VCT: News from the Cupping Table

Michael Wes Vournas

Andrew Vournas — Mon, 21 Sep 2009 04:00:00 +0100

Michael Wes Vournas

Born August 28, 1962- Passed away September 12, 2009

Michael has passed away after a two and half year battle with cancer. He fought and dealt with this awful disease much like everything else he did in life with courage, humor, tenacity, dignity, and passion. He was a loving husband to Cindy for twenty-six years and a loving father to his daughters Jessica 25 (Jesse Mathieu), Christina 18, and Mikaela 16. He is also survived by his three grandchildren Grace 5, Jack 2, David 1 as well as his Mother Georgia and Brother Andrew.

Although only forty-seven years old Michael led a very full life, marrying the love of his life in Cindy at nineteen years old and having his first child at age twenty-one. Michael was always interested in law enforcement as a kid, which led to his first career job in 1982 as a police officer for the Glendale Police Department for four years. In 1986 while holding various jobs including running a restaurant, he decided to go back to school. He earned a degree in Political Science with honors from the University of Southern California in 1989.

From then forward he hit the ground running. Mike started a fourteen year career in Federal Law Enforcement for Federal Probation and Parole as a Parole Officer. Serving first in the Los Angeles office, Columbus Ohio, and finally in Sacramento/Roseville. He also became a certified Firearms Instructor where he taught proper shooting techniques, and firearm training. Retiring in May of 2003 he needed a change of scenery. This led him to his entrance into the field of coffee importing.

In April of 2002, while in Michael’s kitchen the idea of Vournas Coffee Trading was born. Together with his brother Andrew, Vournas Coffee Trading began on April 15, 2002. Michael besides being an early investor and partner in the company also became Vice President. Mike took a liking not only to coffee, but to the day to day challenges of running a small family owned business. He fell in love with coffee, and the people in the business. He used to say that it is not often that one starts a second career at forty years old. Mike enjoyed the camaraderie with his colleagues, and loved to travel to various parts of the world searching for coffee, and also becoming educated on how the developing world works. He was a great writer and enjoyed writing his blog for the company website. He always took time to be with family and friends. All of this love he gave out over the years came back to him in multiples.

He will be sorely missed, never replaced, and always remembered by those who knew him and loved him. From his electric smile that would light up the room, to his masterful descriptive story telling you always knew that he was your friend. Mike loved watching his beloved USC Trojans play football cheering his team on from Section 15 Row 65 Seat 121.May God bless “Mickey V” as we remember the good times that he brought to all of us throughout our lives.

If you wish to make a donation in Michael’s honor you can do so in two ways. The first is for the Vournas College Fund. The second is for Sarcoma Cancer Research through the Jonsson Comprehensive Cancer Center.

Vournas College Fund
To support the Vournas College Fund please send your check to Chase Bank with a note that you wish to have your donation go to the Vournas College Fund for Christina and Mikaela Vournas. Include the Account#3612344345 on your note and on the check. Please mail to:

Vournas College Fund
c/o Chase Bank
1678 N. Moorpark Road
Thousand Oaks, CA 91360

Sarcoma Cancer Research at the Jonsson Comprehensive Cancer Center
To support Sarcoma Cancer Research at the Jonsson Comprehensive Cancer Center you can do so by selecting one of the following ways to give. Cindy Vournas will be sent a card by the Jonsson Comprehensive Cancer Center notifying her of your donation.

By Check:
Please make your check payable to: Jonsson Cancer Center Foundation or simply JCCF. Please include a note with the check that you wish to have your donation go to Sarcoma Cancer Research, and that it is in remembrance of Michael Vournas.
Please send your donation to:

Please make your check payable to: Foundation or simply JCCF. Please include a note with the check that you wish to have your donation go to

Jonsson Cancer Center Foundation
Box 951780
Factor Building, Room 8-950
Los Angeles, CA 90095-1780

For Online Donations:
Please visit our website at www.cancer.ucla.edu and click on Make A Gift on the lower tool bar. In the credit card section, which is step 4 in the online donations screen, please include in the comments section a note that it is for Sarcoma Cancer Research.

By Credit Card/By Phone:

If you wish to make a donation by credit card or if you have any questions, please feel free to call Cynthia Sheppard at the Jonsson Cancer Center Foundation at (310) 206-0675.

Independence Day Holiday - VCT Closed

Michael Vournas — Wed, 01 Jul 2009 04:00:00 +0100

Greetings!

Vournas Coffee Trading will be closed for Independence Day on Friday, July 3, 2009. Warehouses on both coasts will be closed as well.

We hope you are able to enjoy a day celebrating America's independence and honor the fine men and women of our nation who stood against tyranny, repression and unreasonable taxation without representation. Many unselfishly gave their lives so that we can enjoy daily the freedoms that are the envy of the world! What a reason to celebrate!

Happy News!

Michael Vournas — Tue, 24 Feb 2009 05:00:00 +0100

We are proud to announce to the coffee world the arrival of Kari's twins! Her new daughter, Baylee, at 7pds 5 oz, and her new son, Jace, 8 pds 1 oz, were born this morning! Babies and mom are doing well! Kari will be out of the office on well deserved maternity leave through mid-April.

President's Day Closure

Michael Vournas — Sat, 14 Feb 2009 05:00:00 +0100

In honor of our fine President's Day, both warehouses and our office, as well as the coffee market, will be closed on Monday, February 16, 2009.

Please enjoy your holiday safely.

We will be back Tuesday during regular business hours to serve you.

February 2009 Coffee Update

Michael Vournas — Fri, 30 Jan 2009 05:00:00 +0100

According to the bi-annual Reuters Poll released yesterday, Arabica prices are expected to rise by 20 percent by the end of 2009. The world-wide financial crisis is expected to negatively impact the growers' ability to spend on inputs to production (fertilizer, tree care, etc.) and labor, thus decreasing coffee outputs and enacting the always present supply/demand equation. At the same time, history shows an increase in coffee consumption during economic downturns. Yes, believe it or not, consumption rises at home consumption points, and this has been true over every economic contraction over the last forty years. Think bulk bean sales!

