the provisions of this 
Article the Council may suspend both its voting rights in the Council and 
its right to have its votes cast in the Board.

- 48 -
CHAPTER VIII - OTHER ECONOMIC PROVISIONS 
Article 46
Measures related to processed coffee
(1) Members recognise the need of developing countries to broaden the 
base of their economies through, inter alias  industrialisation and the 
export of manufactured products, including the processing of coffee and 
the export of processed coffee.
(2) In this connection, Members shall avoid the adoption of governmental 
measures which could cause disruption to the coffee sector of other Members.
(3) Should a Member consider that the provisions of paragraph (2) of this 
Article are not being complied with, it should consult with the other 
Members concerned, having due regard to the provisions of Article 57. The 
Members concerned shall make every effort to reach amicable settlement on 
a bilateral basis. If these consultations do not lead to a mutually 
satisfactory solution, either party may bring the matter before the Council 
for consideration under the provisions of Article 58.
(4) Nothing in this Agreement shall prejudice the right of any Member to 
take measures to prevent or remedy disruption to its coffee sector by 
imports of processed coffee.
Article 47 
Promotion
(1) Members undertake to encourage the consumption of coffee by every 
possible means.

- 49 -
(2) To achieve this purpose the Promotion Fund shall continue to operate. 
The Fund shall be administered by a Committee composed of all exporting 
Members.
(3) The Committee shall approve its own bye-laws by a two-thirds majority 
vote not later than 31 March 1984. All decisions of the Committee shall 
be taken by a two-thirds majority vote.
(4) The Committee shall determine in its bye-laws the ways and means in 
which assistance shall be given to exporting Members for the encouragement 
of their domestic consumption.
(5) The Committee in its bye-laws shall also provide for consultation on 
proposed promotion activities with the appropriate parties in the 
importing Member countries concerned.
(6) The Committee may establish a compulsory levy for exporting Members. 
Other Members may also participate in the financing of the Fund on terms 
to be approved by the Committee.
(7) The resources of the Fund shall be used solely to finance promotion 
campaigns, to sponsor research and studies related to the consumption of 
coffee and to cover the administrative expenditures incurred in carrying 
out such activities.
(8) The levy referred to in paragraph (6) of this Article shall be 
payable in US dollars and shall be deposited in a special account which 
shall be at the disposal of the Committee and shall be designated the 
Promotion Fund Account.

- 50 -
(9) The levies established by the Committee shall be payable on the 
terms established for this purpose. Sanctions for the non-payment of 
levies shall be applied as follows:
(a) if any Member remains in arrears for a period exceeding three 
months its voting rights in the Committee shall be suspended 
automatically;
(b) if payment of the levy remains outstanding for six months the 
Member country concerned shall also lose its votes in the 
Executive Board and the Council ;  and
(c) if payment of the levy remains outstanding for longer than six 
months the Member country concerned shall be given an additional 
period of 45 days to settle its arrears. If the levy remains 
unpaid at the end of this additional period, the Executive 
Director shall withhold the export stamps corresponding to the 
quantity of coffee on which the unpaid levy is due and shall 
forthwith notify the Member concerned. The Executive Director 
shall report each such case to the Executive Board which may 
amend or cancel the action taken by the Executive Director. The ■  
Executive Director shall release such stamps as soon as the 
appropriate payment is made.
(10) The Committee shall approve promotion plans and programmes not less 
than six months before the date of their implementation. Should this not 
occur the uncommitted funds shall be returned to Member countries, unless 
the Committee decides otherwise.
(11) The Executive Director shall be the Chairman of the Committee and 
shall report periodically to the Council on activities relating to promotion.

- 51 -
Article 48
Removal of obstacles to consumption
(1) Members recognise the utmost importance of achieving the greatest 
possible increase of coffee consumption as rapidly as possible, in 
particular through the progressive removal of any obstacles which may 
hinder such increase.
(2) Members recognise that there are at present in effect measures which 
may to a greater or lesser extent hinder the increase in consumption of 
coffee, in particular:
(a) import arrangements applicable to coffee, including preferential 
and other tariffs, quotas, operations of government monopolies 
and official purchasing agencies, and other administrative 
rules and commercial practices;
(b) export arrangements as regards direct or indirect subsidies and 
other administrative rules and commercial practices; and
(c) internal trade conditions and domestic legal and administrative 
provisions which may affect consumption.
(3) Having regard to the objectives stated above and to the provisions of 
paragraph (4) of this Article, Members shall endeavour to pursue tariff 
reductions on coffee or to take other action to remove obstacles to 
increased consumption.
(4) Taking into account their mutual interest, Members undertake to seek 
ways and means by which the obstacles to increased trade and consumption 
referred to in paragraph (2) of this Article may be progressively reduced 
and eventually, wherever possible, eliminated, or by which the effects of 
such obstacles may be substantially diminished.

