Global coffee prices reached their lowest point in almost five months on 17 June according to Intercontinental Exchange (ICE), and they are continuing the downward trend.
ICE Coffee C Futures fell 2.617 per cent to 334.950 centre per pound (US$3.35/lb) on 17 June, which was the lowest price listed by the pricing benchmark since 23 January.
Prices fell even further on 18 June, with a further 3.84 per cent drop taking the price to US$3.25/lb.
ICE’s projections price physical delivery of exchange-grade green beans from one of 20 countries of origin in a licensed warehouse to listed ports in the United States and Europe.
This continuing reduction of price has come in line with boosted harvest expectations out of Brazil, with stronger than anticipated rains easing drought and dryness concerns that have plagued the crop for much of the 2024/25 season.
More than 10 millimetres of rain fell over Brazil’s largest producer of Arabica, Minas Gerais, in the week ending 14 June according to Somar Meteoroligia, which is 31 per cent higher than the historical average for this time of year.
The U.S. Department of Agriculture has predicted rises in harvest figures for not only Brazil but also Vietnam — the world’s largest producers of Arabica and Robusta coffee respectively.
It believes Brazil’s harvest will increase 0.5 per cent year-on-year to 65 million bags in 2025/26, while Vietnam’s will soar 6.9 per cent to 31 million bags.
Vietnam’s projected significant rise comes after a lower than anticipated harvest yield in 2024/25. Farms across key coffee production regions Lam Dong, Dak Lak, and Gia Lai have been adversely impacted due to droughts.
CEO of Italian roaster illycafé SpA Cristina Socchia told Bloomberg she believes prices will continue to fall before levelling out between US$2-$2.50/lb over the next 15 months.
The further falling of coffee prices as per the ICE Coffee C Futures contract comes after they reached a record high of US$4.11/lb on 28 April. Prices also rose above US$4/lb on 10, 12, and 13 February.
The year-on-year increase of coffee prices for 17 June 2025 stands at 51.52 per cent when compared to 17 June 2024, when prices were US$2.22/lb.
*Update: Prices fell as far as US$3.19/lb on 20 June, which was the lowest price since 20 Jan 2025, but have since risen back to US$3.30/lb on 23 June.
