Brazil Coffee Crop Looking Smaller Than Expected

Brazil’s government says its farmers will harvest 55.74 million bags of coffee in 2022. That number is 16.8 percent higher than last year, but experts say that’s a smaller amount than most people in the world’s largest coffee producer were expecting. Reuters says the smaller-than-expected number is important because Brazil’s coffee production is the key to balancing global supplies. If the smaller numbers are realized, it could cause a deficit and sustain coffee prices that are currently around 10-year highs. Total production is going to fall far short of the 2020 record, the previous “on-year” crop, which was estimated at 63 million bags. Rabobank predicts that Brazil will harvest 63.5 million bags, while Hedge Point Global Markets is guessing 65.8 million bags. “It does confirm the general pessimism about the 2022 on-cycle crop,” says Ryan Delaney of Coffee Trading Academy. The worst drought in 90 years and several severe frost events hit Brazil’s coffee fields last year.

Related articles

Not So Fast: Rabobank Reports Beef Market Headwinds

A Rabobank research paper analyzes the headwinds cattle producers face in rebuilding the cattle herd moving forward. At the 2023 NCBA Cattle Industry Convention in New Orleans, Lance Zimmerman- Rabobank Animal Protein Senior Analyst, explains...

CattleFax Forecast for Producer Profitability in 2023

The CattleFax Outlook Seminar at the annual Cattle Industry Convention in New Orleans dug into expert market and weather analysis for the coming year. Prices and profitability will again favor cattle producers in 2023. The...

USDA’s Taylor Challenged on Lack of Market Access Trade Deals

“Market Access”—a theme that won’t go away for USDA officials confronted routinely on the topic by lawmakers on Capitol Hill. South Dakota’s John Thune challenged USDA Trade Undersecretary Alexis Taylor to defend developing deals like...

Legislation Designed to Protect U.S. Ag from Foreign Adversaries

The bipartisan Promoting Agriculture Safeguards and Security (PASS) Act was introduced in both congressional chambers. It will protect U.S. national security by preventing foreign adversaries from taking any ownership or control of agricultural land...

Brazil Reinstates Ethanol Import Tariff

Brazil’s Foreign Trade Chamber reinstated the 18 percent import tariff on ethanol, making U.S. imports less price competitive in the country. The recent zero percent import tariff got put in place last year by...

Latest articles

%d bloggers like this: