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Brazil coffee exports fall 29% in Sept on shipping hurdles By Reuters

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© Reuters. On May 2, 2018, the robusta coffee fruits were seen in Sao Gabriel da Palha. Espirito Santo state is Brazil. Picture taken May 2, 2018. REUTERS/Jose Roberto Gomes/Files

NEW YORK, (Reuters) – Brazilian green coffee exports fell 29% to 2.74 Million 60-kg bags in September compared to a year ago, Cecafe, an exporters association, said Wednesday. This was due to shipping problems that continue to hinder the commodity’s flow.

Nicolas Rueda from Cecafe stated that there is no significant change in shipping. Exporters are having difficulty booking containers or vessels and face frequent delays by shipping companies.

Exporters are in fierce competition to get containers secured and load orders. Rueda added that it was all extremely costly and stressed the importance of planning for exporters.

According to him, importers from the major consuming countries, such as Brazil, the top coffee client, are also suffering, as they have to deal with disruptions in their supply chains.

Brazilian exports fell by 24% to 2.42 Million Bags for arabica coffee. However, shipments of Brazilian robusta coffee (the type that is used in blends or by the instant-coffee industry) fell 51% to 326,045 bag.

Brazil’s domestic coffee market is booming with robusta coffee. This has been because roasters are increasing their use of the coffee since July frosts caused prices to soar.

Brazil is not only the biggest coffee exporter in the world but also consumes the most of it after the United States.

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