The value of Robustas remained at a near-record high in August, according to the latest Coffee Market Report from the International Coffee Organisation (ICO), sitting at 124.62 US cents per pound.
Green bean exports of Robustas reached 3.59 million bags in July 2023, compared to 3.22 million bags in July 2022, showing an increase of 11.6 per cent.
The ICO Composite Indicator Price (I-CIP) averaged 154.53 US cents per pound in August, posting a median value of 151.1 US centre per pound and fluctuating between 148.79 and 163.62 US cents per pound.
The Colombian Milds-Other Milds differential pivoted from -2.91 to 0.82 US cents per pound, returning to the positive after an inverted differential in July.
The arbitrage measured between the London and New York Futures markets narrowed by 1.6 per cent to 45.23 US cents per pound in August.
Exports of all forms of coffee from South America decreased by 2.2 per cent to 4.16 million bags in July 2023. Colombia and Peru saw their exports fall by 17.1 per cent and 37.5 per cent respectively.
Mexico and Central America saw their exports of all forms of coffee increase by 9.4 per cent in July 2023, totalling 1.66 million bags compared to 1.51 million bags in July 2022.
Total exports of soluble coffee decreased by 16.6 per cent in July 2023 to 0.84 million bags, compared to 1.0 million bags in July 2022.
World coffee production decreased by 1.4 per cent year-on-year to 168.5 million bags in coffee year 2021-22. This number is expected to bounce back by 1.7 per cent to 171.3 million bags in 2022/23.
World coffee consumption increased by 4.2 per cent to 175.6 million bags in coffee year 2021/22. The ICO expects this number to increase by 1.7 per cent to 178.5 million bags in coffee year 2022/23.
The ICO says the world coffee market is expected to undergo another year of deficit, with an estimated shortfall of 7.3 million bags in coffee year 2022/23.
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