World coffee markets stirred up

BY DALE K. DUPONT
Knight Ridder News Service

MIAMI — Talk about a jolt from java.

World supplies of coffee exceed demand. Quality is deteriorating. Prices paid to growers are in a slump, while prices of some supermarket brands are going up. Colombia is opening a string of coffee shops to shore up its market. And Starbucks is pushing into Latin America.

"Coffee is in turmoil," said Roberto Olmedo, general manager of Colmar Storage, one of a handful of South Florida warehouses officially designated by the New York Board of Trade as delivery points for green coffee destined for futures trading. Only two other ports — New Orleans and New York — share the coveted designation.

But trouble is brewing in that pot, too. The Port of Houston wants similar status, which likely would cut into everyone's business. Coffee is important to South Florida, a hub for importers, roasters and traders and 22 percent of the country's warehoused stocks.

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