LONDON: Arabica coffee futures on ICE climbed to the highest level in more than a year on Wednesday before some profit-taking emerged. May arabica coffee fell by 0.3 cent, or 0.2%, to $1.38 per lb at 1508 GMT after peaking at $1.3960, its highest in more than one year.

Dealers said the market had been buoyed partly by drier-than-normal weather in Brazil which has dented the outlook for the upcoming crop in the world’s top exporter and a shortage of global shipping containers. The global coffee market is expected to experience a larger deficit in the 2021/22 season than initially projected, according to a report released on Tuesday.

May robusta coffee was up $13, or 0.9%, at $1,473 a tonne after peaking at $1,479, also the highest in more than one year. May raw sugar rose by 0.14 cent, or 0.8%, to 17.15 cents per lb, climbing towards a nearly four-year peak of 17.52 cents set on Tuesday.

Dealers noted the March contract remained volatile ahead of its expiry on Friday, with its premium to May falling to 1.16 cents from a previous close of 1.31 cents. A large delivery is generally expected with the open interest standing at 51,486 lots, as of Feb. 23, equating to about 2.6 million tonnes of sugar although further liquidation of positions is expected in the run-up to Friday’s expiry.

May white sugar rose by $2.00, or 0.4%, to $480.40 per tonne. May New York cocoa was up $32, or 1.3%, at $2,531 a tonne. The May contract may rise towards $2,564 and break back above a falling trendline, Reuters market analyst Wang Tao said. May London cocoa rose by 7 pounds, or 0.4%, to 1,704 pounds a tonne with gains tempered by the strength of sterling.