![\"Dark](\"https:\/\/www.newsbeep.com\/uk\/wp-content\/uploads\/2026\/04\/Dark20roasted20coffee20beans20with20scoop20by20Rattanapol20via20Shutterstock.jpg\")
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Dark roasted coffee beans with scoop by Rattanapol via Shutterstock <\/p>\n
July arabica coffee (KCN26<\/a>) today is down -4.90 (-1.94%), and July ICE robusta coffee (RMN26<\/a>) is down -9 (-0.27%).\u00a0<\/p>\n Coffee prices added to this week\u2019s sharp losses today, with arabica falling to a 19-month nearest-futures low and robusta sliding to a 7-week low.\u00a0 \u00a0<\/p>\n The outlook for a record Brazil coffee crop is weighing on prices after the USDA\u2019s Foreign Agricultural Service (FAS) on Wednesday forecast a record 2026\/27 Brazil coffee crop of 71.9 million bags, up +14% y\/y. \u00a0Also, Rabobank raised its 2026\/27 global arabica coffee surplus estimate to 9.5 million bags from 7.0 million bags previously.<\/p>\n Coffee prices have ratcheted lower over the past six weeks amid an improved global supply outlook.\u00a0 On May 7, the Coffee Trading Academy projected Brazil\u2019s 2026\/27 coffee harvest will increase by 12% y\/y to 71.4 million bags.\u00a0On March 19, Marex Group Plc projected a record 2026\/27 Brazilian coffee crop of 75.9 million bags, surpassing Sucafina\u2019s forecast of 75.4 million bags (+15.5% y\/y).\u00a0 On March 12, StoneX raised its Brazil 2026\/27 coffee production estimate to a record 75.3 million bags, up from a November estimate of 70.7 million bags.\u00a0Meanwhile, StoneX projected the 2026 global coffee surplus will expand to 10 million bags from 1.8 million bags in 2025, the biggest surplus in 6 years.\u00a0<\/p>\n Soaring coffee exports from Vietnam, the world\u2019s largest robusta producer, are bearish for robusta prices.\u00a0 On Tuesday, Vietnam\u2019s National Statistics Office reported that Vietnam\u2019s 2026 coffee exports (Jan-May) rose by +7.9% y\/y to 922,000 MT.\u00a0 Vietnam\u2019s 2025 coffee exports jumped by +17.5% y\/y to 1.58 MMT.\u00a0Also, Vietnam\u2019s 2025\/26 coffee production is projected to climb +6% y\/y to a 4-year high of 1.76 MMT (29.4 million bags).<\/p>\n ICE coffee inventories have trended lower over the past 2.5 months, which is supportive of coffee prices.\u00a0ICE arabica coffee inventories fell to a 3.75-month low of 427,840 on Wednesday.\u00a0 Meanwhile, ICE robusta inventories fell to a 2-year low of 3,631 lots on May 15, but are mildly above that today at 3,798 lots.\u00a0<\/p>\n Concerns that an El Ni\u00f1o weather pattern could hurt Brazil\u2019s coffee crop next year are supportive for prices.\u00a0 Coffee trader Commercial said the El Ni\u00f1o weather pattern may delay rains in Brazil this September and October, when tree flowering normally occurs, hurting Brazil\u2019s 2026\/27 coffee crop.\u00a0 The US National Oceanic and Atmospheric Administration (NOAA) estimates an 82% probability that El Ni\u00f1o conditions will emerge between May and July and persist through the end of the year, with a 67% chance of a \u201cSuper El Ni\u00f1o.\u201d\u00a0<\/p>\n Smaller exports from Brazil are supportive of coffee prices.\u00a0 On May 12, Cecafe reported that Brazil\u2019s April green coffee exports fell -1.3% y\/y to 2.76 million bags.\u00a0<\/p>\n The ongoing closure of the Strait of Hormuz has disrupted global coffee supplies and is bullish for prices.\u00a0 The closure of the Strait has tightened coffee supplies by increasing global shipping rates, insurance, fertilizer, and fuel costs, and raising costs for coffee importers and roasters.\u00a0<\/p>\n As a bearish factor, the International Coffee Organization (ICO) reported on November 7 that global coffee exports for the current marketing year (Oct-Sep) fell -0.3% y\/y to 138.658 million bags.<\/p>\n The USDA\u2019s Foreign Agriculture Service (FAS) bi-annual report on December 18 projected that world coffee production in 2025\/26 will increase by +2.0% y\/y to a record 178.848 million bags, with a -4.7% decrease in arabica production to 95.515 million bags and a +10.9% increase in robusta production to 83.333 million bags.\u00a0 FAS forecasted that Brazil\u2019s 2025\/26 coffee production will decline by -3.1% y\/y to 63 million bags and that Vietnam\u2019s 2025\/26 coffee output will rise by 6.2% y\/y to a 4-year high of 30.8 million bags.\u00a0FAS forecasts that 2025\/26 ending stocks will fall by -5.4% to 20.148 million bags from 21.307 million bags in 2024\/25.<\/p>\n On the date of publication, Rich Asplund<\/a> did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here<\/a>. <\/p>\n","protected":false},"excerpt":{"rendered":"Dark roasted coffee beans with scoop by Rattanapol via Shutterstock July arabica coffee (KCN26) today is down -4.90…\n","protected":false},"author":2,"featured_media":530737,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[22],"tags":[1397,43461,90,56,54,55],"class_list":["post-621601","post","type-post","status-publish","format-standard","has-post-thumbnail","category-environment","tag-environment","tag-n-a","tag-science","tag-uk","tag-united-kingdom","tag-unitedkingdom"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts\/621601","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/comments?post=621601"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts\/621601\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/media\/530737"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/media?parent=621601"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/categories?post=621601"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/tags?post=621601"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}