- 52 -
(5) Taking into account any commitments undertaken under the provisions 
of paragraph (4) of this Article, Members shall inform the Council 
annually of all measures adopted with a view to implementing the 
provisions of this Article.
(6) The Executive Director shall prepare periodically a survey of the 
obstacles to consumption to be reviewed by the Council.
(7) The Council may, in order to further the purposes of this Article, 
make recommendations to Members which shall report as soon as possible to 
the Council on the measures adopted with a view to implementing such 
recommendations.
Article 49
Mixtures and substitutes
(1) Members shall not maintain any regulations requiring the mixing, 
processing or using of other products with coffee for commercial resale as 
coffee. Members shall endeavour to prohibit the sale and advertisement of 
products under the name of coffee if such products contain less than the 
equivalent of 90 percent green coffee as the basic raw material.
(2) The Council may request any Member to take the steps necessary to 
ensure observance of the provisions of this Article.
(3) The Executive Director shall submit to the Council a periodic report 
on compliance with the provisions of this Article.

- 53 -
Article 50
Production policy
(1) To facilitate the achievement of the objectives set out in 
paragraph (1) of Article 1, exporting Members undertake to adopt 
and to implement a production policy.
(2) The Council shall, by a distributed two-thirds majority vote, 
establish procedures for coordinating the production policies referred to 
in paragraph (1) of this Article. These procedures may include appropriate 
measures for, or encouragement of, diversification, together with the 
means whereby Members may obtain both technical and financial assistance.
(3) The Council may establish a contribution payable by exporting Members 
which shall be used to permit the Organization to carry out appropriate 
technical studies for the purpose of assisting exporting Members to adopt 
the measures necessary to pursue an adequate production policy. Such 
contribution shall not exceed 2 US cents per bag exported to importing 
Member countries and shall be payable in convertible currency.
Article 51
Policy relative to coffee stocks
(1) To complement the provisions of Chapter VII and of Article 50, the 
Council shall, by a distributed two-thirds majority vote, establish a 
policy relating to coffee stocks in producing Member countries.
(2) The Council shall adopt measures to ascertain annually the volume of 
coffee stocks in the hands of individual exporting Members in accordance

- 54 -
with the provisions of Article 35. The Members concerned shall facilitate 
this annual survey.
(3) Producing Members shall ensure that adequate facilities exist in 
their respective countries for the proper storage of coffee stocks.
(4) The Council shall undertake a study of the feasibility of supporting 
the objectives of this Agreement by an international stock arrangement.
Article 52
Consultation and cooperation with the trade
(1) The Organization shall maintain close liaison with appropriate 
non-governmental organizations concerned with international commerce in 
coffee, and with experts in coffee matters.
(2) Members shall conduct their activities within the framework of this 
Agreement in a manner consonant with established trade channels and shall 
refrain from discriminatory sales practices. In carrying out these 
activities they shall endeavour to take due account of the legitimate 
interests of the coffee trade.
Article 53 
Information
(1) The Organization shall act as a centre for the collection, exchange 
and publication of:
(a) statistical information on world production, prices, exports and 
imports, distribution and consumption of coffee; and

- 55 -
(b) in so far as is considered appropriate, technical information  
on the cultivation, processing and utilisation of coffee.
(2) The Council may require Members to furnish such information as it  
considers necessary for its operations, including regular statistical  
reports on coffee production, production trends, exports and imports,  
distribution, consumption, stocks, prices and taxation, but no information  
shall be published which might serve to identify the operations of  
persons or companies producing, processing or marketing coffee. Members  
shall furnish information requested in as detailed and accurate a manner  
as is practicable.
(3) If a Member fails to supply or finds difficulty in supplying within  
a reasonable time statistical and other information required by the  
Council for the proper functioning of the Organization, the Council may  
require the Member concerned to explain the reasons for non-compliance.
If it is found that technical assistance is needed in the matter, the  
Council may take any necessary measures.
(4) In addition to the measures provided for in paragraph (3) of this  
Article, the Executive Director may, after giving due notice and unless  
the Council decides otherwise, withhold the release of coffee stamps or  
other equivalent export authorisations as provided for in Article 43.
Article 54  
Studies
(1) The Council may promote studies concerning the economics of coffee  
production and distribution, the impact of governmental measures in

