Coffee prices with new fall

Considered the second most traded commodity in the world, coffee presented again in May, lower prices, reflected in the fall of composite indicator price for the lowest average monthly level since April 2010, according to disclosed by the ICO (International Coffee Organization).
All indicators of the four groups declined from the previous month, with the biggest drop to occur in Robusta. The continued decline in prices observed over the past two years has reduced the revenue earned by producers of coffee, and there is the consequent concern that many of these may be selling at a price that is not rewarding or lucrative compared to the cost of production.
The monthly average of the ICO composite indicator price fell in May to 126.96 cents / pound, its lowest level in more than three years. Moreover, this average is also 19.5% lower than in May 2012, verifying downhill in the last four months. The daily price reached a peak of 134.21 U.S. cents / lb, before a rapid descent down from 120 at the end of the month, the lowest level since November 2009.
The indicators of the four groups suffered in the period considered, devaluation. Colombian Milds fell 2.1% compared to April, for an average of 158.35 cents / pound. Other Milds fell by 1.7% to 147.19 cents / lb, while the Brazilian Naturals showed a similar decrease of 1.8%, falling to 130.29 cents / pound. Robusta declined 2.5% to 99.18 cents / pound, its lowest monthly average thus far.
Exports by all exporting countries totalled 9.6 million bags in April this year, an increase of 4.4% compared to April 2012. Thus, the total exports in the first seven months of coffee year 2012/2013 (October to April) reached 66 million bags, an increase of 7.1% compared to 61.6 million bags exported in the same period last year.
The total production in crop year 2012/2013 is estimated at 143.3 million bags, an increase of 6.9% over the previous year. The vintage year 2013/2014 has begun in Brazil, whose estimate CONAB points to 48.6 million bags, a record high for a year off in the biennial cycle of production of Brazil.
Source: Hostel Vending Portugal