Premiums for Indonesia's coffee dropped to $400 a tonne to London futures, their lowest since mid-October, squeezed by the early arrival of beans and hopes of good weather during harvests, dealers said on Friday. Flowers have turned to cherries on some plantations ahead of the harvest, which normally starts in December or January.
Heavy rains damaged the previous crop earlier this year, causing a severe supply shortage that sent premiums to record highs. A dealer in Singapore also put premiums for remaining beans from the previous harvest at $400, adding that robusta from the new crop was being offered at premiums of $100 to London's March contract.