- 56 -
producing and consuming countries on the production and consumption of  
coffee, the opportunities for expansion of coffee consumption for  
traditional and possible new uses and the effects of the operation of  
this Agreement on producers and consumers of coffee, including their terms  
of trade.
(2) The Organization may study the practicability of establishing minimum  
standards for exports of coffee from producing Members.
Article 55  
Special Fund
(1) A special fund shall be established to permit the Organization to  
adopt and finance any additional measures required to implement provisions  
of this Agreement relevant to its operation, in particular the verification  
of stocks provided for in paragraph (2) of Article 51.
(2) Payments to the Fund shall consist of contributions payable by  
exporting Members pro rata to their exports to importing Members.
(3) The Executive Director shall, at the same time as he submits the  
Administrative Budget referred to in Article 25, submit a plan of  
activities to be financed by the Fund, together with the corresponding  
Budget which shall be approved by exporting Members by a two-thirds  
majority vote.
(4) The contribution payable by each exporting Member shall be assessed  
on the basis of the Budget of the Special Fund, shall be payable in
US dollars and shall become due on the same date as contributions to the  
Administrative Budget.

- 57 -
(5) The Fund shall be managed and administered by a Committee composed  
of the exporting Members of the Executive Board in cooperation with the  
Executive Director and shall be subject to an independent annual audit as  
required for the accounts of the Organization under the provisions of  
Article 27.
(6) The contributions assessed in accordance with the provisions of  
paragraph (4) of this Article shall be payable on the terms established  
by the Committee for this purpose. Sanctions for the non-payment of the  
contributions shall be applied as follows:
(a) if any Member remains in arrears for a period exceeding three  
months its voting rights in the Committee shall be suspended  
automatically;
(b) if payment of the contribution remains outstanding for six months  
the Member concerned shall also lose its votes in the Executive  
Board and the Council ;  and
(c) if payment of the contribution remains outstanding for longer  
than six months the Member concerned shall be given an  
additional period of 45 days to settle its arrears. If the  
contribution remains unpaid at the end of this additional  
period, the Executive Director shall withhold the export stamps  
corresponding to the quantity of coffee on which the unpaid  
contribution is due and shall forthwith notify the Member 
concerned. The Executive Director shall report each such case  
to the Executive Board which may amend or cancel the action  
taken by the Executive Director. The Executive Director shall  
release such stamps as soon as the appropriate payment is made.

- 58 -
Article 56  
Waiver
(1) The Council may, by a distributed two-thirds majority vote, relieve  
a Member of an obligation on account of exceptional or emergency  
circumstances, force majeure, constitutional obligations or international  
obligations under the United Nations Charter for territories administered  
under the trusteeship system.
(2) .  The Council, in granting a waiver to a Member, shall state explicitly  
the terms and conditions on which and the period for which the Member is  
relieved of such obligation.
(3) Unless the Council decides otherwise, if a waiver brings about an  
increase in the annual export entitlement of the Member concerned the  
annual quotas of all other exporting Members entitled to a basic quota  
shall be adjusted pro rata so that the global annual quota remains  
unaltered.
(A) The Council shall not consider a request for a waiver of quota  
obligations solely on the basis of the existence in the Member country  
making the request, in one or more years, of an exportable production in  
excess of its permitted exports or which is the consequence of the Member  
having failed to comply with the provisions of Articles 50 and 51.
(5) The Council may make rules concerning the procedures for the granting  
of waivers and the criteria for so doing.

