Coffee market latest information 2021 world coffee market trends coffee bean prices will rise? Coffee prices are expected to rise in 2021!

Due to the COVID-19 epidemic and extreme weather and other factors, the world's major coffee exporters generally have large-scale production cuts and supply shortages of coffee beans, which have led to a surge in coffee prices.

As of yesterday's close, London's Robbins Tadou futures contract for January 2022 rose more than 5 per cent to $2325 a tonne, the highest level since September 2011, according to Wall Street reports.

In addition to the rise in the price of the London Robusta bean futures contract, the price of Arabica coffee beans on the New York Stock Exchange also rose 2.4%.

Separately, Francois-Xavier Roger, Nestle's chief financial officer, revealed last month that rising costs are expected to continue into 2022 because of commodity inflation.

Nestl é said it would pass on price increases to consumers because of the soaring prices of commodities such as Robusta and Arabica, as well as a degree of uncertainty about the impact of transport, labour and packaging costs.

"Coffee price rise" has been the focus of the coffee industry this year.

According to a number of media reports, this year, Brazil, Vietnam and Colombia, the world's three major coffee bean exporters have experienced coffee bean production reduction or export obstacles.

Brazil's severe drought and frost natural disasters have led to a sharp decline in coffee bean production, with Arabica coffee bean production falling nearly 40% from last year to the lowest since 2009.

Production in Colombia has fallen due to bad weather and labor shortages.

Vietnam, on the other hand, has made it difficult for traders to ship coffee beans to ports and export them overseas because of epidemic restrictions, which has led to a rise in the price of all Vietnamese coffee exports.

The dry climate has also affected coffee and sugar-growing areas in South America, where coffee prices have risen 59% so far this year.

In addition, South Korea, as a major coffee consumer, the main source of about 20% of its coffee imports is the coffee producing country of Vietnam. As a result of the above-mentioned epidemic blockade measures, coffee production has been reduced and exports have been restricted. South Korea's main coffee bean suppliers have to increase the price per kilogram of coffee beans by about 5-16 yuan, an increase of up to 15%.

A month ago, CCTV reported that there was a "simultaneous increase in quantity and price" in China's coffee bean imports in the first half of this year.

CCTV Finance pointed out: a constant temperature and humidity storage of more than 1200 square meters of raw coffee beans in Baoshan, Shanghai is nearly full, and the entire warehouse has coffee beans from 28 countries and regions.

The reason for this situation is that a large number of coffee beans have been imported into the storage room in Baoshan, Shanghai this year, and the frequency of coffee beans in and out of the warehouse has also increased. Compared with last year, this place has a lot of spare space. This year, a large number of goods are nearly full, about a dozen containers a month.

A coffee bean trader said: the reduction in production in Brazil has led to a shortage of supply in the whole market, global coffee bean prices have increased significantly, and coffee futures have remained high.

Under the influence of the above problems, coupled with the fact that it is difficult to find a container, the arrival time is uncertain, so the coffee trader said that it plans to stock some stocks in order to ensure the demand of the domestic market.

In fact, Arabica coffee futures prices have been fluctuating and declining in the past. According to statistics, coffee bean futures prices generally maintained between $1 and $1.40 per pound from 2017 to 2020, but there has been a rapid growth trend this year. Coffee bean futures prices are currently about $1.90 per pound, the highest in recent years.

Industry insiders believe that at present, the supply of coffee beans is still tight, but the demand is not reduced, and due to the shortage of coffee beans, the shortage of containers and port congestion and many other factors, coffee prices may rise further.

However, large chains such as Starbucks will not raise coffee prices significantly because they have previously signed long-term supply contracts with coffee producers to restrict the purchase price of coffee beans.

Starbucks, the world's largest coffee chain, has pointed out that coffee prices will not rise in 2021 or nearly the entire fiscal year 2022 because the company has purchased coffee beans for about 14 months in advance.

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