Colombia News | Colombia Reports
  • News
    • General
    • Analysis
    • War and peace
    • Elections
    • Economy
    • Culture
    • Sports
    • Science and Tech
  • Travel
    • General
    • Bogota
    • Medellin
    • Cali
    • Cartagena
    • Antioquia
    • Caribbean
    • Pacific
    • Coffee region
    • Amazon
    • Southwest Colombia
    • Northeast Colombia
    • Central Colombia
  • Data
    • Economy
    • Crime and security
    • War and peace
    • Development
    • Cities
    • Regions
    • Provinces
  • Profiles
    • Organized crime
    • Politics
    • Armed conflict
    • Economy
    • Sports
  • Lite
  • Opinion
  • About us
  • Support us
  • Contact Us
  • Intelligence
  • Advertising
  • Newsletter
Colombia News | Colombia Reports
  • News
    • General
    • Analysis
    • War and peace
    • Elections
    • Economy
    • Culture
    • Sports
    • Science and Tech
  • Travel
    • General
    • Bogota
    • Medellin
    • Cali
    • Cartagena
    • Antioquia
    • Caribbean
    • Pacific
    • Coffee region
    • Amazon
    • Southwest Colombia
    • Northeast Colombia
    • Central Colombia
  • Data
    • Economy
    • Crime and security
    • War and peace
    • Development
    • Cities
    • Regions
    • Provinces
  • Profiles
    • Organized crime
    • Politics
    • Armed conflict
    • Economy
    • Sports
  • Lite
  • Opinion
Coffee
(Photo: Cafe Noticias Risaralda)
News

Brazil coffee production falls, Colombia internal coffee price rises

by Camilo Mejia Giraldo February 19, 2014

The international price of coffee climbed to its highest point on the New York Stock exchange since 2004 on Tuesday, according to international newswires, lifting an economic weight off the iconic industry’s back.

Concerns over production in drought-stricken Brazil, the largest exporter of coffee in the world, have been bringing the international price of coffee beans from $1.39 to $1.52 per pound in the US stock market.

In Colombia, one of the world’s biggest coffee exporters which recently posted a 15% increase in production, the internal price of coffee has subsequently risen 54.51% since January and currently exceeds $300 per 275 pound load.

The country’s coffee producers have been running at a loss in the last year with the high Colombian peso and low coffee prices spurred riots and social unrest twice last year.

Since then, the Colombian government has introduced a subsidy for the product.

MORE: Colombia coffee production hits 6-year high

MORE: Government subsidies generate employment in Colombia’s coffee region: Santos

Carlos Ignacio Rojas, president of the National Association of Coffee Exporters (Asoexport), explained that Brazil, currently experiencing a heavy drought in its main coffee regions, is “largely responsible” for the increasing price of the coffee bean, El Tiempo newspaper reported.

Recent official figures have forecast Brazilian 2014 to 2015 production — beginning in April — to between 46.53 and 50.15 million bags, which “would represent two consecutive decreases in Brazilian coffee production for the first time since 1977,” according the International Coffee Organization (ICO).

However, forecasts of rain in some of the Brazil’s coffee regions has traders speculating on the actual loss of the country’s production, which may not be as large predicted — newswire Reuters reported.

According to the ICO, the ongoing outbreak of coffee leaf rust in Central America is also affecting crops with production in Honduras down to 4.2 million bags, Mexico down to 3.9 million and Guatemala to 3.1 million.

Nicaragua, Costa Rica and El Salvador are all forecast to lower at 1.5 million, 1.4 million and 844,000 bags respectively.

On the other side of the world, constant heavy rain in Indonesia and Vietnam, the second largest producer of coffee in the world, has affected the production of Robusta coffee — different to the Arabica coffee grown in Colombia.

Sources

  • Monthly Coffee Market Report (ICO Report January 2014)
  • Precio de la carga de café ha subido 54.5 % este año (Portafolio)
  • Carga de café superó la barrera de los 600.000 pesos (El Tiempo)
  • SOFTS-Brazilian drought recovery concerns propel coffee to 1-year high (Reuters)
AsoexportBrazilcoffeeeconomyexportICOInternational Coffee Organization

Trending

  • Bogota and Medellin lock down as COVID saturates Colombia’s hospitals

  • Colombia discovers local coronavirus mutation

  • Colombia discards new COVID lockdown as new surge continues

Weekly interviews and news updates

Related articles

  • Colombia not considering new coronavirus lockdown

  • Duque goes blank as Colombia’s economic crisis turns catastrophic

  • Brazil arrests former Avianca director on bribery charges

  • Facebook
  • Twitter
  • Linkedin
  • RSS

@2008-2019 - Colombia Reports. All Rights Reserved.
Powered by Digitale Zaken and Parrolabs


Back To Top