**Coffee Market Update – April 10, 2023**
Arabica coffee (KCK26) rose by 3.10 cents (+1.05%) today, while ICE robusta coffee (RMK26) did not trade due to the UK market being closed for Easter Monday. The increase in arabica prices is attributed to a stronger Brazilian real, which has discouraged export sales from Brazil’s coffee producers.
StoneX forecasts that the global coffee surplus will surge to 10 million bags in 2026, significantly up from 1.8 million bags in 2025. Concurrently, Brazil is projected to produce a record 75.9 million bags for the 2026/27 crop, marking a 15.5% year-over-year increase. In February, Brazil’s green coffee exports fell by 27% year-over-year to 2.3 million bags, indicating potential pressure on available supply despite rising overall production forecasts.
