Global coffee prices reach a record level despite a 17% decline in coffee contracts
Global coffee prices continued to rise to record new highs, ignoring the sharp decline witnessed in the Global coffee prices have begun a sharp upward journey in 2024 due to bad weather conditions that affected crops in major producers such as Brazil and Vietnam.
Although futures contracts have declined by about 17% since the beginning of this year due to improved supply, the impact of this decline has not yet reached the markets.
Industry experts point out that there is a large time gap between the movements of futures markets and the arrival of grains in warehouses. Coffee shipments take between 4 to 6 months to reach their destinations, followed by a similar period for inventory consumption, which means that any decrease in spot prices will not be reflected on the consumer before the beginning of 2027.
With regard to supply, the Brazilian exporters group (Sikafi) revealed that shipments of unroasted coffee declined by 27% during February compared to the previous year, with producers tending to maintain their inventory in anticipation of a greater rise in prices, especially in light of the decline in the value of coffee. Brazilian Real.
With regard to consumer behavior, data showed "Toast" Restaurant payment service providers have stabilized the prices of major beverages, with the average price of regular coffee reaching $3.65 and cold coffee at $5.58 in February, up 4% from the previous year.
Despite the decline in sales of these beverages in the last quarter of 2025, demand remains strong for espresso-based drinks that are difficult to prepare at home.
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