All polled analysts showed a bullish position on coffee. The coffee market is expected to tighten in 2009/2010, as both Brazilian and Vietnamese crops are expected to be off slightly while world-wide demand stays stable or increases. Plus, and probably most telling, major fund and investor movement into the coffee market has been made in early 2009, believe it or not! Investors are seeing these conditions and placing their money investments into "long" coffee futures contracts. The lowest "high" price in the poll was forecast to be 1.20 and the highest "high" was 2.00 p/pd.

Once again the same old record plays...if you need it and can find comfort on a forward price point, by all means we would recommend depth in availablity secured by forward contracts. Buy ahead and save your worries when and if it works for you.

Waste Coffee Grounds make Biodiesel Fuel

Michael Vournas — Thu, 11 Dec 2008 05:00:00 +0100

Would you believe it if I told you that researchers reported today that waste coffee grounds can provide a cheap, abundant, and environmentally friendly source of biodiesel fuel for powering our cars and trucks? It is true. In a new study released today, researchers reported that spent coffee grounds contain between 11 to 20 percent oil by weight, which is about as much as traditional biodiesel sources such as palm and soybean oils.

They postulate that the spent coffee grounds could potentially add 340,000,000 gallons of biodiesel to the world's fuel supply. The scientists collected spent grounds from a multinational coffeehouse chain and separated the oil. They then utilized an inexpensive process to convert 100% of the oil into biodiesel. The resulting fuel actually smells like coffee and has an advantage over traditional bio-fuels in that it is is more stable due to its high antioxidant content. And, solids left over from the conversion process can actually be converted into ethanol!

Who knew that coffee could be so good for the environment and taste so wonderful. Encouraging news for our world.

Thanksgiving, Christmas and New Year's Holiday Closures

Michael Vournas — Thu, 13 Nov 2008 05:00:00 +0100

Vournas Coffee Trading wishes to remind everyone of our upcoming holiday schedule for Thanksgiving, Christmas and New Year's Day.

For the Thanksgiving holiday we will be closed on Thursday, November 27, and Friday, November 28.

We will be OPEN from 8am-NOON PST on Wednesday, December 24, and CLOSED on Thursday, December 25, and Friday, December 26.

We will be closed on Thursday, January 1, 2009, and Friday, January 2, 2009, we will be closed as well.

Since warehouses on both coasts will also be closed on the above dates, please plan purchases and shipments with these closures in mind. As always, we hope you are able to safely enjoy your holidays. We wish you all peace and prosperity in the coming year.

Jamaican Blue Mountain For Sale Anyone?

Michael Vournas — Thu, 23 Oct 2008 04:00:00 +0100

The famous producers of Jamaican Blue Mountain coffees, Wallenford and Mavis Bank, are for sale. Currently, the Development Bank of Jamaica holds a 70% ownership stake in Mavis Bank, and is attempting its sale in order to recover a significant sum of money owed to it by the company. Wallenford is being packaged for divestment and sale. Jamaica exported 16,200 tons of Blue Mountain coffee last year. Wallenford and Mavis Bank accounted for nearly 50% of the total exports. Both coffee producers are owned in part by the government of Jamaica. In 2005/2006, Wallenford lost $47 million, and in 2006/2007 they lost $56 million. Income grew from $604 million to $830 million between both years, while the cost of sales and direct expenses also grew from $424 million to $521 million. Administrative expenses jumped from $138 million to $312 million. Clearly, there are alot of hands in the mix, many of which must be holding a significant amount of green (money, not beans)... I think the answers to many of your questions regarding the prices of Jamaican coffee might be reflected in several of the above sentences.

We have heard that coffee cherry will still be sold to meet demand for the 2008/2009 crop, however it is fairly well known that the crop sustained significant damage from the recent hurricanes that plowed through the island. Losses from Tropical Storm Gustav amounted to 400,000 pounds and are estimated at over $100 million alone.

If I were a betting guy, I would look for prices to move upwards for any Jamaican coffee that will available this holiday season. Please don't shoot, I am only the messenger of this Jamaican news. Feel free to talk with us about possible replacement coffees if the prices drive you to "just say no."

Vournas Coffee Trading Blog

Michael Vournas — Mon, 06 Oct 2008 04:00:00 +0100

We have a newly launched blog that we hope will be of assistance to our roasters and people with interest in green coffee. You can find it at http://vournascoffee.blogspot.com

Let us know what you think and if you would like any specific issues addressed. Thanks for your support.

Organic 401b - Organic Transaction Certificates

Michael Vournas — Fri, 26 Sep 2008 04:00:00 +0100

Recently we learned that our organic inspector has raised the price of issuing organic transaction certificates, and it was a significant price increase. I am left to wonder why issuing a solitary piece of paper which includes information we provide them has to cost so much? I am thinking that they are growing tired of issuing pieces of paper that are, by law, unnecessary. Maybe they are thinking if they make it so expensive the desire to obtain them will stop? In any event, in order not to lose money, Vournas Coffee Trading has raised the price of obtaining an organic transaction certificate accordingly. Remember, THEY ARE UNNECESSARY! So do not let your inspector demand them from you. You only need our organic certificate. Call us and we will assist you with information you can use to make your inspection go smoothly. Happy Roasting.

Organic 401a - Inspections and Certificates

Michael Vournas — Wed, 28 May 2008 04:00:00 +0100

Increasingly, we have received requests to provide transaction certificates for each organic coffee purchased from us. Generally this occurs as the roaster is being inspected for organic certification, and usually after some kind of prompting from the organic inspector. We understand each of your concerns regarding the desire to make that process go smoothly as we receive annual organic inspections of our transactions and our facilities as well.

Current USDA/NOP regulations (i.e. those laws and rules that govern the lawful status of organic products in the United States) do not require transaction certificates for each organic coffee. Although some other importers routinely send transaction certificates out, this is an unnecessary expense which I would imagine is accounted for somewhere... The USDA/NOP regulations only require that you provide to your inspector valid certification proving the company from which you purchased your organic product is certified organic and meets the USDA/NOP standards and requirements. In other words, Vournas Coffee Trading's organic certificate, issued by CCOF, is sufficient to meet your inspection and recordkeeping needs as proscribed by the United States National Organic Program regulations. While this might be news to you, it should not be news to your organic inspector. Keep in mind, transaction certificates are an additional form of revenue for certifying agencies such as QAI and OCIA - that is why they ask for them.

