The International Coffee Organization says Covid-19 presents ‘considerable downside risks to the coffee price.’
However, the differential between Colombian Milds and Other Milds more than doubled to 10.93 US cents/lb.
Global exports in January 2020 totalled 10.29 million bags, compared with 11.14 million bags in January 2019, and shipments in the first four months of coffee year 2019/20 decreased by 5.8 per cent to 39.53 million bags.
Exports from the world’s two largest coffee-producing regions declined in the period October 2019 to January 2020. Shipments from South America decreased by 9.8% to 19.86 million bags and from Asia and Oceania by 5.4 per cent to 12.21 million bags.
However, exports from Africa grew by 9.5 per cent to 4.38 million bags, as shipments from the region’s three largest producers all increased, and shipments from Central America & Mexico rose by 1.7 per cent to 3.07 million bags.
“In 2019/20, world coffee consumption is estimated to exceed global output by 0.48 million bags, but Covid-19 presents considerable downside risk to global coffee consumption,” the ICO concluded.
As of 9 March 2020, the C price in New York was 103.98 US cents/pound.
[photo: Neil Palmer, CIAT]