Arabica Rises with Adverse Weather, While Robusta Declines with Increased Stocks

Coffee prices ended the day in opposite directions on international exchanges, reflecting market volatility. Arabica coffee saw an increase due to adverse weather conditions in Brazil, which could impact the 2025 and 2026 harvests. The lack of rainfall in Minas Gerais remains a concern for producers and investors, driving prices higher in the short term. In contrast, robusta coffee declined after an increase in ICE-monitored stocks, bringing more supply to the market and pushing prices down.

Climate conditions continue to be a key factor in coffee price fluctuations, particularly for arabica, which is more sensitive to high temperatures and prolonged droughts. The superintendent of Cooxupé, José Eduardo dos Santos Júnior, highlighted that the real impact of the drought will only be measurable at harvest time, but the damage to crops is already considered irreversible. Concerns over future supply support the bullish trend in arabica prices, while robusta still faces resistance to rising due to higher stock levels and a lower immediate climate impact.

In the domestic market, arabica prices followed New York’s gains, posting significant increases in key producing regions such as Franca, Machado, and Guaxupé. The Pulped Natural variety also saw gains, though more moderate. Experts recommend that producers consider short-term negotiations to ensure profitability and invest in technology and proper crop management to mitigate climate risks. Amidst this uncertain scenario, the market remains focused on climate developments and producer strategies to navigate the challenges of the upcoming harvest.

Fonte: Noticias Agrícolas Mercado do café fecha sessão desta 5ª feira (20) com preços em lados opostos... - Notícias Agrícolas