Bottom line: I will gladly provide assistance to you and/or your inspector should either desire assistance. I have spent many hours researching these specific issues with federal agencies, local and state organic inspection agencies and state health departments. Our position is supported in writing from our USDA/NOP approved inspection agency, CCOF. If you still wish to have transaction certificates despite the above info, we can gladly obtain these for you. There is a fee associated with these certificates - please call for further information.

While organic certification issues may seem as clear as an espresso, please rest assured that all of us at Vournas Coffee Trading stand behind you and will work with you and your inspection agency to ensure your inspection proceeds without difficulty or delay. Please do not hesitate to call our office and ask for me should you or your inspector wish to discuss this issue further.

C Market Developments

Michael Vournas — Tue, 22 Apr 2008 04:00:00 +0100

As of today, the C market closed for July 08 at 136.35. Still above where we have been resting comfortably for the past years, but down a bit from the heights of the past month or two. All speculation moves - nothing firm due to physical conditions which might affect coffee pricing. Some holdouts amongst growers/exporters for outright price contracts on deliveries, but everyone is rolling with the flow.

Due to current increased prices for oil, expect higher delivery costs, both ocean freight (which has doubled in less than 2 years) and commercial trucking freight fuel surcharges for movement from our warehouse to your shop.

We are entering the Brazil frost season, although much of the coffee is currently grown North of where it could be damaged. There is always, especially with our whacky weather these days, the possibility of a freak, damaging cold event. One thing you can rest certain of: Anything close will result in the Brazilians getting the word out to cause or, shall I say help create, price fluctuations in their favor...

This will be an interesting next several months/years as the investment funds have again become entrenched in commodities. As always, we will keep you informed of changes in the market as they arise. Happy Roasting.

Visit to the New York Mercantile Exchange

Michael Vournas — Mon, 21 Apr 2008 04:00:00 +0100

In late July 2007, Andrew and Mike made a trip to New York City for business. While there, we were able to visit the coffee trading floor at the New York Mercantile Exchange in lower Manhattan. All coffee contracts traded at the outcry are traded here. It was the second visit to the trading floor for Andrew, and the first for Mike. Andrew had visited the NY "Merc," as it is called, when it was housed at the base of the World Trade Center prior to 9/11. Destroyed by the collapse of the twin towers, all trading functions were moved off-site until this building was able to house the trading operations. It was quite the scene to watch as contracts (such as those we trade) were executed through shouts, screams and hand gestures. Talking with several floor traders reveals that the new electronic trading (ICE) may prove the death of outcry trading. Both Andrew and I sincerely hope that is not the case as the contract traders add the much-needed human element to the trading system.

POST SCRIPT: As of several months ago, this contract outcry trading platform has been closed and replaced with the ICE electronic trading platform. Another change that is sold as progress... We sincerely hope that all the traders land on their feet. They are an intelligent, hard-working bunch. We wish them the best.

Good Friday Closure

Michael Vournas — Fri, 07 Mar 2008 05:00:00 +0100

Vournas Coffee Trading, along with the NYBOT coffee market and our warehouses, will be closed on Friday, March 21, 2008, for Good Friday. We wish you all a safe and pleasant day.

Up, Up and Away!

Michael Vournas — Fri, 29 Feb 2008 05:00:00 +0100

For those counting and those interested, the C closed today (Friday, Feb 29) at 166.80 (effectively 1.67 p/pd). The trek upwards continues with funds at the forefront of this run-up. Recent noise from Brazil about a crop smaller than first thought made their way to the trading floor this week, the result being prices going up, up and away. Stay tuned and we will keep you informed as things progress next week.

Coffee Market MOVES !!!

Michael Vournas — Thu, 21 Feb 2008 05:00:00 +0100

Just exactly two weeks ago I published on this site a coffee market update. In that update (which remains available on this site) I noted that the C market price was 1.44, and likely to move up. Well, it didn't take long. For those of you busy with other things, the C market has moved up considerably, and all indications point to higher prices and volatility. For comparison to two weeks ago, today's C closed at 1.60. Remember, this is the base C price without differentials, etc.

Here is some news that may explain it for you. Published today by the Dow Jones Newswires was an article indicating index funds and hedge funds have amassed and are holding a record 31% of the world's coffee supply. Go ahead and read that sentence again. To compare that and get a basis for what it means consider that in 2007, these funds held 15% of the world's supply of coffee, and in 2004, they held 5%.

These funds (paper and money investors with no physical need for green coffee) are LONG on over 4 BILLION pounds of green coffee! By "long", I mean they are hedging their bets that the market will go UP. Total global coffee production per year is approximately 15 billion pounds. And, as if to defy logic, differentials are also moving up despite the C market moves up.

For many coffee roasters, this is the first time a significant move upwards has happened since they started in the business. Quite a few started off in the "well under a dollar" market and these price increases are difficult to comprehend. Just like we all used to pay .79 cents a gallon for gas, I believe those days are over. Coffee is the second largest traded commodity in the WORLD and it is not immune to gyrations and volatility.

Our advice: Tread carefully at this time. Be poised to act quickly. Don't abandon your plan. Be focused. Know your needs. Most importantly, remember that you need green coffee to roast. By holding off ordering coffee you run the risk of then receiving a delayed shipment, and if you were more low than usual on inventory, you could be in for a big headache - much bigger than a few cents per pound is worth!

As always, should you have any questions at this time, please feel free to call us.

Early 2008 Coffee Market Update

Michael Vournas — Thu, 07 Feb 2008 05:00:00 +0100

This bi-annual article about the coffee commodity ("C") market has, at customer request, become a fixture on our website. This fourth installment brings some interesting developments, a few new theories and yet more factors that could affect the stability of prices and the availability of fine specialty green coffee in the coming year. These are our best estimations of the impact that physical and trade factors may have on the C market and related coffee issues - there is no guarantee of outcome implied by this article - just our best professional opinion, free for you to consider or disregard.

