December arabica coffee (KCZ26) fell by 1.41% to a one-month low, while November ICE robusta coffee (RMX26) decreased by 2.89%, hitting a 2.75-month low. Prices are declining amid expectations of increased supply from Brazil’s coffee harvest, which is currently 97% complete for the 2026/27 season, lagging behind both last year and the five-year average.
Heavy rainfall in Brazil’s Minas Gerais, with 8.9 mm recorded (127% of the historical average), is expected to benefit the upcoming harvest. However, ICE arabica coffee inventories have dropped to a 27-year low of 223,976 bags, while robusta inventories rose to a 9.25-month high of 4,956 lots.
Global coffee production is projected to rise by 6% in the 2026-27 season to a record 189.7 million bags, according to the USDA. This includes a 12% increase in arabica output, although robusta production is expected to decline slightly by 0.7%.
5 Stocks Our Experts Predict Could Double In the Next Year
By submitting your email, you'll also get a free pivot & flow membership. A free daily market overview. You can unsubscribe at any time.
