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Instant coffee exports down; difficulties expected into 2022

Nov, 12, 2021 Posted by Ruth Hollard

Week 202143

Some of the problems that affected the year-to-date (YTD) performance of instant coffee exports this year are beginning to carry over to 2022 expectations. The added emphasis on uncertainties about the Brazilian crop is hampering importers’ decision-making.

In the assessment by ABICS (the Brazilian soluble coffee industry association), the slowdown in purchases by the largest global players comes from the explosion in raw material prices, still conditioned by the drought and frost effects that should extend into the next cycle after the failures of the past crop.

From January to October, Brazil shipped 3.273 million bags, 2.5% less than in 2020. In October there was a slight increase.

See below a history of Brazilian instant coffee exports. Data are from DataLiner:

Brazilian Exports of Instant Coffee (HS 2101) | Jan 2020 to Sept 2021 | WTMT

Source: DataLiner (click here to request a demo)

Besides fewer available grains available to blend with Arabica, (since robust coffee is in higher demand by roasters and instant coffee is also produced 100% with it), the sector also felt constant logistical problems.

The lack of containers and fewer ships were the trademarks of global shipping in 2021.

 

Source: Money Times

To read the full original article, visit the link: https://www.moneytimes.com.br/cafe-soluvel-acumula-queda-nos-embarques-e-setor-renova-dificuldades-para-2022/

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