- 59 -
CHAPTER IX - CONSULTATIONS,
DISPUTES AND COMPLAINTS
Article 57
Consultations
Each Member shall accord sympathetic consideration to, and shall  
afford adequate opportunity for, consultation regarding such representations  
as may be made by another Member with respect to any matter relating to  
this Agreement. In the course of such consultation, on request by either  
party and with the consent of the other, the Executive Director shall  
establish an independent panel which shall use its good offices with a  
view to conciliating the parties. The costs of the panel shall not be  
chargeable to the Organization. If a party does not agree to the  
establishment of a panel by the Executive Director, or if the consultation  
does not lead to a solution, the matter may be referred to the Council in  
accordance with the provisions of Article 58. If the consultation does  
lead to a solution, it shall be reported to the Executive Director who  
shall distribute the report to all Members.
Article 58
Disputes and complaints
(1) Any dispute concerning the interpretation or application of this  
Agreement which is not settled by negotiation shall, at the request of  
any Member party to the dispute, be referred to the Council for decision.
(2) In any case where a dispute has been referred to the Council under  
the provisions of paragraph (1) of this Article, a majority of Members,

- 60 -
or Members holding not less than one-third of the total votes, may  
require the Council, after discussion, to seek the opinion of the  
advisory panel referred to in paragraph (3) of this Article on the issues  
in dispute before giving its decision.
(3) (a) Unless the Council unanimously agrees otherwise, the panel
shall consist of:
(i) two persons, one having wide experience in matters of the  
kind in dispute and the other having legal standing and  
experience, nominated by the exporting Members;
(ii) two such persons nominated by the importing Members; and
(iii) a chairman selected unanimously by the four persons
nominated under (i) and (ii) or, if they fail to agree, by  
the Chairman of the Council.
(b) Persons from countries whose Governments are Contracting Parties  
to this Agreement shall be eligible to serve on the advisory  
panel.
(c) Persons appointed to the advisory panel shall act in their 
personal capacities and without instructions from any Government.
(d) The expenses of the advisory panel shall be paid by the  
Organization.
(4) The opinion of the advisory panel and the reasons therefor shall be  
submitted to the Council which, after considering all the relevant  
information, shall decide the dispute.
(5) The Council shall rule on any dispute brought before it within six  
months of submission of such dispute for its consideration.

- 61 -
(6) Any complaint that any Member has failed to fulfil its obligations  
under this Agreement shall, at the request of the Member making the  
complaint, be referred to the Council which shall make a decision on the  
matter.
(7) No Member shall be found to have been in breach of its obligations  
under this Agreement except by a distributed simple majority vote. Any  
finding that a Member is in breach of its obligations under this Agreement  
shall specify the nature of the breach.
(8) If the Council finds that a Member is in breach of its obligations  
under this Agreement, it may, without prejudice to other enforcement  
measures provided for in other Articles of this Agreement, by a distributed  
two-thirds majority vote, suspend such Member’s voting rights in the  
Council and its right to have its votes cast in the Board until it fulfils  
its obligations, or the Council may decide to exclude such Member from
the Organization under the provisions of Article 66.
(9) A Member may seek the prior opinion of the Executive Board in a matter  
of dispute or complaint before the matter is discussed by the Council.

CHAPTER X - FINAL PROVISIONS
Article 59  
Signature
This Agreement shall be open for signature at the United Nations  
headquarters from 1 January 1983 until and including 30 June 1983 by  
Contracting Parties to the International Coffee Agreement 1976 or the  
International Coffee Agreement 1976 as Extended and Governments invited  
to .the sessions of the International Coffee Council convened for the  
purpose of negotiating this Agreement.
Article 60
Ratification, acceptance, approval
(1) This Agreement shall be subject to ratification, acceptance or  
approval by the signatory Governments in accordance with their respective  
constitutional procedures.
(2) Except as provided for in Article 61, instruments of ratification,  
acceptance or approval shall be deposited with the Secretary-General of  
the United Nations not later than 30 September 1983. However, the  
Council may grant extensions of time to signatory Governments which are  
unable to deposit their instruments by that date.

