Robusta coffee hits highest in 10 years

Robusta coffee futures on ICE hit the highest price in more than 10 years.while arabica coffee gained nearly 3%, as disruptions to shipment.

January robusta coffee rose 2.1% to $2,386 a tonne, having touched a high of 2,419 during the session, the highest price since August 2011.

March arabica coffee rose 2.8% to $2.4335 per lb, heading back towards the 10-year high around $2.48 seen late in November.

Dealers said the coffee market continues to be supported by shipping difficulties around the world and the prospect for a small crop next year in top grower Brazil.

Brazil’s number one exporter, Cooxupe, cut its projection for 2021 coffee exports to 4.8 million bags from 6.5 million bags previously, saying shipping bottlenecks and a smaller crop are reducing export volumes.

The reduction in shipments from Brazil and Vietnam had helped to tighten supplies in consuming countries, boosting interest for ICE certified stocks.

Certified arabica stocks fell more than 260,000 bags in the last 20 days, while robusta stocks went down by more than 10,000 tonnes in the period.