C-Market Definition
The C-Market, also known as the "coffee market" is the global exchange where coffee is traded as a commodity on a daily basis. This market began 54 years ago as a new trading contract for Central American Arabica coffees that uses the futures market to establish floor prices, which replaced the "U-Contract" (Universal Contract). The C-Market is not only a tool to discover the prices of coffee, but also serves as a stabilization mechanism and aims to standardize trading practices. It is sometimes referred to as simply "the market" and it can be considered as a complex system to understand. Understanding the C-Market and its role in determining coffee prices is important for coffee industry professionals and investors.
Explained in simple terms so everyone can understand
C-Market is a place where people buy and sell coffee every day. It's like a big store where they sell coffee and they use it to find out how much coffee is worth. A long time ago, they started using a new way to sell coffee and they call it "C-Market" because it's for coffee from Central America. It's a bit complicated but it helps make sure the price of coffee is fair and consistent.