There will be enough coffee, but it will be expensive

By: Trademagazin Date: 2022. 07. 27. 11:21

Harvesting is going full steam ahead on coffee plantations in Brazil, with reports that farmers have already harvested about two-thirds of the crop. And although the harvest looks much better than last year, this will not make coffee cheaper any time soon.

Harvesting is going on at a great pace on the coffee plantations in Brazil: according to the data compiled on Wednesday by the consulting firm Safras & Mercado, farmers have already harvested 66% of the crop, and the weather has remained kind to them. Although there was some loss at the beginning of the harvest due to the unfavorable weather, it has now been made up. At the same time, they are still far from the historical average of 73% for this period – Világggazdaság wrote based on Reuters information. From here on, there shouldn’t be many problems with the harvest, but it is still an open question how many million bags of coffee (1 bag = 60 kg) Brazil, the world’s largest producer, will end the season with and what quality the beans will be.

According to Safras coffee market analyst Gil Barabach, the quality will not be a problem, as the recent dry weather contributed to the acceleration of the ripening of the beans. The quantity, on the other hand, is a more difficult question: the estimates are spread in an unusually wide range. However, everyone agrees on one thing: this year’s crop exceeds the 47.7 million bags of a year ago, which was due to the fact that last year’s frost decimated the crop in Brazil. The Safras forecast is 61.1 million bags, while the official government estimate mentions only 53.4 million bags.