PRESS ROOM
Extreme weather conditions in Brazil dampen coffee’s supply outlook
Friday 06th August '21
Brazil, the world’s largest producer and exporter of coffee, has faced extreme weather conditions in 2021 which have lent buoyancy to coffee prices. Earlier in the year Brazil suffered a historic drought which lowered the outlook for production in the current low-yielding year 2021/22. However, the extreme dry weather conditions in Brazil at the start of the year have been followed by extreme cold weather conditions, the coldest since 1994 according to Rural Clima. This has led to damaging frosts at key plantations in Minas Gerais – a south-eastern inland state that produces 70% of Brazil’s Arabica beans. Extreme weather conditions are lowering crop estimates.