Brasília: Shipments of robusta coffee from Brazil set a monthly record in August, bringing relief to coffee drinkers around the world who have been contending with shortages for most of the year.
Exporters group Cecafe on Wednesday reported a boom in shipments from the world’s second-largest producer of the bean used in instant coffee. Some of those volumes are expected to be delivered to buyers of futures contracts in London, which could ease pressure on prices.
Brazil exported 698,856 bags of robusta in August, the largest amount since Cecafe started reporting the data in 1990. Of those, 228,624 bags headed to Belgium and the UK, two key entry points for beans that are used as certified exchange stockpiles. Each bag weighs 60 kilos (132 pounds).
The shipments will further aid certified stockpiles after low supplies from other producing countries led inventories to decrease by more than 40 per cent this year. Global shortages have sent robusta futures soaring, following issues in top-shipper Vietnam and third-biggest supplier Indonesia. Robusta hit a 15-year high in May and has been fluctuating near that level since.
Concern about tight supplies also is showing in the premium November futures command over January, which jumped again Wednesday and are nearing record levels seen in August.