PROCEDURES FOR THE CALCULATION
OF DAILY GROUP AND COMPOSITE INDICATOR PRICES

Source: International Coffee Organization

Other Mild Arabicas: Coffee Industry Prices and Rates

1.         Each coffee market day the Executive Director shall take the ex‑dock prompt shipment prices of the following growths of coffee of the Other Mild group in each of the markets indicated and find the arithmetical mean of these prices in each of the coffee markets separately:

Coffee Market	Growths of coffee
New York	Costa Rica Hard Bean
	El Salvador Central Standard
	Guatemala Prime Washed
	Mexico Prime Washed
Bremen/Hamburg	Costa Rica Hard Bean
	El Salvador Strictly High Grown
	Guatemala Hard Bean
	Nicaragua Strictly High Grown

2.         During the period from 1 October to 31 January in each coffee growing year, when information relating to coffee prices of both past and new crops of the above‑mentioned growths is received, the Executive Director shall calculate the arithmetical mean of the coffee bean prices received for each growth before calculating the arithmetical mean of the growths for each coffee market separately.

3.         Subject to the provisions of paragraph 2 and of paragraphs 4 and 5, the Executive Director shall calculate for each market day the indicator coffee market prices for the group of Other Mild Arabicas by applying the following weightings:

• 75 percent of the average New York coffee price;
• 25 percent of the average Bremen/Hamburg coffee price.

4.         If the price of one or more of the growths referred to in paragraph 1 is not quoted in either one of the markets, the average wholesale coffee prices for Other Mild Arabicas on the market concerned shall be calculated by applying the mean percentage change in the prices of the remaining growths to the average price for Other Mild Arabicas on that market on the preceding market day.  This procedure shall be followed for up to five consecutive market days.  If after five consecutive market days the prices of one or more growths on a market continue not to be quoted, the mean of the price of the remaining growths shall be taken thereafter as the price of Other Mild  Arabicas on the market concerned.

5.         Subject to the provisions of paragraph 11, if the prices of none of the growths mentioned in paragraph 1 are quoted on the New York coffee market or if the prices of none of the growths are quoted on the German coffee market, the daily indicator price for the group of Other Mild Arabicas shall be calculated as follows:

1. if the average price of the New York coffee market is not available, the indicator price of the group shall be calculated by applying the percentage change in the German average price to the indicator price for the group on the preceding market day;
2. if the German average price is not available, the indicator price of the group shall be calculated by applying the percentage change in the average price on the New York coffee market to the indicator price for the group of the preceding market day.

If after five consecutive market days there continues to be no average price for the New York coffee market or no average price for the German coffee market, as the case may be, the Executive Director shall call a meeting of the Executive Board to decide on the appropriate action to be taken.

Robusta Coffee

6.         Each market day the Executive Director shall take the ex‑dock prompt shipment prices of the following growths of coffee of the Robusta group in each of the coffee markets indicated and find the arithmetical mean of these prices in each of the coffee markets separately:

Coffee Market	Growths of coffee
New York	Côte d’Ivoire Grade 2
	Indonesia EK Grade 4
	Uganda Standard
	Vietnam Grade 2
Le Havre/Marseilles	Cameroon Grade 1
	Côte d’Ivoire Grade 2
	Indonesia EK Grade 4
	Uganda Standard
	Vietnam Grade 2

7.         Subject to the provisions of paragraphs 8 and 9, the Executive Director shall calculate for each market day the indicator price for the group of Robustas by applying the following weightings:

• 60 percent of the average New York coffee price;
• 40 percent of the average Le Havre/Marseilles coffee price.

8.         If the coffee price of one or more of the growths referred to in paragraph 6 is not quoted in either one of the markets, the average price for Robustas on the market concerned shall be calculated in a manner similar to that described in paragraph 4.

9.         Subject to the provisions of paragraph 11, if the prices of none of the growths mentioned in paragraph 6 are quoted on the New York market or if the prices of none of the growths are quoted on the French market, the daily indicator price for the group of Robustas shall be calculated in a manner similar to that described in paragraph 5. If after five consecutive market days there continues to be no average coffee price for the New York market or no average coffee price for the French market, as the case may be, the Executive Director shall call a meeting of the Executive Board to decide on the appropriate action to be taken.

Composite indicator price

10.       For each market day the Executive Director shall calculate:

1. the composite indicator price by taking the arithmetical mean of the group indicator prices for Other Mild Arabicas and Robustas calculated in the manner described in paragraphs 1 to 9;  and
2. the 15 day moving average, over 15 consecutive market days, of the composite indicator price calculated in the manner described in sub-paragraph (a) above.

11.       For the purposes of these procedures, "market day" shall be deemed to mean a day when the market in New York is open for business and operative.