Rain favors coffee crops

The rainy climate has favored crops in Brazil's main coffee producing regions, as it has allowed excellent grain filling. Although the volume of precipitation has been quite high in some areas, agents consulted by Cepea have not yet reported significant problems in crops. The rainy weather also accelerated the development of the season. Therefore, many agents already expect the harvest to start a little earlier compared to last year – between the end of March and the beginning of April for Robusta and between the end of April and the beginning of May for Arabica. As for business, it remains at a very slow pace in the national economy. 

With the devaluation of coffees in the last month, producers moved away from the market. Furthermore, many coffee growers are capitalized at the beginning of the year, due to sales made until December at more remunerative prices. Thus, commercialization has been restricted to the needs of buyers, with some negotiations occurring above “market” prices or between exporters themselves. Prices, in turn, had a slight recovery in recent days, due to the external increase and the sales retraction. For arabica, the CEPEA/ESALQ Indicator for coffee type 6 hard drink for the better, placed in the capital of São Paulo, closed at R$ 467,40/60 kg bag this Tuesday, 11, an increase of 3,2% compared to to the previous Tuesday, 4. For Robusta, the CEPEA/ESALQ Indicator of type 6 sieve 13 closed at R$ 308,46/sc of 60 kg, an increase of 1,1% in the same comparison. The dollar ended at R$4,326, an appreciation of 1,6% in seven days.