The year 2020 was marked by high prices for Arabica and Robusta coffees

The year 2020 was marked by high prices for Arabica and Robusta coffees. At the first half, prices were supported by uncertainties regarding supply of coffee. In that period, in addition to the lower arabica production in 2019/20, the coronavirus pandemic raised concerns related to global logistics, and some countries, such as Colombia, had problems with harvesting labor.

From the side demand, the uncertain scenario also boosted purchases to “stocking” of products, especially favoring the sales of Robusta. Already in second half of the year, despite the initial pressure of harvesting a 2020/21 high in Brazil and concerns about consumption, due to closure of bars, restaurants and coffee shops, domestic prices were supported by the rise of the dollar against the Real and the still firm demand.

The weather unfavorable climate (drought and heat) until mid-October and its possible impacts about the next season (2021/22) reinforced price increases (both in Reais as in dollars), especially Arabica.