I must start off by saying three critical words which comprise one concept that you must always keep in mind while thinking about coffee buying: supply and demand.

As we have seen in the last six months, there has been no change in the market's potential for volatility, and there is no foreseeable change in that existing potential. Commodity investment funds will likely continue to enter and exit the coffee market as they strike their investment return target. This is one contributing factor to the market's volatility. The continued influx into commodities of investment fund monies has provided an increased basis for volatility. Commodity fund investment will continue to assert its presence in the C market as these investors attempt to repeat past profit-making investments. Expect similar volatility levels this year.

There is always a concern that weather in Brazil, either freezing temperatures and/or shortfalls in precipitation and moisture, can arise in our Spring and Summer. These events should be anticipated and considered by the astute coffee buyer, and a plan of action considered beforehand. Remember, the last frost of 1994 and the drought of 1996/97 caused the C market to rise to $2.64 and $3.18, respectively. These "above normal" prices were sustained for 19 months and 15 months, respectively! I am not making these numbers up...and we all know that weather events appear to be more and more extreme...

Robusta coffee has continued its upward pressure, hitting 9 1/2 year highs just two weeks ago. For the past 7+ years, robusta prices have risen steadily. Prices are pushing close enough to low quality C arabica prices as to make it a close call whether to buy arabica instead of robusta. This has the potential to tighten the supply of arabicas should buyers pass on buying robusta and choose arabicas instead (thus creating higher demand for arabicas and push the price up).

In the last update I wrote about China and Eastern Europe's increasing appetite for specialty coffee. To my eyes nothing has changed regarding that subject. You hear it all the time how those countries are increasingly "Westernizing" and looking to replicate the middle-class lifestyles of the Western world. What has changed in coffee growing regions to meet that new demand? By our view, not much. That means more pressure on a finite amount of coffee and higher prices.

Six months later, and still unresolved, is the USDA-NOP (U.S. Dept of Agriculture-National Organic Program) issue regarding the interpretation of rules applicable to the actual inspection and certification of organic products. It has created HUGE concerns for us (and other importers, roasters and consumers as well). About 9 months ago, the USDA-NOP, which issues regulations regarding the use of "organic" certification in products imported and sold as "organic" in the USA, issued an interpretation that required all coffee growers (co-op or estate) to be inspected annually for compliance with USDA organic rules and regulations. Many coffees are produced via cooperatives - i.e., groups of farmers who commingle their coffee crop with that of others for processing, sale and export. So, for example, while there may be 500 growers in a co-op, previous USDA-NOP regulations allowed approximately 20% (or 100) of those co-op farmers to be physically inspected on an annual basis for compliance in order to renew the co-op's organic certification. Now, with this new rule interpretation, all co-op members must be inspected annually! This has huge ramifications: First, increased costs for farmers. As we all know, every inspection requires money. Costs for the farm-based organic inspections include travel, time, meals, transportation and expenses for the inspectors in addition to the "inspection charge". Second, matters of logistics. Many, if not most, farms exist in remote and not easily accessible locations. Often times, these farms are reachable only on foot, and boundaries, while known to the area residents and workers, are not clearly delineated. The longer it takes to access and inspect the farms, the more expensive the process of obtaining organic certification becomes for already struggling farmers. Third, time away from other farming duties. Farmers cannot simply let inspectors fend for themselves in such remote regions. They must take time from their farming duties to assist inspectors and provide them with the access necessary to inspect their farms. Fourth, a difficult time understanding and implementing the ever-changing American organic rules. These regulations are thicker than most books. The fact that they keep changing (with no apparent relation to how they affect those who must implement them) doesn't help farmers who have limited access to education, difficult, unreliable or non-existent communications systems, and limited resources (see "First" above). So, will we have a monumental crisis in organic coffee in the coming years? We don't know because the USDA/NOP has pushed back meetings and further rulings on this indefinitely. While organics have always carried a substantial premium, we may be looking back longingly at current organic prices, if you can believe that.

Another segment of specialty coffee is Fair Trade Certified. While we have heard roaster rumblings of growing dissatisfaction with Fair Trade and the manner in which reporting is handled as well as the cost to roasters in relation to the return of services from Fair Trade staff and the use of certification premiums (money) by FTC staff, sales of this certification continue to grow. Continued issues arise regarding co-op certification and availablity, as well as pockets of concern regarding quality. I will tell you that we will not carry any coffee unless we consider it to be a fine specialty coffee, regardless of certifications... It will be revealing to see how well received the price differential paid for Fair Trade Certified coffees is in an up market like the one we are seeing as I write this! The floor price for Fair Trade Certified coffees also was raised several months ago, by a sum of 10 to 15 cents. One must wonder, with the base price for an organic now sitting firmly at $1.51 p/pd, whether the initial desire to assist the farmers financially has been met? Remember, when Fair Trade was launched the C market price was between 55 to 65 cents per pound, and the belief was the farmers needed at least $1.00 to $1.10 p/pd to be profitable, reinvest in their farms and grow more coffee. Might a floor price under $1.25, plus a differential for quality, be a more competitive and market-linked answer to farmer well-being that would reward good farmers for good coffee?

Every year, Reuters polls coffee traders from large, commercial coffee groups around the world to get an outlook on the C-market. The most recent poll on Jan. 23, 2008, was mixed and wide-ranging. The forecasts for where the C market would end up by the end of March 2008 ranged from a low of 1.18, a median of 1.35, to a high of 1.75. The same traders forecast a low of 1.05, a median of 1.30, and a high of 2.30 for the end of 2008. Most all traders expressed the opinion that the ultimate size of the Brazil crop this year will be the main price guiding factor, with a larger crop expected to depress prices on the C. Investment fund positions and investment in the C market continue to strengthen. With this comes added volatility, and with their overwhelmingly long position (meaning they expect the C market to rise) of over 65,000 lots, I fully expect the market to move upwards. Recent technical trading information also suggests that the C may rise to a 1.50 before beginning a possible move downward.

