The History of The Green Coffee Association
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| 1923 marked the formal incorporation of the Green Coffee Association of New York City. Actually, there had been meetings and discussions for several years prior to the incorporation, and the Association
elected its first Officers in 1922. These were Wm. Bayne of Wm. Bayne & Co., President; Leon Israel of Leon Israel & Co., Vice President; C.A. Mackey of C.A. Mackey & Co., Treasurer. At the same time, a twelve-man Board of Directors was chosen. There were approximately a hundred members, and the names of their firms were almost all those of the partners, whether they were Importers, Brokers or Agents.
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Coffee brokers and traders proudly pose in front of their offices in lower Manhattan. Circa:1897
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Foremost on the agenda of the Association was setting up a committee to write up a Standard Coffee Contract, and to establish the rules and procedure for arbitration of disputes, both quality & technical; also, the Association established a committee to work on Freight Rates, both steamship and railroad, and on a standard TARE allowance; and an Activities Committee to plan social functions.
The priorities for the Association in 1923 continue to be valid and essential for the coffee trade in 1998
Moving swiftly, in February 1923 a "Spot Quotation" committee was formed, a necessity for both the domestic trade and for exporters to use as a pricing guideline. Led by members of the Board such as Aborn of Aborn & Cushman, Ehrhard of Woods, Ehrhard, Enright of D.M. Enright, Israel of A.C. Israel, as well as the Officers of the Association, the GCA became involved in all aspects of the coffee world. Representatives were appointed to discuss and participate in a Trade Publicity Campaign to promote coffee consumption with members from the New Orleans and San Francisco green coffee trade. Also, in 1923, a uniform brokerage amount was agreed upon: Milds @ .25/bag; Santos @ .20/bag; Rios @ .15/bag.
In January, 1924, a first draft for a Standard Mild Contract was submitted to the Board, drafted by Russell of Russell & Co., Volkening of Mecker & Co., Mitchell of Mitchell Bros., and others. In March, a final revised Contract was approved, and sent to the membership for ratification, which was swiftly done. In April, the Committee began work on a standard contract for Brazilian coffee, assisted by Hartranft of Hard & Rand, Simmonds of W.L. Simmonds, Peabody of T. Barbour Brown, and others.
Over the next several years, the Association's contracts became the standard for the entire East Coast of the USA. A Brazil contract was proposed in 1926, as well as the oath which arbitrators must take prior to serving on an arbitration panel. The Traffic & Warehouse Committee actively pursued the shipping companies and railroads for the most competitive rates, as well as for more uniform Bills of Lading and other paper work. The GCA took an active part in discussion and hearings with the Food and Drug
Administration starting in the 1920's led by Runkel of Sprague & Rhodes, Schelesinger of J.W. Phyfe & Co., and Taffae of Leon Taffae. This cooperation led to a key ruling in 1928 that "Robusta is grown
from a coffee seed and does not have to be labeled as an item - Other Than Coffee."
<>BR>Thus, in the first five years of its existence, the tone was set for the GCA services and benefits for the entire coffee trade, through its Committees work on steamer & rail rates, warehousing, liaison with the Food & Drug Administration, Customs Authorities, and the development and general use of both the Standard Contracts, and the Arbitration Procedures.
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