After a day of volatility, coffee prices ended the session this Thursday (16) with a drop on international stock exchanges, driven by record coffee exports from Brazil. A report released this Wednesday (15) by Cecafé indicates that Brazil broke the annual export record in 2024, with the shipment of 50.443 million bags to 116 countries, recording increases of 28.5% compared to the previous year and 12.8% compared to the highest previous amount, recorded in 2020.

Arabica had a historic performance in shipments with an increase of 20%, and canephora (conilon/robusta) registered an increase of 98% compared to 2023.

According to the president of the Cecafé Deliberative Council, Márcio Cândido, despite the logistical difficulties and an inverted market on the NY and London stock exchanges, this record is the result of the increase in quality, sustainability and traceability of Brazilian coffee. In addition, factors such as adverse weather in some producing countries, prices offered and exchange rate movements also contributed to highlighting Brazilian coffee production.

In NY, Arabica ended the day down 330 points to 327.15 cents/lbp for the March/25 maturity, down 290 points to 323.15 cents/lbp for the May/25 maturity, down 285 points to 316.55 cents/lbp for the July/25 maturity, and down 310 points to 307.95 cents/lbp for the September/25 maturity.

Robusta, on the other hand, has seen a US$23 devaluation to US$4,924/ton in the January/25 contract, a US$23 drop to US$4,889/ton in the March/25 contract, a US$10 drop to US$4,846/ton in the May/25 contract, and a US$5 drop to US$4,771/ton in the July/25 contract.

According to a report by Pine Agronegócios, crop conditions (which were the worst since 2001) have improved significantly and are above average. However, this helps with filling and quality, but does not increase production in the 25/26 harvest.

And it is precisely this low productivity in the 25/26 harvest that will prevent Brazil from reaching new export records this year. However, according to Márcio, Brazil's share of the global market will continue to be quite significant, offering good prices to producers and the country will continue to meet the demand of over 100 trading partners for Brazilian coffee.

Domestic Market

The Brazilian physical market also ended the day in decline and with few variations in the areas monitored by the NA.

Type 6 Arabica Coffee recorded a 0.87% drop in Poços de Caldas/MG at R$2,270.00/bag, a 0.45% drop in the value of R$2,225.00/bag in Campos Gerais/MG, and a 0.44% drop in Guaxupé/MG traded at R$2,213.00/bag.

The Peeled Cherry closes with a drop of 0.83% in Poços de Caldas/MG at the value of R$ 2,400.00/bag, a drop of 0.43% at the value of R$ 2,299.00/bag in Guaxupé/MG, and a drop of 0.44% in Campos Gerais/MG traded at R$ 2,285.00/bag.

Source: Notícias Agrícolas