Although the market has had many forecasts about the world coffee shortage due to a drought in Brazil at the beginning of the new crop 2021, many countries have to reestablish social gap measures that will result in coffee consumption. Demand is reduced …
Robusta London T1 / 2021 week 49 chart (from November 30, 2020 – December 5, 2020)
For the whole week 49, London market had 4 decreasing sessions and 1 gaining session. Robusta coffee futures for immediate delivery in January decreased all 74 USD, or 5.25%, down to 1,337 USD / ton and futures for delivery in March dropped all 58 USD, or down 4.1%, to 1,355 USD. / ton, very strong reductions. Trading volume is above average.
Similarly, New York market had 3 decreasing sessions and 2 gaining sessions. Arabica coffee futures for immediate delivery in March decreased all 6.65 cents, or 5.35%, down 117.55 cents / lb and futures for May delivery fell all 6.5 cents, or 5, 16%, to 119.35 cents / lb, significant reductions. Trading volume is quite high above average.
The price of coffee beans in the Central Highlands market decreased by 1,100 – 1,300 VND, down to fluctuating in the frame of 31,800 – 32,200 VND / kg.
Two-floor coffee prices continued to decline when the weather had rained heavily to support the development of coffee trees in the main production areas of southeastern Brazil and it was sunny and favorable for the harvest of new crops in Vietnam. as well as overcoming the consequences of storms in Central America.
There have been many forecasts about the possibility that the world will have a serious shortage of coffee in five cycles of decrease and drought in Brazil. But Brazil’s November export report increased 39.5% year-on-year and inventories on both exchanges tracked by ICE rose to a 3-month high for Arabica coffee and a 6-month high for coffee. Robusta coffee. Most notably, the report of the Foreign Agriculture Division (FAS) under the US Department of Agriculture (USDA) forecasts that Brazilian output in the 2020/2021 crop will increase by 14.5% to a record 67.9. million bags have reversed world coffee prices.
Meanwhile, the International Coffee Organization’s October Trade Report (ICO) cut the estimate of global coffee surplus for 2019/2020 to 0.96 million bags from the excess estimate. The previous year it was 1.24 million bags and the forecast for global Arabica production fell 5.1% from the previous crop year, to 95.73 million bags but global Robusta production increased by 3.2%. to 72.82 million bags.
As of Monday 30/11, Robusta coffee inventories certified and tracked by London floor have decreased by 460 tons, or 0.34% lower than the previous trading week, to registration at 133,020 tons ( equivalent to 2,217,000 bags, 60 kg bags).
English (giacaphe.com)
