Coffee Prices Rise in International Market Driven by Climate Concerns

Thursday (13) brought a rise in coffee prices in the international market, primarily driven by concerns over climatic conditions in key producing regions. Futures contracts for arabica coffee in New York saw significant increases, with the September/24 contract rising 140 points to 226.25 cents/lbp. December/24, March/25, and May/25 contracts also recorded gains. In London, robusta coffee followed the same upward trend, with the September/24 contract increasing by $7 per ton, reflecting similar climate concerns.

Barchart's analysis highlighted that the limited rainfall forecast in Brazil's coffee-growing regions boosted arabica prices. Somar Meteorologia reported that Minas Gerais, one of the main producing areas, did not receive rain last week, heightening fears about the future crop. However, the current harvest is progressing well under favorable conditions. Brazil continues to meet strong international demand, with robust exports indicating the country's ability to maintain the flow of coffee in the global market despite adverse climatic conditions.

In Brazil's domestic market, there were price adjustments in major trading regions. The type 6 hard drink bica corrida saw price variations, with increases in Guaxupé and Varginha but a slight drop in Poços de Caldas. The peeled cherry type also had mixed movements, with a small decline in Poços de Caldas, while Varginha and Campos Gerais experienced appreciation. These adjustments reflect the domestic market's response to international dynamics and harvest conditions, maintaining the complexity and volatility of coffee prices.

Source: Notícias Agrícolas