CRYSTAL BALL: I firmly believe the days of the "under a dollar" market are over, and Vournas Coffee Trading is hopeful that we are correct on this for the sake of all the farmers in specialty coffee. Lower prices create short-term deals for roasters but a long term crisis for production, and inevitably higher costs in the future from short supply. Put another way: the lower the price for coffee, the less farmers make. The less farmers make, the more likely they will pull their trees and plant a more viable and profitable cash crop. The more trees get pulled, the less coffee is available and the more coffee will cost. So, your initial deal turns pretty sour in time...

There is a continuation of fixed (rather than differential) priced offers out of origin. There is also a growing reluctance by producers to enter into long term contracts for delivery. In these instances the cost of coffee becomes more fluid with each delivery. This adds volatility. It goes without saying, coffee roasters need coffee. Every year there are an increasing number of roasters looking for specialty coffee beans in a finite and over-stressed world of available fine specialty coffee beans. I would continue to advise that in the volatile world of coffee commodity trading you should plan ahead to determine your bean needs. If you are able to book out/contract your needs, you should do so. Locking in to a fixed price, or in some cases a fixed differential, ensures a smooth supply at palatable and profitable prices for you. As of this writing, the current NYBOT "C" Market future for a March 2008 coffee contract is approximately 1.44* per pound.

Please feel free to call or email any of us to discuss the market and how it could impact your needs. These are our best professional estimates of how we see the physical market in the days, weeks and months ahead...

Happy Roasting!

* Remember, the "C" market price is before the addition of differentials for quality which affect every specialty arabica coffee, as well as additional price premiums added for various certifications (Fair Trade, Organic, Rainforest Alliance, etc.) which may or may not apply.

Meet Our Visitors

Michael Vournas — Thu, 21 Jun 2007 04:00:00 +0100

Prior to the SCAA conference this past May, we enjoyed the wonderful company of our Papua New Guinea exporters as they visited our office and cupping facility in Westlake Village. We cupped the fantastic PNG Purosa coffee, as well as coffees from other countries and shared our thoughts on the coffee world. We thought the picture was worth sharing. (From Left to Right standing: Andrew Vournas, Henry Ame (PNG), Lisa Bagley, Michael Vournas, Craig McConaghey (PNG); and seated: Steve Teisl.)

La Esperanza San Juan - Nicaragua Cup of Excellence

Michael Vournas — Wed, 06 Jun 2007 04:00:00 +0100

Andrew and I are proud to annouce that we purchased a wonderful lot of coffee in this morning's 5+ hour Cup of Excellence auction of Nicaraguan coffees! This 12 bag lot, La Esperanza San Juan, grown high in the hills of Jalapa, Neuva Segovia is, quite simply, wonderful. We had our eyes on this lot from the beginning. A caturra varietal, it has very good acidity, lemony citrus notes, a delicate body and hints of flower. Grown by Domingo Palma Montoya on a farm he purchased some years back from his previous employer, you will taste his unyielding dedication to quality in each cup. For more details on this spectacular coffee or to reserve a bag before they go, please call us at 800-761-5282. This coffee is expected to be available at our West coast warehouse around August 27, 2007.

CoE Nicaragua

Michael Vournas — Mon, 07 May 2007 04:00:00 +0100

Most of you are familiar with the Cup of Excellence. I just returned from participating on the International Jury for the Nicaragua CoE, held in Ocotal, Nicaragua. What a great experience! Not only was the opportunity to cup fabulous Nicaraguan coffees a unique and concentrated one, but meeting the participating farmers and visiting many of their farms in our "off" time truly gave full perspective to the Nicaraguan coffee experience.

I am reminded that only by visting source countries can one capture the true uniqueness of our industry. In the US we play a huge role in the greater world of coffee. Every decision we make, every step we take to request increased quality, and every bag we ultimately buy makes an impact in the lives and finances of the farmers and their families. The CoE is one of the best programs going in specialty coffee that rewards growers for superior quality. It is enlightening to sit and talk with growers, in this case from Nicaragua, as they ask real and pointed questions regarding the coffee market in the United States.

Is CoE perfect? I think they have moved in the market in the right direction by getting a premium price in exchange for premium coffee. In a global marketplace, there is increasing pressure to deliver products and services for an increasingly reduced price. We simply cannot sustain this direction in the coffee world. Especially in a world of increasing demand for quality coffee. Farmers will plant something more lucrative and pull their coffee trees. This will leave us in a crisis beyond any seen in the coffee market before. Therefore, programs which reward for quality - not just give people money to reduce guilt - are the sustainable ones. The coffee world truly wins when farmers get paid more for a superior product, as it will move more farmers into such production and reward them financially for their efforts.

We look forward to the CoE Nicaragua auction on June 6, 2007, and hope to be the highest bidder on several lots we are interested in offering to our customers by the bag. We think there is real, sustainable quality in this program and encourage you to learn more about it at www.cupofexcellence.org.

Share and Share Alike

Michael Vournas — Thu, 15 Mar 2007 04:00:00 +0100

Vournas Coffee Trading proudly displays photos, coffee descriptions, coffee information, newsworthy stories and articles, and other coffee tidbits and stuff on its website. We place these items on our website to assist our customers and other interested parties in learning about the coffee world and the coffees we carry. We gladly share our information and will allow it to be used in furtherance of the trade. In fact, many of the articles are meant to assist our customers in developing their own marketing information. All we ask in return is advance notice of its use so we don't get surprised....

Andrew and I sincerely thank you for all your support on this.

Our Anniversary

Michael Vournas — Wed, 17 Jan 2007 05:00:00 +0100

These days just keep speeding up. As further proof of this we take a minute to recognize our 5th Anniversary! It was five years ago this month that the idea for Vournas Coffee Trading was first acted upon. Our vision five years ago was to become a vibrant and serious importer of the finest specialty coffees available. We never sought to be the biggest or the loudest. Many of you have been customers of our company since we first "opened our doors" and installed telephone lines...Andrew and I look at that as critical proof that we are on to something.

