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OUT OF THE BOX

Three by Three Questions: The many steps and challenges behind a single coffee trade

OUT OF THE BOX

Three by Three Questions: The many steps and challenges behind a single coffee trade

While “a coffee trade” may sound straightforward, it actually involves complex processes, numerous participants, and unique challenges. In this episode of our ‘Three Times Three Questions’ series, we interview key professionals from the import, logistics, and export sectors. Through their insights and real-life stories, we uncover how their contributions keep the coffee business running smoothly and highlight examples of overcoming obstacles through collaboration and teamwork.

What is the most important contribution you make in your job to ensure that the coffee is in the right place at the right time?
Is there a situation in which you became particularly aware that our business would not function without good cooperation (with colleagues, business partners, internationally)?
What has been your most unusual challenge so far — and how did you solve it?
My primary contribution is anticipating structural bottlenecks before they become operational problems. In 2025, the issue was rarely crop size, it was liquidity concentration and timing. By closely monitoring farmer selling behavior, differential exposure, and spread structure, we reduced long risk early and avoided being forced into defensive execution. That discipline allowed us to keep stocks lean, prioritize nearby shipments, and maintain optionality even when volatility intensified. Ensuring coffee is in the right place at the right time is ultimately about balance-sheet awareness, coordinated execution, and not overcommitting ahead of uncertain flow.
I became particularly aware of the importance of cooperation during periods when physical coffee was trading mostly between exporters rather than flowing from producers. Liquidity was thin and highly concentrated. A similar situation repeated in 2026, but with the opposite distribution of liquidity: this time the coffee was largely in the hands of farmers, who slowed selling materially. Despite very different fundamentals, the operational effect was the same: limited flow and high execution sensitivity. Experiencing both regimes reinforced how essential close coordination is across origin, logistics, and destination to keep contracts moving when the market stops behaving normally.
The most unusual challenge was managing record conilon production while farmer selling remained historically slow. On paper, supply was abundant; in practice, flow was restricted. This created a disconnect between structural surplus expectations and realized liquidity. The solution was not to chase volume but to adapt behaviorally with focus on short-dated opportunities, maintain minimal forward exposure, and selectively position for anticipated surplus pressure. It required resisting the temptation to overextend during volatility and instead prioritizing disciplined execution, blending advantages, and risk containment.

Sergio Coelho,
Commercial Director,
NKG Stockler

What is the most important contribution you make in your job to ensure that the coffee is in the right place at the right time?
Is there a situation in which you became particularly aware that our business would not function without good cooperation (with colleagues, business partners, internationally)?
What has been your most unusual challenge so far — and how did you solve it?
In maritime logistics, anticipation is key. My main contribution is staying ahead of the trader’s needs — tracking agreements with suppliers, understanding preferred routes, budgets, and timing. Australia’s geographic isolation adds complexity, with fewer vessels and limited frequency compared to Europe, so early planning is essential. By identifying requirements well in advance and coordinating closely with all parties, I ensure shipments are booked, routes are optimized, and coffee arrives on time and in the right place. Proactive communication and careful planning make the difference between smooth cargo delivery and delays.
Coffee logistics is complex and sensitive — quality can degrade, market prices fluctuate daily, and delays can turn a good deal into a loss. From experience, I’ve learned that smooth operations depend entirely on strong cooperation with colleagues, suppliers, and international partners. When challenges arise, the only way to mitigate risk is through teamwork, clear communication, and fair agreements. Building and maintaining these relationships ensures problems are solved collaboratively and the business functions sustainably over the long term.
One of my most unusual challenges was early in my role at NKG in 2021. A shipment from Peru was delayed, and the route wasn’t covered in our current service tender. I took the initiative to contact alternative carriers, leveraging previous experience and contacts, and secured a new carrier to complete the shipment. With the trust of my team and boss, the coffee arrived on time — a huge success. This taught me that past learnings are a toolkit, and creative problem-solving, combined with collaboration, can turn unexpected challenges into wins.
Debora Cardenas, Inbound Maritime Specialist, InterAmerican Coffee Australia
What is the most important contribution you make in your job to ensure that the coffee is in the right place at the right time?
Is there a situation in which you became particularly aware that our business would not function without good cooperation (with colleagues, business partners, internationally)?
What has been your most unusual challenge so far — and how did you solve it?
For me, the key is to study and to have a sound understanding of the supply chains for which you are responsible. For example, understanding the nuances of logistics in different origins and how this affects lead times. There is knowing shipping routes and transit times to your key destinations, as well as being aware of the capacity of our warehouses to make coffee available for clients to pick up. This knowledge of the risks associated with coffee trading means that we can make informed decisions and ensure that coffee is there for our clients when they need it.
I think the last two years have been a perfect example of this. As a trader, I have only known inverted markets and rallying terminals, adverse weather events and geopolitical tensions. This has made for extremely difficult trading conditions, up and down the supply chain. Hearing experienced colleagues talk of how this current situation is like nothing they have seen before made me realize quickly how fortunate we are at NKG to be able to cooperate with our colleagues all over the globe. This cooperation has allowed us to better help our clients weather the storm of the last two years.
While I can’t think of a challenge that was in itself unusual, the process and requirements for dealing with problems are always the same. Good communication and fast action help prevent problems from spiraling and becoming more difficult to solve than they should be. Additionally, make full use of the expertise around you (there is no shortage of this at NKG). While you may not have encountered certain challenges that arise, there is a good chance that others have who can make things clearer and easier to handle.

Oliver Robertson,
Trader,
Berhard Rothfos

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