Latest news of Brazilian coffee producing areas 2020 exports hit a record high and frost reduced coffee production in Brazil
Although the new type of coronal pneumonia was prevalent all over the world in 2020, the whole world is still fighting the epidemic together, many commercial activities have been blocked, and a lot of economic losses have been caused.
According to EFE, Spain's largest news agency, Brazil exported a total of 44.5 million bags of coffee in 2020, 9.4% higher than in 2019 and a record for the country.
In July, Brazil exported 2.82 million bags of coffee, down 12.8 per cent from a year earlier. In the first seven months of this year, 23.3 million bags of coffee were sent abroad, an increase of 2.2 per cent compared with the same period last year, according to the Brazilian Association of Coffee exporters (Council of Coffee Exporters of Brazil, Cecaf é).
The decline in coffee exports in July was attributed to logistical problems in maritime transport, with surging demand for food and electronics leading to high freight rates, limited space and tight containers.
Since the end of July, after Brazil experienced snow, Brazilian government officials have begun to assess the loss of coffee. According to a report by Bloomberg on Aug. 10, the government initially estimated the loss at 5 million to 10 million bags, but this is not official data and is for internal circulation only. Previously, some analysts estimated that the loss was as high as 8.8 million bags.
The Brazilian government is still assessing the damage and will release the results once the assessment is completed in the coming weeks.
The Coffee Finance Network even pointed out on August 12 that the drought in Brazil's coffee producing areas has continued since the second half of last year. The rainfall in Brazil's main coffee-producing areas from March to July this year was significantly lower than that in 2019 and 2020.
Worryingly, next year's coffee production will be determined by the rainy season from September to December. After an extreme drought and frost this year, Brazil's coffee production is already very low next year.
As of August 3, the Brazilian coffee harvest had reached 84% of 2021 production, Safras & Mercado said on Aug. 6, local time.
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