Five years is not an eternity for sure. We make mention of it because Andrew and I are very proud of the company we have built and very proud of the people who have chosen to work with us. We are proud of the relationships we have built with coffee growers around the world, fellow importers in this country, and the roaster community in the United States and Canada. We also recognize that without the trust and belief in us, shown by so many of you, we could not have made it all work. These are not easy times, and to find someone in whom you can place your trust is beyond value.

Over coffee (what else would we drink?), Andrew and I recently sat down and discussed the past, present and future of Vournas Coffee Trading. We have renewed our focus on continuing to search out and import the most fantastic fine specialty coffees that exist. We will continue to make them available in quantities that will allow everyone to get the exact amount they desire. And, importantly, we want to continue to provide unmatched customer service to each and every one of our customers. Whether you buy one bag or a whole ship loaded with containers of specialty coffee, we want you to realize that we sincerely value and appreciate your business with us. Your success and satisfaction is our goal.

As always, we want to invite you to visit our office and cupping facility when you are in the Los Angeles area. If you can't make it here, please feel free to call us anytime.

On behalf of Vournas Coffee Trading, we would like to express our sincere appreciation for your support.

Holiday Schedule - Christmas and the New Year

Michael Vournas — Thu, 07 Dec 2006 05:00:00 +0100

Vournas Coffee Trading will be closed on the Friday, December 22, 2006, preceeding Christmas weekend, as well as Monday, December 25, 2006. The NYBOT "C" Market is closed on Monday, December 25, 2006. For your further reference, the West Coast warehouse will be closed the above dates and on Tuesday, December 26, 2006.

We urge you to please plan ahead of your needs for December!

Vournas Coffee Trading will also be closed on Monday, January 1, 2007, for New Year's Day. Both warehouses and the NYBOT "C" market are closed as well.

All of us here at Vournas Coffee Trading wish everyone of our customers a wonderful holiday. We waive good-bye to 2006, and raise our coffee mugs and cupping spoons to welcome 2007. We sincerely wish all of you good health for you and your families (the health part), a never-ending line of customers at your counters (the prosperity part), and great coffee steaming in your mugs (the happiness part).

PCCA's 2006 Cupper of the Year Award

Michael Vournas — Tue, 10 Oct 2006 04:00:00 +0100

This feels very odd and not at all comfortable for me to write this, but I am very excited; honored in fact.

In mid-September of this year the Pacific Coast Coffee Association (PCCA) held its 75th Anniversary celebration and convention at The Lodge at Pebble Beach, and over 180 people from the wide world of coffee were in attendance. It was a fantastic convention and a fitting tribute to a wonderful coffee association. As we all sat in the banquet room on the final night, Doug Welsh, President of the PCCA and Chief Buyer for Peet's Coffee and Tea, prepared to announce the winner of the PCCA's 6th Annual Pete McLaughlin Cupping Competition. This competition, held annually in the Spring, honors the great contributions made by the late Pete McLaughlin to the specialty coffee industry and to the PCCA. He was quite the energetic contributor to the PCCA and to all things coffee. Although I unfortunately never had the pleasure of meeting Pete as his passing predates my entry into coffee, everyone I know who met or worked with him speaks very honorably of him as a person and as a contributor to specialty coffee. The winner of this competition is held a secret until the annual convention.

I competed in three of these annual cupping competitions, including the recent 2006 event which involved 10 different Ethiopian coffees. Well, to cut to the chase, as I was sitting there at dinner I was shocked to hear Doug announce "Michael Vournas" as the winner! To be honest, I thought I was hearing things. I stood up and walked to accept the award in front of a house full of coffee professionals - people whom I respect immensely and who continue, via the PCCA and through their sincere love of specialty coffee, to teach me about coffee every day. To say I am honored to be awarded the PCCA Cupper of the Year is the understatement of the year.

I hope that many of you can attend future PCCA events, including the annual cupping competition. The people who comprise the PCCA are one of the greatest groups of coffee professionals on the planet, and I owe many of them sincere thanks for teaching me. I also owe a huge "thank you" to my little brother and business partner, Andrew, who has taught me firsthand how to cup coffees. Hanging in our cupping room is the beautiful plaque I received from the PCCA. It will remind me every day of how important and valued cupping is in our industry, keep me focused on the lifelong process of cupping skill development, and reinforce my belief that the contributions each one of us makes to others in coffee furthers the uniqueness of our trade.

Lisa Bagley Joins Vournas Coffee Trading!

Michael Vournas — Thu, 31 Aug 2006 04:00:00 +0100

Andrew and I are proud to announce a great addition to Vournas Coffee Trading, our newest coffee trader, Lisa Bagley. Lisa comes to us with a wealth of professional coffee experience in all areas of the business. She is well versed in green coffee sales and will represent our full line of specialty green coffees from our new and expanded office location in Westlake Village, California. Please feel free to check out our "About Us" section for more details on Lisa, and you may contact her at (800) 761-JAVA or at lisa@vournascoffee.com.

"Gentlemen, Slight Change of Plans"

Michael Vournas — Tue, 13 Jun 2006 04:00:00 +0100

Steve and I just returned from a 2 week coffee sourcing trip to the Eastern Highlands region of Papua New Guinea, and what a trip it was. (This will be a struggle to shrink the adventure of a lifetime into a reasonably concise article, but I will try.) Steve, as you know, has extensive experience in PNG - I was a rookie there, having desired to visit since I was a young boy. Let's start the story from the town of Goroka in the Eastern Highlands. From there, we helicoptered for 27 minutes, farther into the rainforest and mountains into the Purosa Valley at about 5,500' elevation. Along the way, I saw firsthand how "far away" we were actually going - no powerlines, no roads, no infrastucture of ANY kind - just jungle, mountains and trees as far as you can see. When we touched down at the village of Purosa we met with and visited the wonderful, hard-working people who compromise the Highlands Organic Agriculture Cooperative (HOAC) and who make the PNG Purosa Organic coffee happen exclusively for us at Vournas Coffee Trading. In fact, "making it happen," as I would learn, is quite the understatement...

