Arabica prices hit 13-year high amid Brazilian crop fears
Arabica prices climbed to their highest in 13 years on Tuesday amid ongoing concerns about rainfall shortages in Brazil, the world's largest coffee producer. December Arabica futures closed up 1.6% at $2,678 a pound, according to ICE data, after hitting a high of $2,704 a pound during the session, a level not seen since September 2011.
Additional pressure on the market was exerted by forecasts indicating possible continuation of dry weather in key production regions. At the same time, prices for robusta also showed growth, rising by 0.7% to $5,312 per tonne.
Experts note that the growth of coffee quotes is restrained by expectations regarding a possible delay in the introduction of a ban on imports of raw materials related to deforestation into the European Union. European importers have been actively increasing coffee purchases during 2024 in order to avoid possible restrictions that are due to come into force at the end of December.
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