- 63 -
Article 61  
Entry into force
(1) This Agreement shall enter into force definitively on 1 October 1983  
if by that date Governments representing at least 20 exporting Members  
holding at least 80 percent of the votes of the exporting Members and at  
least 10 importing Members holding at least 80 percent of the votes of  
the importing Members, calculated as at 30 September 1983, have deposited  
their instruments of ratification, acceptance or approval. Alternatively,  
it shall enter into force definitively at any time after 1 October 1983
if it is provisionally in force in accordance with the provisions of  
paragraph (2) of this Article and these percentage requirements are  
satisfied by the deposit of instruments of ratification, acceptance or  
approval.
(2) This Agreement may enter into force provisionally on 1 October 1983.  
For this purpose, a notification by a signatory Government or by any other  
Contracting Party to the International Coffee Agreement 1976 as Extended  
containing an undertaking to apply this Agreement provisionally and to seek  
ratification, acceptance or approval in accordance with its constitutional  
procedures as rapidly as possible, which is received by the Secretary-  
General of the United Nations not later than 30 September 1983, shall be  
regarded as equal in effect to an instrument of ratification, acceptance
or approval. A Government which undertakes to apply this Agreement  
provisionally pending the deposit of an instrument of ratification,  
acceptance or approval shall be regarded as a provisional party thereto  
until it deposits its instrument of ratification, acceptance or approval,

- 64 -
or until and including 31 December 1983 whichever is the earlier. The  
Council may grant an extension of the time within which any Government  
which is applying this Agreement provisionally may deposit its instrument  
of ratification, acceptance or approval.
(3) If this Agreement has not entered into force definitively or  
provisionally on 1 October 1983 under the provisions of paragraph (1) or
(2) of this Article, those Governments which have deposited instruments  
of ratification, acceptance, approval or accession or made notifications  
containing an undertaking to apply this Agreement provisionally and to  
seek ratification, acceptance or approval may, by mutual consent, decide  
that it shall enter into force among themselves. Similarly, if this  
Agreement has entered into force provisionally but has not entered into  
force definitively on 31 December 1983, those Governments which have  
deposited instruments of ratification, acceptance, approval or accession  
or made the notifications referred to in paragraph (2) of this Article,  
may, by mutual consent, decide that it shall continue in force  
provisionally or enter into force definitively among themselves.
Article 62  
Accession
(1) The Government of any State member of the United Nations or of any  
of its specialised agencies may accede to this Agreement upon conditions  
which shall be established by the Council.
(2) Instruments of accession shall be deposited with the Secretary-  
General of the United Nations. The accession shall take effect upon  
deposit of the instrument.

- 65 -
Article 63  
Reservations
Reservations may not be made with respect to any of the provisions  
of this Agreement.
Article 64
Extension to designated territories
(1) Any Government may, at the time of signature or deposit of an  
instrument of ratification, acceptance, approval or accession, or at any  
time thereafter, by notification to the Secretary-General of the United  
Nations, declare that this Agreement shall extend to any of the territories  
for whose international relations it is responsible; this Agreement shall  
extend to the territories named therein from the date of such notification.
(2) Any Contracting Party which desires to exercise its rights under the  
provisions of Article 5 in respect of any of the territories for whose  
international relations it is responsible or which desires to authorise  
any such territory to become part of a Member group formed under the  
provisions of Article 6 or 7, may do so by making a notification to that  
effect to the Secretary-General of the United Nations, either at the time  
of the deposit of its instrument of ratification, acceptance, approval or  
accession, or at any later time.
(3) Any Contracting Party which has made a declaration under the provisions  
of paragraph (1) of this Article may at any time thereafter, by notification  
to the Secretary-General of the United Nations, declare that this Agreement

-  66  -
shall cease to extend to the territory named in the notification. This  
Agreement shall cease to extend to such territory from the date of such  
notification.
(4) When a territory to which this Agreement has been extended under  
the provisions of paragraph (1) of this Article subsequently attains its  
independence, the Government of the new State may, within 90 days after  
the attainment of independence, declare by notification to the Secretary-  
General of the United Nations that it has assumed the rights and  
obligations of a Contracting Party to this Agreement. It shall, as from  
the date of such notification, become a Contracting Party to this  
Agreement. The Council may grant an extension of the time within which  
such notification may be made.
Article 65
Voluntary withdrawal
Any Contracting Party may withdraw from this Agreement at any time by  
giving a written notice of withdrawal to the Secretary-General of the  
United Nations. Withdrawal shall become effective 90 days after the  
notice is received.
Article 66  
Exclusion
If the Council decides that any Member is in breach of its obligations  
under this Agreement and decides further that such breach significantly  
impairs the operation of this Agreement, it may, by a distributed

