SAO PAULO, Brazil – The agents in the Brazilian coffee sector have been monitoring the weather, concerned about the blooming of the 2023/24 crops, says Cepea in its latest report. Thus, the prices for arabica coffee fluctuated widely in the domestic market in the first fortnight of September.
Between August 31st and September 15th, the CEPEA/ESALQ Index for arabica coffee type 6, delivered to São Paulo city, ranged between BRL 1,265.14 per 60-kilo bag (on Sept. 14th) and BRL 1,341.77/bag (on Sept. 1st), a gap of 76 Reais/bag. On Sept. 15th, the arabica Index closed at BRL 1,270.71 (USD 242.36)/bag, 5.47% lower than that on Aug. 31st.
In the Brazilian coffee spot market, the number of deals closed in the first half of the month was low because many agents were away – due to both price fluctuation and the holidays during the period.
Crops
The lack of rains in the Cerrado Mineiro, Southern Minas Gerais, Mogiana and Matas de Minas (Zona da Mata) concerned farmers in the first fortnight of September, since some crops have already bloomed and will depend on rainfall for a proper development.
On the other hand, in Garça (SP) and northwestern Paraná, sporadic rains brought some relief to farmers. As for the harvesting of the 2022/23 crop, it has ended in Northwestern PR and in Garça, and is about to end in the remaining producing regions.