Subscribe Login
DE4CC0DE-5FC3-4494-BCBF-4D50B00366B5
Supply Chain

Brazil Coffee Exports See 29% Decline In September

By Dayeeta Das
Share this article

Brazilian exports of green coffee fell 29% in September compared with a year earlier, to 2.74 million 60-kilogram bags, exporters association Cecafe said on Wednesday, as shipping difficulties continued to hamper the commodity's flow.

Cecafe's head, Nicolas Rueda, said there was no change regarding shipping, with exporters struggling to get bookings for containers and vessels, as well as facing frequent loading postponements from shipping companies.

"There is intense competition among exporters to secure containers and to book loadings. And it is all very costly," Rueda said in a statement, adding that the situation is testing the planning capacity of exporters.

Supply Chain Disruptions

He said importers in the main consuming countries such as the United States, Brazil's top client for coffee, are suffering as well, having to manage the disruptions in the supply chain.

Brazilian exports of arabica coffee, the milder variety, fell 24% to 2.42 million bags, while shipments of robusta coffee, the type used in blends and by the instant coffee industry, fell 51% to only 326,045 bags.

ADVERTISEMENT

There is strong demand for robusta coffee in the Brazilian domestic market as roasters increase the use of that coffee in their blends since arabica prices have jumped to all-time highs after the frosts in July.

Beyond being the world's largest coffee exporter, Brazil is the second largest consumer of the beverage behind the United States.

In August, exports of green coffee from Brazil fell 27% in August from a year earlier to 2.33 million 60-kilogram bags as difficulties to find containers and space at vessels increased.

Elsewhere, coffee farmers in Colombia, the world's No. 2 arabica producer, have failed to deliver up to 1 million bags of beans this year or nearly 10% of the country's crop, leaving exporters, traders and roasters facing steep losses, industry sources told Reuters.

News by Reuters, edited by ESM. For more Supply Chain news, click here. Click subscribe to sign up to ESM: European Supermarket Magazine.

Get the week's top grocery retail news

Processing your request...

Thanks! please check your email to confirm your subscription.

By signing up you are agreeing to our terms & conditions and privacy policy. You can unsubscribe at any time.
Enjoy unlimited digital access for 30 days
Get exclusive access to the latest grocery retail & FMCG news, interviews with industry leading executives, and expert analysis on the trends shaping the sector today
Enjoy unlimited digital access for 30 days
Enjoy unlimited digital access for 30 days
Get exclusive access to the latest grocery retail & FMCG news, interviews with industry leading executives, and expert analysis on the trends shaping the sector today
Enjoy unlimited digital access for 30 days