The ICO Marks – Identification System in the Coffee Industry

ICO Marks, or ICO codes, are an international identification system developed and managed by the International Coffee Organization (ICO). As per the latest regulations approved at the 134th session of the International Coffee Council on October 7, 2022, all coffee shipments must carry a unique ICO code. The system aims to ensure transparency and traceability in global coffee trade, setting a standard for identifying and tracking coffee shipments worldwide.

• Structure and meaning of the coffee identification code

Each ICO code is a unique number consisting of three interrelated components:

1. Country Code: A three-digit code assigned to each member country by the ICO.
2. Producer or Exporter Code: A four-digit code assigned by the member country to identify individual businesses within their territory.
3. Shipment Serial Number: A five-digit number assigned by the producer or exporter, starting at 1 each coffee year (beginning October 1) and incrementing sequentially.

Practical Example:

– 010: Country code for Ethiopia.

– 1402: Exporter code identifying the company responsible for exporting the coffee.

– 0001: Serial number distinguishing different shipments from the same exporter.

Map of member countries in the ICO system.

• The process of applying ICO Marks

The implementation of ICO Marks follows a strict and systematic process. First, producers and exporters must complete the registration procedures with the relevant authorities in their country to obtain an identification number. Following this, the ICO code must be printed directly onto the packaging or stamped onto a metal tag attached to the shipment’s packaging. All information regarding the ICO code must be thoroughly documented in the Certificate of Origin and verified by Customs or an authorized Certification Body before the shipment is allowed for export.

• Role in international trade

As global coffee trade becomes increasingly complex, the ICO Marks system plays a crucial role in ensuring the transparency and reliability of the supply chain. This system not only enables precise traceability of each coffee shipment but also provides valuable data for industry research and development. Through the analysis of coffee trade flows, ICO Marks help stakeholders make informed business decisions, minimize the risk of trade fraud, and protect the interests of all participants in the global coffee value chain.

ICO Marks are essential for tracking and managing the coffee supply chain, ensuring transparency and quality of coffee shipments in international trade. This system sets a global standard, allowing for the accurate identification and monitoring of coffee throughout its journey from producer to consumer.

• Ensuring quality and standards

ICO Marks play an essential role in verifying the quality of specialty coffee. According to ICO Resolution 420, Arabica coffee should not have more than 86 defects per 300g sample (using the Brazil or New York grading method), while Robusta should not exceed 150 defects. The moisture content must range between 8-12.5%, measured by ISO 6673 standards. These parameters are recorded and linked to the ICO code for each shipment, creating a comprehensive quality tracking system.

• Transparency in the supply chain

The ICO Marks system enables tracking of specialty coffee from its origin to its destination. According to the 2022 annual ICO report, shipments marked “S” (Specialty) in the Certificate of Origin must meet both defect and moisture content standards. This allows buyers to verify not only the origin but also the quality of the coffee they are purchasing.

For specific varieties like Indian Monsooned coffee, which naturally has higher moisture levels, it can still be marked “S” if that characteristic is inherent to the product.

• Supporting sustainable development

ICO Marks also promote the sustainable growth of the specialty coffee industry. By linking with certifications such as Rainforest Alliance, Fair Trade, or UTZ, the system helps buyers identify shipments meeting sustainability standards. According to ICO’s 2023 report, the number of specialty coffee shipments with sustainability certifications has increased by 45% over the past five years, reflecting the growing demand for responsibly produced coffee.

Unlike product barcodes or QR codes, ICO Marks are not used for direct scanning at the point of sale. Instead, they are primarily utilized in shipping documents and import/export paperwork. ICO Marks are internationally recognized and widely accepted in the global coffee industry, serving as a standard for identification and traceability throughout the supply chain.

XLIII Coffee aims to become one of the leading specialty coffee importers in Vietnam by integrating the ICO Marks system into its development strategy as a quality assurance tool.

• Commitment to quality through traceability

Every shipment imported by XLIII Coffee is carefully tracked through its ICO code, allowing the company to verify the origin and characteristics of each coffee type. This is especially important when XLIII Coffee collaborates with specialty coffee farms from renowned regions like Colombia, Ethiopia, and Peru. This system helps the company establish a complete coffee value chain.

• Building a sustainable supply chain

Through ICO Marks, XLIII Coffee has established a network of reliable partners in renowned coffee-producing regions. The company works directly with farms certified by Rainforest Alliance, where coffee is wet-processed to preserve its flavor. Each partner has a unique producer code in the ICO system, enabling precise traceability of each shipment’s origin and production process.

• Enhancing brand value

For XLIII Coffee, ICO Marks are essential for building a transparent and trustworthy brand. By allowing customers to trace coffee origins through the ICO code, the company not only demonstrates its commitment to quality but also differentiates itself in the competitive specialty coffee market.

With a vision to become one of the leading specialty coffee brands in the region, XLIII Coffee is continuously expanding its network of partners and enhancing the use of technology in supply chain management. This commitment promises to deliver even greater transparency and reliability in coffee traceability.

According to the latest ICO report (2023), the ICO Marks system is undergoing a comprehensive digital transformation. Integrating blockchain technology and QR codes into the traceability system is being tested in several member countries, promising to enhance transparency and efficiency in tracking the global coffee supply chain.

The rise of e-commerce requires the ICO Marks system to adapt to new demands. ICO is developing digital solutions for rapid and accurate verification of coffee shipments in online trade. The World Coffee Portal forecasts that by 2025, about 35% of specialty coffee transactions will be conducted on digital platforms.

Conclusion

ICO Marks are more than just a labeling system – they represent the intersection of quality, transparency, and value in the specialty coffee industry. In the digital age, with new challenges and opportunities, this system continues to evolve, ensuring that every cup of coffee carries the story of its origin and quality. For companies like XLIII Coffee, ICO Marks are indispensable for building a sustainable specialty coffee platform, where the true value of coffee is honored and protected.

The images in the article are owned by XLIII Coffee and have been collected by XLIII Coffee.

1. Are ICO Marks mandatory for all coffee shipments?

Yes, under ICO regulations, all coffee shipments from member countries must carry an ICO code, except for samples under 60kg or coffee used on international transport vessels.

2. How can the authenticity of an ICO code be verified?

ICO codes can be verified through the ICO database or authorized certification bodies in each member country.

3. Do ICO Marks affect coffee prices?

While ICO Marks do not directly influence prices, the transparency and traceability they provide can enhance a shipment’s value, especially in the specialty segment.

4. Do ICO codes have an expiration date?

ICO codes are issued for specific shipments and are valid throughout the transportation and trading process.

5. How do you read an ICO code?

The ICO code consists of three parts: the country code (3 digits), the producer/exporter code (4 digits), and the shipment serial number (5 digits). Each part has a specific meaning for traceability.