On March 6, coffee prices rose, with May arabica coffee (KCK26) up by 1.81% to $5.30 and May ICE robusta coffee (RMK26) climbing 1.90% to $68. The closure of the Strait of Hormuz has disrupted global shipping, driving up shipping rates and import costs for coffee, while tight inventories further supported robusta prices, with ICE inventories falling to a two-month low of 4,285 lots.
However, coffee prices are under pressure from favorable weather in Brazil, which saw abundant rains that eased crop concerns. Brazil’s coffee production for the 2026/27 season is projected to hit a record 75.3 million bags, up from 70.7 million bags previously estimated, according to StoneX. February coffee exports from Brazil decreased 17.4% year-over-year to 142,000 metric tons, indicating potential supply chain shifts.
