LONDON: Arabica coffee futures on ICE were lower on Wednesday, weighed by the prospect of a bumper crop in Brazil this year, while cocoa prices also fell.
COFFEE
Arabica coffee fell 1.9percent to USD2.8915 per lb by 1318 GMT. Dealers noted many analysts expected a record crop in Brazil this year, although there are currently few offers for prompt shipment, with farmers holding back sales in the hope of higher prices.
Some coffee industry experts have been drawing comparisons between the coffee and cocoa markets, projecting that coffee prices will sink in the coming months, just as cocoa prices crashed after the chocolate ingredient hit an all-time high in 2024.
Robusta coffee rose 1.5percent to USD3,580 a metric ton, boosted partly by a slowdown in the pace of sales in top robusta producer Vietnam.
COCOA
London cocoa fell 0.1percent to 2,433 pounds a ton. Dealers said weak demand may persist into the 2026/27 season, potentially contributing to another global surplus.
A Reuters poll issued earlier this month had a consensus of a global surplus of 308,000 tons in the 2025/26 season. New York cocoa lost 1percent to USD3,316 a ton.
SUGAR
Raw sugar ?gained 0.5percent to 14.52 cents per lb. Dealers said further gains in energy prices helped to support sugar. White sugar rose 0.5percent to USD428.30 a ton.
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