Future Collaboration of ICO and CFC to Improve Coffee Producers' Livelihoods
Virtual Meeting, Amsterdam, 4 March 2025 – The Common Fund for Commodities (CFC) and the International Coffee Organization (ICO) engaged in an in-depth and productive discussion to address some of the most pressing challenges facing the global coffee sector. The meeting was attended by key representatives from both organizations, including Ms. Vanúsia Nogueira, Executive Director of the ICO, Ms. Hannelore Beerlandt, the incoming Head of Operations, Mr. Gerardo Patacconi, the outgoing Head of Operations of ICO, Ambassador Sheikh Mohammed Belal, Managing Director of CFC was assisted by Mr. Nicolaus Cromme, Chief Operating Officer and Ms. Zahra Kahla, CFC Intern.
As an introduction, the meeting acknowledged the long-standing partnership between ICO and CFC, with numerous joint projects undertaken in the past. The discussion then focused on the critical issue of narrowing the income gap faced by coffee-producing countries. Both organizations highlighted the need for innovative solutions to address the volatility of coffee prices, which continues to impact the livelihoods of farmers and workers in the coffee sector. Price fluctuations have long been a source of instability for coffee producers, and both ICO and CFC agreed that more must be done to provide sustainable and predictable income streams for these workers.
Recognition of ICO’s Leadership and Call for Enhanced Collaboration
Ambassador Sheikh Mohammed Belal commended Ms. Vanúsia Nogueira for her transformative leadership at the helm of the ICO, stating, “Under Ms. Nogueira’s guidance, the ICO has emerged as a dynamic force for innovation, driving initiatives that resonate deeply with the needs of coffee-producing communities.” He highlighted the organization’s recent strides in fostering inclusivity and advancing producer-centric policies, adding, “The ICO’s evolution under her stewardship exemplifies how institutions can adapt to become catalysts for equity in global trade.”
Ambassador Belal further urged the ICO to leverage its unique position as the principal forum uniting coffee-producing and importing countries. “As the central meeting point for dialogue between nations at both ends of the value chain, the ICO is uniquely positioned to champion fairness and rebalance power dynamics,” he emphasized. “By deepening collaboration with CFC, the ICO can amplify its impact, ensuring that financial resources, technical expertise, and market opportunities reach smallholders who need them most.”
Ms. Nogueira, in her remarks, reiterated the ICO’s commitment to strengthening ties with CFC, affirming that “only through united action can we dismantle systemic barriers and deliver prosperity to those who sustain this sector.”
Centrality of Smallholder Farmers and Humanizing Value Chains
A key theme of the dialogue was the centrality of smallholder farmers, who form the backbone of global coffee production yet remain disproportionately vulnerable to systemic inequities. Ambassador Belal stressed the necessity to “humanize coffee value chains” by prioritizing the dignity, rights, and economic security of farmers and workers. “Behind every bean is a family striving for a decent life,” he remarked. “Our strategies must reflect their humanity, ensuring fair compensation, safe working conditions, and opportunities for upward mobility.”
Managing Director of CFC, Ambassador Sheikh Mohammed Belal, and Executive Director of ICO, Ms. Vanúsia Nogueira, both agreed on the urgency of developing collaborative strategies to bring more resources to the sector. This includes providing greater financial support and investing in initiatives that promote sustainable agricultural practices, fair trade, and stronger market access for smallholder farmers. In particular, the conversation underscored the importance of improving the living income of coffee workers, whose livelihoods are increasingly under pressure due to the growing challenges of climate change, market instability, and insufficient support systems.
Call for Private Sector Engagement in CFC’s ACT Fund
To accelerate progress, both organizations urged private sector partners to step up their participation in CFC’s Agricultural Commodity Transformation (ACT) Fund. Ms. Beerlandt emphasized that “the ACT Fund is a critical vehicle for channeling corporate social responsibility into tangible outcomes for smallholders, who bear the brunt of production risks yet reap the least rewards.” By contributing to the fund, businesses can directly support climate resilience programs, access to finance, and capacity-building initiatives for farmers.
Collaborative Climate Action
The meeting also prioritized the need for unified action to address climate challenges. Ms. Nogueira highlighted that “climate change is not a distant threat—it is already eroding yields and incomes today.” CFC and ICO agreed to align their efforts in promoting climate-smart agriculture, such as agroforestry and water-efficient practices, while mobilizing funds for adaptation and mitigation projects. This collaboration will focus on empowering smallholders with tools and knowledge to build resilience against extreme weather and shifting growing conditions.
Ms. Vanúsia Nogueira, in her remarks, emphasized the ICO’s commitment to furthering cooperation with CFC, expressing her strong interest in deepening the relationship between the two organizations to facilitate more productive discussions and partnerships. She highlighted that the challenges faced by the coffee sector primarily arise from the coffee producers themselves, underscoring the importance of addressing their needs through a closer working relationship between ICO and CFC. This collaboration would enable both entities to mobilize more resources to tackle the ongoing issues impacting coffee producers.
As the meeting concluded, both parties expressed their readiness to continue the dialogue with a shared focus on finding actionable solutions. The next phase of discussions between CFC and ICO will build upon today’s conversation, exploring practical avenues for collaboration, resource mobilization, and the development of strategies aimed at securing better incomes and long-term sustainability for coffee producers worldwide.
This meeting marks a significant milestone in the strengthening of the partnership between ICO and CFC. The outcomes of today’s discussions are expected to pave the way for impactful initiatives that will directly improve the livelihoods of smallholder coffee farmers and contribute to the overall stability and sustainability of the global coffee value chain.
About the Common Fund for Commodities (CFC):
The Common Fund for Commodities (CFC) is an intergovernmental financial institution established within the framework of the United Nations. Its mission is to support commodity-dependent developing countries in their efforts to alleviate poverty, promote sustainable development, and achieve the Sustainable Development Goals (SDGs).
About the International Cocoa Organization (ICO):
The International Coffee Organization (ICO) is an intergovernmental body dedicated to the global coffee sector. Established in 1963 under the auspices of the United Nations, the ICO brings together coffee-exporting and coffee-importing countries to address the challenges facing the sector. It works to promote international cooperation, support sustainable development, and improve the livelihoods of coffee producers worldwide by addressing issues such as price volatility, market transparency, and sustainability.
For media inquiries, please contact:
[CFC Media Relations Team]
[Email: managing.director@common-fund.org]
[Phone: +31 20 575 4949]