The plug formed in the Suez Channel due to the gross container carrier can affect the production of soluble coffee. According to Bloomberg, due to the accident, they can not pass through the channel not only tankers with oil and liquefied gas, but also ships loaded with robust. This variety is particularly used for the production of Nescafe.
The strongest plot will affect the European market: from all key suppliers of Robusts to Europe with a Suez Canal do not use only two countries – Brazil and Côte d’Ivoire, writes agency.
At the same time, all the coffee of this variety, which is imported into European countries from East Africa and Asia, runs precisely on this channel.
“Suppliers will try to supply their customers in Europe from the last forces. If we are lucky, the problem will leave for several days, but even in this case it has already caused significant damage to the industry,” said Bloomberg Jan Luman, founder JL Coffee Consulting And the former Jacobs Douwe Egberts purchaser, one of the world’s largest coffee roasters.
In addition, the accident in the Suez Channel can hit both the world-breed coffee production, exacerbating a shortage of containers caused by the increased background of the pandemic and local turnover of online trading for several months.