- 67 -
two-thirds majority vote, exclude such Member from the Organization. The  
Council shall immediately notify the Secretary-General of the United  
Nations of any such decision. Ninety days after the date of the Council's  
decision, such Member shall cease to be a Member of the Organization and,  
if such Member is a Contracting Party, a party to this Agreement.
Article 67
Settlement of accounts with  
withdrawing or excluded Members
(1) The Council shall determine any settlement of accounts with a  
withdrawing or excluded Member. The Organization shall retain any amounts  
already paid by a withdrawing or excluded Member and such Member shall  
remain bound to pay any amounts due from it to the Organization at the  
time tr.6 vi tedraval or the exclusion becomes affective; provided, however,  
that in the case of a Contracting Party which is unable to accept an  
amendment and consequently ceases to participate in this Agreement under  
the provisions of paragraph (2) of Article 69, the Council may determine  
any settlement of accounts which it finds equitable.
(2) A Member which has ceased to participate in this Agreement shall not  
be entitled to any share of the proceeds of liquidation or the other  
assets of the Organization; nor shall it be liable for payment of any part  
of the deficit, if any, of the Organization upon termination of this  
Agreement.

-  68  -
Article 68
Duration and termination
(1) This Agreement shall remain in force for a period of six years until  
30 September 1989 unless extended under the provisions of paragraph (2)  
of this Article or terminated under the provisions of paragraph (3) of  
this Article.
(2) The Council may, at any time after 30 September 1987 by a vote of  
58 percent of the Members having not less than a distributed majority of  
70 percent of the total votes, decide either that this Agreement be  
renegotiated or that it be extended, with or without modification, for  
such period as the Council shall determine. Any Contracting Party which  
by the date on which such renegotiated or extended Agreement enters into  
force has not made a notification of acceptance of such renegotiated or  
extended Agreement to the Secretary-General of the United Nations, or any  
territory which is either a Member or a party to a Member group on behalf  
of which such notification has not been made by that date, shall as of  
that date cease to participate in such Agreement.
(3) The Council may at any time, by a vote of a majority of the Members  
having not less than a distributed two-thirds majority of the total votes,  
decide to terminate this Agreement. Termination shall take effect on such  
date as the Council shall decide.
(4) Notwithstanding the termination of this Agreement, the Council shall  
remain in being for as long as necessary to carry out the liquidation of

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the Organization, settlement of its accounts and disposal of its assets  
and shall have during that period such powers and functions as may be  
necessary for those purposes.
Article 69  
Amendment
(1) The Council may, by a distributed two-thirds majority vote, recommend
an amendment of this Agreement to the Contracting Parties. The amendment  
shall become effective 100 days after the Secretary-General of the United  
Nations has received notifications of acceptance from Contracting Parties  
representing at least 75 percent of the exporting countries holding at  
least 85 percent of the votes of the exporting Members, and from Contracting  
Parties representing at least 75 percent of the importing countries
holding at least 80 percent of the votes of the importing Members. The
Council shall fix a time within which Contracting Parties shall notify the  
Secretary-General of the United Nations of their acceptance of the amendment.  
If, on expiry of such time limit, the percentage requirements for the
entry into effect of the amendment have not been met, the amendment shall  
be considered withdrawn.
(2) Any Contracting Party which has not notified acceptance of an
amendment within the period fixed by the Council, or any territory which
is either a Member or a party to a Member group on behalf of which such  
notification has not been made by that date, shall cease to participate in  
this Agreement from the date on which such amendment becomes effective.

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(3) The provisions of this Article shall not affect any power invested  
in the Council under this Agreement to revise any Annexes thereto.
Article 70
Supplementary and transitional provisions
(1) This Agreement shall be considered as a continuation of the  
International Coffee Agreement 1976 as Extended.
(2) In order to facilitate the uninterrupted continuation of the  
International Coffee Agreement 1976 as Extended:
(a) all acts by or on behalf of the Organization or any of its  
organs under the International Coffee Agreement 1976 as Extended,  
in effect on 30 September 1983, the terms of which do not  
provide for expiry on that date, shall remain in effect unless  
changed under the provisions of this Agreement; and
(b) all decisions required to be taken by the Council during coffee  
year 1982/83 for application in coffee year 1983/84 shall be  
taken by the Council in coffee year 1982/83 and applied on a  
provisional basis as if this Agreement had already entered  
into force.
Article 71
Authentic texts of the Agreement
The texts of this Agreement in the English, French, Portuguese and  
Spanish languages shall all be equally authentic. The originals shall be  
deposited with the Secretary-General of the United Nations.

