Brazilian coffee exports increased by 29,4% compared to August 2022, registering 3,7 million bags

Brazilian coffee exports totaled 3,673 million 60 kg bags in August this year, a volume that implies growth of 29,4% in relation to that recorded in the same month of 2022. In foreign exchange revenue, the increase was 7,5% in the same comparative range, with income obtained from remittances reaching US$723,8 million. The data is part of the monthly statistical report of the Brazilian Coffee Exporters Council (Cecafé).

The good performance last month reflects the substantial increase recorded in shipments of conilon and Robusta coffees and a certain recovery in shipments of the Arabica variety.

"Shipments of canephora coffees abroad exploded by 443%, to 699 thousand bags in August, which results in the best performance of exports of this variety in a single month. Arabicas increased by 11,2%, to 2,65 million bags , consolidating monthly growth and the resumption of shipments with the arrival of the new harvest", points out the president of Cecafé, Márcio Ferreira.

According to him, Brazilian canephora coffees remain more competitive and extremely in demand, as other important origins producing the variety, mainly Vietnam and Indonesia, have faced adverse weather conditions and a drop in production.

"This scenario has been very favorable to the Brazilian producer, as the price has remained stable in recent months, as the substantial increase on the London Stock Exchange, which rose from US$ 1.735 per ton in the Nov/23 contract, on 30 last December, to the current US$ 2.430/t – an increase of 40%, despite the dollar's fall from R$ 5,21 to R$ 4,92 in the same period –, contributes greatly to these records in conilon and Robusta exports ", he analyzes.

With a significant recovery in the 2023 Arabica harvest in Brazil, he adds that there is a reduction in the percentage of canephoras in blends for domestic consumption, which increases the availability of this variety for the international market, also favoring greater competitiveness.

"The prospects for our conilon and Robusta remain positive, as the advent of El Niño, although not as intense, creates an environment favorable to the stability of this market in the short and medium term", he reveals.

In relation to arabica, Ferreira states that, with the end of the harvest, an increase in volumes received in warehouses is confirmed, which was already predicted due to the good load observed in crops in the pre-harvest period, mainly in areas that were greatly impacted, in the last two years, by drought and frost.

"With greater availability than in 2021 and 2022, the flow of coffees sold has increased significantly, both for future delivery and for new business, which has put pressure on the NY Stock Exchange in recent months. As the quality reported is very good and, although the trade has been experiencing, in general, tighter differentials against the New York platform, Brazil is recovering its share in arabica exports, recording volumes higher than those observed in the last months of the first semester, that is, at the end of the 2022/23 harvest", explains.

The president of Cecafé reiterates that the outlook is positive for the country's shipments to continue advancing, as important flowerings have been observed in the coffee sector, most recently in Arabica and, previously, in Canephoras.

"If we have suitable weather conditions from now until the next harvest, Brazil is fully capable of resuming, from the 2024/25 season onwards, volumes close to those seen in 2020", he projects. Ferreira adds that, “for this, it will obviously be necessary to have a price structure that remunerates the producer, enabling the appropriate treatment of crops, with a focus on quality, productivity and sustainability”.

He also notes that there are many challenges that Brazilian and global coffee farming face in terms of traceability and sustainability demands and, to honor this commitment, there will certainly be an increase in costs.

"In view of this, the market will need and will naturally adjust to this new marketing model, which increasingly prioritizes origination, traceability and, in particular, the preservation of nature and the total position against deforestation", he concludes. .

With the performance of Brazilian coffee exports in August, shipments in the first two months of the 2023/24 crop year increased to 6,672 million bags, generating foreign exchange revenue of US$ 1,354 billion. This performance implies increases of 24,5% in volume and 6,6% in values.

CIVIL YEAR

From January to the end of August this year, Brazil sent 22,904 million bags abroad, an amount still 9,7% lower than that recorded in the first eight months of 2022. In foreign exchange revenue, the drop is 17,3 %, with inflows falling from US$ 5,926 billion last year to the current US$ 4,903 billion, which reflects the reduction in market prices, as the average price of an exported bag declined 8,3%, from US$ 233,55 .214,08 to $XNUMX.

MAIN DESTINATIONS

In the first eight months of 2023, the United States remains the main importer of coffee from Brazil, with the acquisition of 3,885 million bags, a volume 26,6% lower than that recorded in the same cycle in 2022. This amount is equivalent to 17% of shipments Brazilian totals in the recent interval.

Germany, with a representation of 11,8%, purchased 2,699 million bags (-40,5%) and occupied second place in the ranking. Next comes Italy, with imports of 1,715 million bags (-15,3%); Japan, with 1,509 million bags (+33,4%); and Belgium, with 1,309 million bags (-38%).

It is worth highlighting, however, the substantial increase recorded in shipments to China, a nation that, with the purchase of 602 thousand bags in the first eight months of 2023, jumped to ninth place in the ranking of Brazil's main coffee partners and expanded in 146,5% purchases of national products.

A few years ago, there were doubts whether the signal given by the Chinese market was a trend or a separate chapter that would cool down. Cecafé invested in the trend and carried out a series of initiatives to promote Brazilian coffees in the Asian giant, which resulted in greater acceptance of the product, with young consumers willing to try the drink, increasing local consumption.

“The Chinese market has been growing over the years and Brazil, through actions we have taken on, has been occupying space. We continue to carry out various promotional initiatives for our coffees in partnership with coffee shop chains and local agents, which favors the progress we are seeing in the Chinese market", says Ferreira.

By continents and economic blocs, the growth of 101,7% and 48,1% recorded, respectively, for Arab Countries and the Middle East is worth highlighting. “In the nations of these regions, there is a very intense characteristic of consuming Rio coffee and Brazil is practically the only country that produces Arabica with this drink profile, being a loyal supplier in quantity to these destinations”, concludes the president sweet coffee.

TYPES OF COFFEE

From January to the end of August this year, Arabica coffee remains the most exported, with a volume equivalent to 18,391 million bags, which corresponds to 80,3% of the total. The soluble segment had the corresponding 2,529 million bags shipped in the interval, representing 11%, followed by the canephora variety, with 1,951 million bags (8,5%) and the roasted and roasted and ground product, with 34.047 bags (0,2%).

DIFFERENTIATED COFFEES

Coffees that have superior quality or certificates of sustainable practices accounted for 16,5% of total Brazilian exports of the product in 2023, with 3,770 million bags sent abroad. This volume represents a drop of 16,9% compared to that recorded between January and August of the previous year.

The average price of this product was US$241,31 per bag, providing foreign exchange revenue of US$909,8 million in the first eight months of this year, which corresponds to 18,6% of that obtained from total coffee shipments. In the annual comparison, the value is 29,6% lower than that measured in the same interval in 2022.

In the ranking of the main destinations for differentiated coffees this year, the USA occupies first place, with the acquisition of 902.087 bags, equivalent to 23,9% of the total of this type of product exported. Closing the top 5 comes Germany, with 489.382 bags and a representation of 13%; Belgium, with 421.505 bags (11,2%); Netherlands (Netherlands), with 227.227 bags (6%); and the United Kingdom, with 175.081 bags (4,6%).

PORTS

The Santos maritime complex (SP) remains the main exporter of coffee from Brazil in the current calendar year, with shipments of 16,968 million bags abroad, which is equivalent to 74,1% of the total. Next come the ports of Rio de Janeiro, which account for 21,3% of shipments, having sent 4,871 million bags, and Paranaguá (PR), with the shipment of 324.122 bags abroad and representing 1,4%.