London, Tuesday, 8 February 2022 -
As last year's frosts and drought in top producer Brazil clouded the international supply forecast, Arabica coffee futures on ICE rose to an 8-week high of $2.46 per pound, getting closer to a 10-year peak of $2.50 hit in December.
Late rains have inundated coffee grounds in Brazil's central-eastern regions, raising fears after reports of below-normal levels in recent weeks.
In addition, a chronic transportation bottleneck caused by the pandemic's expansion, higher fertilizer and fuel costs, and ongoing labour shortages should keep pushing up coffee prices.
(Reporting by: The Decision Maker – Banking and Finance editors)