Chris Flood-Financial Times, 01/14/2009
A substantial fall in Brazilian coffee production this year looks likely to drag the global coffee market into a supply deficit in 2009-10, according to the International Coffee Organisation which released its latest monthly report yesterday.
The ICO said Brazil’s coffee production, which follows a biennial cycle (high output one year followed by low the next), could fall from 46m 60kg bags in 2008-09 to between 36.9m and 38.8m bags this year, a drop of 16 to 20 per cent.
The ICO said the preliminary crop forecast for Brazil implied a shortfall of at least 5m bags for world supply in 2009-10 but cautioned that a more accurate picture would emerge once production estimates from other countries were published in the near future.
Filed under: Trade, Economy and Development
