On March 21, coffee prices saw declines, with May arabica (KCK26) closing down $0.35 (-0.12%) and May ICE robusta (RMK26) down $18 (-0.54%). Despite these losses, the Brazilian real strengthened to a 23-month high against the dollar, which limits export sales from Brazil’s coffee producers.
Recent forecasts indicate Brazil’s record coffee crop for the 2026/27 season could reach 75.9 million bags, a 15.5% increase year-on-year. Simultaneously, Vietnam’s coffee exports for early 2026 saw a 14% rise to 585,000 metric tons. Global coffee production is projected to reach 180 million bags for the same season, while a recent closure of the Strait of Hormuz has disrupted global shipping, raising costs for coffee importers.
