Coffee prices Arabica races took off to a maximum for several years, the data of the London Stock Exchange ICE.
During trading on Thursday, May 27, the cost of the July contract rose to $ 1.572 per pound – maximum since 2016. Then the price fell to 1.55 dollars.
The jump occurred against the background of reducing supplies from Brazil and transportation problems in Colombia. Because of the drought in the manufacturer’s countries, forecasts for crop this year have greatly decreased, the season of the 2022th was also in the risk area.
According to Reuters, coffee makers in Brazil are trying to reconsider their contracts for sale with exporters and traders at higher prices.
“Farmers who sold coffee at a price of 450-650 Reals ($ 207.05), now count on the spot rate of 800,” said one of the market players.