LONDON: Robusta coffee futures on ICE rose to their highest in over a decade on Thursday, as the flow of supplies continued to be disrupted by supply chain issues, including a shortage of container shipping capacity.
March robusta coffee rose 0.9% to $2,361 a tonne by 1439 GMT after peaking at $2,381 - the highest level for the benchmark for a second month since August 2011.
Dealers said the market continued to be supported by strong demand for exchange stocks, as supply chain issues dent flows from top robusta producer Vietnam.
Valid ICE exchange stocks stood at 99,190 tonnes, as of Dec. 22, down from 109,040 tonnes a month earlier.
Front-month January was trading at a premium of around $105 to March.
The harvest in Vietnam, however, continued to make good progress and is now more than 60% complete, the dealers added.
Vietnamese farmers have been ramping up their harvest of coffee beans in the Central Highlands, the country’s largest coffee-growing area, to take advantage of supportive weather, according to traders.
March arabica coffee rose 0.3% to $2.3420 per lb.
March raw sugar was 0.2% higher at 19.29 cents per lb boosted partly by revived risk appetite across markets on hopes that the Omicron coronavirus variant may be less severe than feared..
Dealers said some traders were squaring positions ahead of the upcoming holiday.
New York-based raw sugar futures markets are shut on Friday and open later than normal at 1230 GMT on Monday, while London-based white sugar futures will be shut until Tuesday.
March white sugar rose 0.4% to $505 a tonne.
March London cocoa rose 0.1% to 1,684 pounds a tonne.
March New York cocoa was up 1% at $2,491 a tonne.