Imagine, if you will, a fantastic and lush rainforest teaming with an infinite number of shade trees, rushing waterfalls, thatched hut villages, smoky fires, fresh cut vegetables of amazing shapes and colors sold on the side of the road, machettes and barefeet everywhere, and arguably the most photogenic people in the world. (I should know, I took 19 rolls of film...) Now, sprinkle in some wonderful DRY weather and lots and lots and lots of wonderfully shade grown coffee trees with their bounty of cherries ready to be picked. And it was all in full swing. We found HEAVEN!

Our great exporter and "road building" friend, Craig from Coffee Connections, along with the HOAC crew, guided us by 4x4 vehicles through many villages and sights and sounds along our 4 full day expedition back to Goroka. Now, let me repeat that for you in case you missed it. We helicoptered in for 27 minutes and it took 4 days to get back by 4x4 vehicle. No sidetracking, no expeditionary hikes, no fooling around, no golf, no distractions, no hangovers, no lazy mornings spent mulling the day over a cup of coffee. What the hell took so long you ask? Well, in two words, "the road." No, my error, make that one word and capitalize it: "MUD." And this was the dry season...?

I have NEVER IN MY LIFE IMAGINED, LET ALONE SEEN, mud so formidable. Weirdly, it seemed to be only located on the road!?! I am sitting in my office right now typing this, some two weeks after my return, and I think I still feel dried mud in my hair. Thankfully we had a good supply of "SP" to clean our throats nightly... If I had a nickel for every time one of our caravan vehicles became stuck in the mud and needed to be unloaded and unstuck and then reloaded, I could have flown home Business Class. If Craig and the HOAC crew had a nickel for each time, they would own the jet by now...Says Craig, "Pick yourself up, dust yourself off, and keep going..." I say amen to that.

Our trip back to Goroka involved visits to the villages of Purosa, Ivingoi, Waisa, and Okapa, as well as stops in numerous other villages and small groupings of huts. Along the way, everywhere we went, people waved and smiled. I heard kids yell, "White Man! White Man!" and watched their friends come running to see. At each of these villages we held meetings, led by Craig, with local growers and members of HOAC in regards to the correct organic coffee processing techniques with information on ideal wet processing and drying techniques. We stressed that QUALITY was the most important aspect of their coffee. All of these meetings took place in Pidgin English (the commonly used language in PNG) and were fascinating to hear. We also picked up coffee in parchment from various storage huts and added it in to our ever-growing caravan of trucks for transport to Coffee Connections' dry mill in Goroka. You see, this coffee is independently grown by HOAC members who then pick, wet process and dry the coffee into parchment on their own. The coffee is purchased from HOAC by Coffee Connections, and exported from deep in the Purosa Valley. Several villages held a "mumu," or celebratory feast, of numerous types of vegetables [sweet potatoes, fresh ginger, cacao, plantains, pendanas, pitpit (picture a huge long green onion that you peel the sprout to eat- tastes just like a wonderful artichoke), taro, and lamb cheeks/mutton] cooked in the traditional manner: wrapped in leaves and buried with dirt over hot rocks. We drank bamboo water, brought to us from high up mountain springs as an honor - it was completely refreshing.

While in transit in the Highlands, members of HOAC stopped at several villages to deliver mattresses to healthcare centers serving the surrounding villages. These under-equipped healthcare centers are the only healthcare facilities serving a valley of over 80,000 people. HOAC, as a Fair Trade Certified co-op, provided these supplies with funds received from participating in Fair Trade. I saw once again and first hand that these small world-wide efforts have a huge local impact.

In Goroka we visited with the people who work the dry mill at Coffee Connections and hand sort, grade, bag and prepare the various grades for transportation to Lae and shipment to America. Later, we made that long trip via the "Highlands Highway," and met with the freight forwarder who containerizes the coffee and places it on freighters for trans-ocean shipment to America. It was a "tree to freighter" coffee sourcing trip.

On our last night in the Highlands, we attended a beautiful Mumu in the village of Kefamo, headed by village Chief and "Big Man", Henry Ame, also of Coffee Connections. There we were given gifts of ceremonial arrows as a symbol of long friendship, billums (woven bags) with the Vournas Coffee name woven into the bag, and a beautiful copper wall hanging with the Vournas Coffee Trading logo hammered by hand. These are now proudly displayed in our office.

My sincere and heartfelt thanks go out to: Craig, Henry, and George at Coffee Connections; The HOAC Crew, including Daniel, James, Ricky, Robert, George, Kennedy (our expert 4x4 driver), Jonas (aka Dirty Harry) for keeping us all safe, Eno, and the many others; and the people of all the villages we visited who made us feel honored and welcomed throughout our stay. You are truly wonderful people - How small the world can be!

If there is one more thing I can say about PNG, it is that their motto, "Land of the Unexpected," certainly rings true. Everything seems to be a surprise or requires some quick adaptation and continuous flexibility. The frequent announcement made to us by Craig was just destined to become the title of this article.

I left PNG with a learned acknowledgement that it is TRULY a miracle that anyone in the world actually gets to appreciate the wonderfully complex coffee from Papua New Guinea's Eastern Highlands. I know that without the never ending toil and heart-breaking work of the HOAC members, Craig, Henry and their Coffee Connections crew, no one ever would! My proverbial hat is off to them, I bow to them with respect, and will forever greatly appreciate them for every single Purosa bean they produce and for the wonderful friendships we made on our journey.

P.S. If anyone out there has any spare road grading equipment that you wouldn't mind donating, could you drive them to Craig's office in Goroka? I know he would be most appreciative!

Let the El Salvador Coffee Revolution Begin!

Michael Vournas — Wed, 10 May 2006 04:00:00 +0100

Admit it, when you think of El Salvador the first image you get is of a tiny, war torn, impoverished Central American country. Mike is here to tell you that the first thing you should be thinking is specialty coffee. Before the civil war there, El Salvador was the third largest producer of coffee in the world. Yes, in the world! For many years in between the late 1970's and the mid 1990's, El Salvador's coffee was very hard, if not nearly impossible, to obtain due to the civil unrest and war that wreaked havoc on the entire country and the governments' nationalization of the coffee industry. That is all changing now.