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IN WITNESS WHEREOF the undersigned, having been duly authorised to  
this effect by their respective Governments, have signed this Agreement  
on the dates appearing opposite their signatures.

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ANNEX I
PEOPLE’S REPUBLIC OF ANGOLA
1. Not later than 31 July of each year Angola shall notify the  
Executive Director of the amount of coffee it expects to have available  
for export during the following coffee year. The quota of Angola for that  
coffee year shall be the amount thus indicated provided that this amount  
does not exceed the export entitlement for Angola calculated on the basis  
of the application of the provisions of Articles 3Q and 35 of the  
International Coffee Agreement 1976 and provided that the amount indicated  
by the Member is confirmed by the Executive Director.
2. The annual quota of Angola established under the provisions of  
paragraph 1 of this Annex shall be exempt from downward or upward  
adjustments of quota and shall be deducted from the global annual quota  
established by the Council under the provisions of Article 34 prior to the  
allocation of annual quotas to exporting Members entitled to a basic quota  
under the provisions of paragraphs (1) and (2) of Article 35.
3. If the amount of coffee declared by Angola to be available for export  
in a coffee year exceeds the quota to which it would have been entitled  
under the provisions of Articles 3Q and 35 of the International Coffee  
Agreement 1976 the procedures provided for in this Annex shall be suspended.  
A basic quota shall be established for Angola and it shall be subject to  
all the provisions of the. Agreement applicable to exporting Members  
entitled to a basic quota.

- 75 - ANNEX 2
EXPORTING MEMBERS SUBJECT TO THE PROVISIONS OF ARTICLE 31
Number of votes
Percentage in addition to
Exporting Member share 1/ basic votes 2/- m w--
TOTAL (
a) with OAMCAF 100.00 44
(b) without OAMCAF 70.62 35
Bolivia 4.65 2
Burund i _3/ 7
Ghana 2.14 0
Guinea 4.25 2
Haiti 16.99 7
Jamaica 0.74 0
Liberia 5.52 2
Malawi 0.99 0
Nigeria 3.11 0
Panama 2.79 0
Paraguay 4.61 2
Rwanda 3/ 7
Sierra Leone 9.94 4
Sri Lanka 2.29 0
Thailand 4.44 2
Trinidad and Tobago 1.45 0
Venezuela 3.40 0
Zimbabwe 3.31 0
OAMCAF 29.38 9
Benin 2.24 0
Central African Republic 11.32 4
Congo 1.70 0
Gabon 1.70 0
Togo 12.42 5
1/ Refers to Members to which the provisions of paragraph (2) of  
Article 31 apply
27 Refers to the provisions of paragraph (3) of Article 13  
3/ See paragraph (6) of Article 31

- 77 - ANNEX 3
SHARE OF INDIVIDUAL MEMBERS IN THE GLOBAL QUOTA  
FOR EXPORTING MEMBERS ENTITLED TO A BASIC QUOTA  
IN COFFEE YEAR 1983/84
Exporting Member Percentage
TOTAL 100.00
Colombian Milds 20.12
Colombia 16.28
Kenya 2.48
Tanzania 1.36
Other Milds 23.36
Costa Rica 2.16
Dominican Republic 0.95
Ecuador 2.17
El Salvador 4.48
Guatemala 3.47
Honduras 1.49
India 1.24
Mexico 3.65
Nicaragua 1.28
Papua New Guinea 1.16
Peru 1.31
Brazilian and Other Arabicas 33.45
Brazil 30.83
Ethiopia 2.62
Robustas 23.07
Indonesia 4.55
OAMCAF 11.96
Uganda 4.44
Zaire 2.12
Note :  The Philippines as an exporting Member entitled to
a basic quota shall have an annual quota in coffee  
year 1983/84 of 470 000 bags which shall be subject  
to any adjustments applied to the quotas of exporting  
Members entitled to a basic quota under the provisions  
of the Agreement

I hereby certify that the foregoing text is a true and complete  
copy of the International Coffee Agreement 1983, open for signature  
at United Nations Headquarters from 1 January 1983 until and  
including 30 June 1983, the original of which is deposited with  
the Secretary-General of the United Nations.