LONDON: ICE arabica coffee futures slipped to a 5-1/2-month low on Wednesday but were on track to finish 2014 up nearly 50 percent after a drought in top grower Brazil.
Raw sugar steadied after nearing Monday's 3-month low, pressured by weak oil prices, on track to end the year down around 10.7 percent weighed by hefty stocks.
New York cocoa fell on chart-based selling and was set to end the year higher, underpinned by uncertainty over the impact of adverse weather on the crop in top grower Ivory Coast.
Arabica coffee was set to end the year up nearly 50 percent on uncertainty about drought damage to crops in Brazil.
Still, prices have fallen sharply from 2-1/2 year highs hit in early October as rains in Brazil more recently reduced fears over damage to the 2015/16 crop.
The front-month March arabica coffee contract traded down 0.3 cent, or 0.2 percent, at $1.6450 cents a lb at 1254 GMT after falling to $1.6420, its lowest since July 18.
March robusta coffee settled up $10 at $1,916 per tonne, ending the year up 13.8 percent, underpinned by robust global demand.
In sugar, prices inched higher but the upside was capped by the weak oil prices as lower crude makes cane-based ethanol less competitive.
Front-month March raw sugar rose 0.05 cent, or 0.3 percent, to 14.66 cents a lb, holding above Monday's 3-month low of 14.53 cents.
"We expect oversupply to continue into the first half of 2015, but some market relief in a tightening global balance for 2015/16," said Tom McNeill of Green Pool Commodities.
March white sugar closed up $4.10 to $391.20 per tonne, ending the year down 12.9 percent.
"Prices are back under pressure as the market deals with global oversupply and high stocks but, once again, many analysts anticipate that 2015 could be a year of transition (from surplus)," said James Liddiard, a consultant with Agrilion.
New York March cocoa fell $33, or 1.1 percent, to $2,939 per tonne on chart-based selling, and was underpinned by combined reports that the dry weather and strong Harmattan winds in Ivory Coast could hurt the country's 2014/15 crop and a dip in bean arrivals at ports.
The second-month New York contract was set to end the year up around 6.8 percent.
London March cocoa fell 4 pounds to settle at 1,953 pounds per tonne, up 13.1 percent year-on-year in 2014.
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