The price of coffee on international exchanges has risen sharply due to the effect of tariffs imposed by the United States on Brazil, stock exchange data show.
The price of Arabica for December delivery has increased by 5.03 percent, and the price of Robusta for November delivery is 2.45 percent more expensive.
The 50 percent tariffs imposed by the United States on goods from Brazil have led to a sharp decrease in stocks in other countries that export this crop.
Global Arabica stocks have fallen to their lowest level in the last 17.5 months, and Robusta stocks are at their lowest in the last two months, reports the business portal “Barchart”.
American buyers are canceling new contracts for the purchase of Brazilian coffee beans due to the high tariffs. This has caused disruptions in supplies from other countries, since a third of the raw coffee imported by the United States comes from Brazil.
Analysts believe that coffee prices could fall in the coming period due to rainfall in Brazil, which alleviates dry conditions, and an expected six percent increase in production in Vietnam compared to last year.
