nd the East Indies (except
those of the Robusta variety) and uses Type No. 7 as the basis for all
Exchange quotations. All other types are judged in relation to it. In
determining the number of a type, the coffee is graded by the number of
imperfections contained in it.

[Illustration: NEW YORK COFFEE AND SUGAR EXCHANGE

The building fronts on Hanover Square and extends through to Beaver
Street. The exchange rooms are indicated by the arched windows on the
second floor. The rest of the building is devoted to offices. The
exchange was founded in 1881, and was the first national coffee trading
organization in the world.]

These imperfections are black beans, broken beans, shells, immature
beans ("quakers"), stones, and pods. For counting the imperfections, the
black bean has been taken as the basis unit, and all imperfections, no
matter what they may be, are calculated in terms of black beans,
according to a scale, which is practically as follows:

BLACK-BEAN SCALE

3 shells equal 1 black bean
5 "quakers" equal 1 " "
5 broken beans equal 1 " "
1 pod equals 1 " "
1 medium size stone equals 1 " "
2 small stones equal 1 " "
1 large stone equals 2 to 3 " "

[Illustration: THE COFFEE PIT IN THE NEW YORK COFFEE AND SUGAR EXCHANGE]

By this scale a coffee containing no imperfections would be classified
as Type No. 1. The test is made on one-pound samples. If a sample shows
six black beans, or equivalent imperfections, it is graded as No. 2; if
thirteen black beans, as No. 3; if twenty-nine black beans, as No. 4; if
sixty black beans, as No. 5; if one hundred and ten black beans, as No.
6, and if more than one hundred and ten black beans, as No. 7 or No. 8.
These two are graded by comparison with recognized exchange types.
Coffees grading lower than No. 8 are not admissible to this country.

The quotation relationship of other types with the basic Rio No. 7 is
shown in the table below.

By this scale one can determine that when Rio No. 7 is quoted at 17.10,
Rio No. 2 is 18.60, Santos No. 3, 19.10, and Bogota No. 5, 18.10. The
quotations are on the pound and cents basis.

SCALE OF QUOTATION RELATIONSHIP

BRAZILIAN COFFEE-- SANTOS COFFEE OTHER KINDS--NOT
NOT SANTOS BRAZILIAN
Type Type