Restricted supply of Robusta continues to support appreciation and coffee has a high week

The Arabica coffee futures market ended trading this Friday (16) with appreciation for the main contracts on the New York Stock Exchange (ICE Future US). The Arabica market continues to be boosted by the restricted supply of Robusta.

Analysts also state that external factors also contribute to maintaining heightened market volatility, but that the moment continues to be positive for coffee producers.

Coffee stocks are low, which is a supporting factor for coffee prices. On Friday, ICE-monitored Robusta coffee stocks fell to a record low of 2,009 lots.

EXCHANGE RATIO

Despite the volatility, the coffee market has firm prices. The restricted supply of Robusta from Asia continues to support price appreciation and the current situation calls for producer attention not only to lock in the futures market, but mainly to take advantage of the exchange ratio that remains favorable.

According to data from Radar Agro, from Itaú BBA, since the beginning of 2024, values ​​have been favorable for the producer, with raw material prices moving sideways, favoring exchange, mainly for MAP and KCL, where the market presents more stable fundamentals.

In Brazil, the physical market followed and ended with increases in some of the country's main sales areas.

Source: Notícias Agrícolas