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Markets

Brazil July coffee exports fall 8pc to 1.51mn bags

Published Updated

SAO PAULO: Brazil exported 1.51 million 60-kg bags of green coffee in July, 8 percent less than the 1.64 million bags shipped a year earlier, as slow arrivals of lots from this year's crop cut volumes, exporters association Cecaf? said on Wednesday.

Exports of arabica beans fell 7 percent to 1.49 million bags, while shipments of robusta beans, largely used for instant coffee production, were at only 16,000 bags, 57 percent below last year despite a rise of local robusta production.

Cecaf?'s president Nelson Carvalhaes said July exports were below expectations. Among factors impacting volumes were low carry-over stocks from the prior season.

"Besides that, the new crop is arriving at a slow pace, weakening the offer in the market," he said.

The association said it expects volumes to return "to normal levels" around September, when it believes local producers will increase the available supply.

Brazilian trade ministry had already signaled reduced shipments of Brazilian coffee on Aug. 1, when it said July exports of green coffee reached 1.6 million bags, the smallest monthly volume in more than 10 years.

Numbers from the government and from Cecaf? differ slightly, due to different methodologies to measure coffee shipments to foreign markets.

Exporters and traders have reported smaller arrivals of export-quality coffee from the current crop, which has been hit by drier-than-normal weather and a borer infestation.

Copyright Reuters, 2017
 

 

 

 

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