“Arabica coffee prices hit 47-year high -Bloomberg Arabica coffee futures hit $3.22 a pound, the highest level since 1972. The reason was a severe drought in Brazil and supply problems in other producing countries.”, — write on: unn.ua
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The price of Arabica coffee continues to rise amid fears of a poor harvest in Brazil. Arabica futures rose more than 3% in New York trading on Nov. 28 to $3.22 a pound. This is the highest level since at least 1972. The record high for the price of coffee was recorded in 1977 and was $3.375 per pound.
Brazil, the world’s largest coffee producer, has experienced an unprecedented drought this year, raising concerns about the 2025/2026 crop. Geopolitical factors, including shipping disruptions in the Red Sea, possible US tariffs and upcoming European Union decisions on deforestation are also driving coffee prices higher.
The US Department of Agriculture predicts that the coffee harvest in Brazil in the 2024-2025 agricultural year will be 66.4 million. of standard 60-kilogram bags, while 69.9 million were previously expected. bags At the same time, coffee stocks in Brazil are now estimated at 1.2 million bags at the end of the agricultural season, which is 26% lower than the figure in the previous season,
Brazil’s current season is the driest since 1981, according to weather service Cemaden.
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In addition, heavy rains in Costa Rica led to a state of emergency and destroyed about 15% of the country’s annual coffee crop, according to research institute ICAFE.
At the same time, Vietnam is worried about the supply of Robusta coffee, also caused by drought during the growing season. This variety is used for the production of instant coffee. Since the beginning of the current year, Arabica has risen in price by approximately 70% in the US, Robusta by 85% in London. The price of Robusta coffee in London is about $5,200 per ton.
We will remind
Arabica coffee futures rose to $2.68 a pound in September, the highest level since 2011. The increase in prices is caused by a shortage of robusta, the drought in Brazil and problems with logistics.