The International Coffee Organization (ICO) composite indicator in October decreased by 8.9 per cent to 105.85 US cents per pound, nearly reversing gains made in the last two months.
The indicator went from a high of 107.94 US cents per pound on 9 October 2020 to a low of 103.3 US cents per pound on 21 October.
Prices for all group indicators declined, though the largest decrease was for Brazilian Naturals, which fell be 11.8 per cent to 100.37 US cents per pound.
The ICO says increased exports in September, signalling availability of supplies at the end of the crop year, and the larger crop from Brazil are weighing on prices.
Global shipments in September increased by 0.9 per cent to 10.16 million bags as increased Robusta exports offset a decline in Arabica exports.
Exports in coffee year 2019/20 fell 4.9 per cent to 126.9 million bags, and the value of these shipments decreased by 3.6 per cent to US$17.87 billion compared to coffee year 2018/19.
Global coffee production in 2019/20 is estimated at 168.84 million bags, 2.5 per cent lower than last year, while world coffee consumption is estimated to decrease by 0.9 per cent to 167.59 million bags, resulting in a surplus of 1.24 million bags.
