Coffee market morning 19/01/2018

After the first publication of Conab's estimated 2018/19 production of Braziil, the price of Arabica coffee futures on the ICE Futures US in New York dropped more than 200 points.

At closing, Arabica coffee futures for March delivery fell 2.00 cents / lb to 121.10 cents / lb. Meanwhile, Robusta coffee price in March increased $ 24 / ton, reaching $ 1,793 / ton.
Conab estimates that Brazil's 2018/19 coffee output will reach 54.44 million to 58.51 million 60 kgs, higher than the record level of 2016 at 51.37 million bags. Conab's first estimates are not surprising for the market. In particular, the production of Arabica coffee is estimated at 41.74 - 44.55 million bags, up from 21.9 to 30.1% over the previous crop and Conilon coffee output is estimated at 12.7 - 13.96 million, up from 18.4 to 30.2%.

Conab said that Brazilian coffee production was high due to good harvests and favorable weather conditions in recent months.
(For reference only)