Coffee review

Coffee production in Indonesia has fallen by 10% this year.

Published: 2024-09-17 Author: World Gafei
Last Updated: 2024/09/17, El Ni ñ o could lead to a 10% drop in coffee production in Indonesia this year, the worst El Ni ñ o in nearly two decades, leading to a dry climate, crop damage and delayed harvesting. A median compiled by Bloomberg based on the estimates of five traders shows that as the world's third-largest grower of robastian coffee, some farmers may

El Ni ñ o could lead to a 10% drop in coffee production in Indonesia this year, the worst El Ni ñ o in nearly two decades, leading to a dry climate, crop damage and delayed harvesting.

Some farmers, the world's third-largest grower of robastian coffee, may harvest 570000 metric tons of beans in the season that begins in April, according to a median compiled by Bloomberg based on the estimates of five traders. That's down from the previous year's record of 636300 metric tons. This will be the sharpest decline since 2011 and 2012, according to USDA data.

The decline in Robastian coffee production in Indonesia will reduce its supply to Nestl é, which will lead to a rebound in futures in London this year. The Indonesian Bureau of Meteorology, Climate and Geophysics said the worst El Ni ñ o since 1997 and 1998 was the main cause of drought in the southern part of Sumatra, the country's main coffee producing area last year.

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