Mike just returned from a week long coffee tour in El Salvador sponsored by the Specialty Coffee Association of El Salvador, and can attest to the fact that El Salvador wants its coffee crown back.

Traveling throughout most all of tiny El Salvador and visiting approximately 11 coffee farms, wet mills and dry mills in 4 of the 5 coffee production areas took five full days. It was an unforgettable experience, and an opportunity to go through the entire coffee production line, from picking cherries to sorting cherries to processing cherries through the wet mills to drying patios and/or mechanical dryers to the various techniques for sorting through the beans for final bagging, and then, best of all, cupping the coffees.

Both Strictly High Grown and High Grown coffees were cupped, and overall the cups were clean, had nice balanced acidity and body, and some very nice citrus notes. Notably, the El Salvador SHG "Santa Teresa Estate" 100% Bourbon arabica was a beautiful cup! You can read a more thorough review in the "Beans" section of our website. This coffee is available on both coasts and would make a wonderful addition to any espresso blend or a fantastic straight. You can count on an increased presence of coffees from El Salvador in the U.S. specialty coffee market in the coming years. The U.S. should be ready for the El Salvadorean coffee revolution! Viva El Salvador!

More Info

Andrew Vournas — Mon, 01 May 2006 04:00:00 +0100

As a multi-year "certified" licensee to import Fair Trade Certified coffees we have hunted for only the best cupping Fair Trade Certified coffees out there! We will only import and carry those Fair Trade Certified coffees that cup to the same high standards that we hold for all our other "non-certified" specialty coffees. You can call us for more info on the Fair Trade Certified coffees that we carry out of both warehouses. For additional information on Fair Trade Certified coffees or how to become a Fair Trade Certified roaster, we recommend you look to the TransFairUSA website at www.transfairUSA.org, or alternatively, feel free to call us and we will do all we can to assist you.

We are also Rainforest Alliance certified, and are on the move to expand out current crop of Rainforest Alliance offerings. For more information on Rainforest Alliance and the difference they are making in the coffee world we recommend you view their comprehensive website at www.rainforest-alliance.org, or you can always call us!

Andrew, a past member of the Board of Directors of the Pacific Coast Coffee Association, urges anyone interested to look into the P.C.C.A.. The P.C.C.A. has promoted the coffee industry on the Pacific Coast (and nationwide really) since 1932, and are a fantastic association promoting the entire specialty coffee industry. This association includes importers, roasters, and allied coffee companies. They hold numerous informative sessions and cupping competitions and events throughout the year. More info on this great association can be found at www.paccoffee.com

As always, the BEST NEWS is that we have a great group of roaster customers! All of you share our desire to enjoy great, specialty coffee. We give thanks to you all and want to thank ALL of our roasters who have supported us throughout our years as specialty coffee importers. Thanks also to many of you who have given us referrals and spread our message! We truly appreciate your dedication.

We know you have a choice when deciding upon your green coffee importer, and we are honored that you have chosen us. Rest assured we will not stop spanning the globe in our quest to find you the absolute best in fine, specialty green coffees and to provide you with the absolute best of the best in customer service!

Happy Roasting!

Science on the Side of Coffee

Michael Vournas — Mon, 24 Apr 2006 04:00:00 +0100

On April 24, 2006, a medical study, published in the Journal of the American Medical Association, reported drinking multiple cups of filtered coffee did not, we repeat, did not, raise the risk of heart disease.

Back in November 2005, a study was published showing no link between coffee drinking and high blood pressure. That same study did, however, show a link between caffeinated sodas and high blood pressure. Yet another reason to give up colas and go with good, clean coffee!

February 16, 2005, two independent studies were published in the "Journal of the National Cancer Institute," both of which strongly urged daily coffee consumption! The first study found that daily coffee consumption significantly reduces the risk of liver cancer. In fact, "liver cancer risk significantly decreased with the amount of coffee consumed...a 48% decrease with 1-2 cups per day; 52% decrease for 3-4 cups; and a 76% decrease for 5 cups per day."
The second study found that drinking 2 or more cups of decaffeinated coffee daily cuts the risk of colorectal cancer by half!

Andrew Cups Again for Excellence -This time in Colombia

Michael Vournas — Thu, 30 Mar 2006 05:00:00 +0100

Andrew recently returned from judging coffees in the recent Colombian Cup of Excellence competition. His trip included an opportunity to judge some fantastic coffees and see just how beautiful rural coffee producing areas of Colombia are. For more info on the Cup of Excellence and/or Colombian coffees, please feel free to call Andrew anytime.

Andrew Cups for Excellence in Bolivia

Michael Vournas — Wed, 28 Dec 2005 05:00:00 +0100

Andrew recently returned from Bolivia where he was chosen as a Cupping Judge for the Cup of Excellence coffee event. Despite a hurricane in Miami, Florida, and lightning strikes on the runway in Bolivia, his many planes managed to get him there and back in one piece. The Cup of Excellence event featured many different specialty grade arabica coffees from various farms, co-ops, and mills, which are intensively cupped by the judges and ranked by final scores. Then, after all the participants have returned home, an on-line auction is held and coffees sold to the highest bidder. Please feel free to contact Andrew direct for more information on the Cup of Excellence and his experience in Bolivia.

Top-Notch Customer Service

Andrew Vournas — Mon, 03 Oct 2005 04:00:00 +0100

Way back in May 2003, Vournas Coffee Trading moved in to a new office. Since then we have expanded our staff. We have did this in order to provide our customers with timely, professional, and courteous service; The kind of service we all grew up with and remember fondly - The kind of service you expect from your importer - The kind of service you will receive from us, consistently. We pledge to continue to honor this commitment to our customers. At this time of coffee price and availablity volatility, our customers deserve such a commitment from their importer.

We operate our website in-house in order to assist those web minded customers with the basic information about us and our coffees. Above all, our primary mission is to find you the best quality specialty coffees and provide you with top-notch customer service. This is our highest priority. We hope you understand our focus on this goal. Please feel absolutely free to contact us with suggestions on how our website might evolve to better assist you