Common Fund for Commodities: Supporting Global Commodity Development

Common Fund for Commodities: Supporting Global Commodity Development

The Common Fund for Commodities (CFC) serves as a specialized intergovernmental financial institution dedicated to stabilizing and developing commodity markets. Established within the framework of the United Nations, the CFC provides critical financing for commodity development projects specifically targeting developing states to help them achieve economic stability and growth.

The organization is a remaining element of the proposed New International Economic Order, a set of proposals aimed at reforming the global economic system to be more equitable for developing nations.

Key Facts

  • Established: June 19, 1989.
  • Headquarters: Amsterdam, Netherlands.
  • Legal Basis: The 1980 Agreement establishing the Common Fund for Commodities.
  • Membership: 101 Member States and 9 institutional members.
  • Leadership: Managed by Director Bangladesh Sheikh Mohammed Belal.
  • Scope: International operations focusing on developing states.

Organizational History and Legal Framework

The CFC was formally established in 1989, following a multilateral treaty—a formal agreement between three or more sovereign states—known as the Agreement establishing the Common Fund for Commodities, which was originally drafted in 1980.

Since its inception, the fund has evolved into a global entity. As of June 2017, the Agreement has 110 parties. This membership is diverse, comprising 101 UN member states and several influential intergovernmental organizations.

Institutional Members

Beyond individual nations, the CFC includes nine institutional members that represent regional economic interests:

  • Andean Community
  • African Union
  • Caribbean Community
  • Common Market for Eastern and Southern Africa
  • East African Community
  • European Union
  • Economic Community of West African States
  • Southern African Development Community
  • West African Economic and Monetary Union

Membership Dynamics

The composition of the CFC has shifted over time. While many nations remain committed, several have withdrawn from the fund, including Australia, Austria, Belgium, Canada, Japan, Luxembourg, New Zealand, Turkey, and the Eurasian Economic Community. Notably, the United States of America has never been a member of the organization.

CFC Organizational Overview
Attribute Details
Type Intergovernmental organization / Financial institution
Founded June 19, 1989
Headquarters Amsterdam, Netherlands
Total Parties (2017) 110
Website common-fund.org

Frequently Asked Questions

What is the primary purpose of the Common Fund for Commodities?

The CFC is a financial institution that provides funding for commodity development projects in developing states to foster economic growth and stability.

When was the CFC established?

The CFC was established on June 19, 1989, based on a multilateral treaty created in 1980.

Where is the CFC headquartered?

The headquarters of the Common Fund for Commodities are located in Amsterdam, Netherlands.

Which intergovernmental organizations are members of the CFC?

Institutional members include the African Union, the European Union, the Caribbean Community, the Andean Community, and several other regional economic communities from Africa and the Americas.

Has the United States ever been a member of the CFC?

No, the United States of America has not been a member of the fund.

References

  1. "Members States". common-fund.org. Common Fund for Commodities. Archived from the original on 29 June 2017. Retrieved 17 June 2017.