LONDON (Reuters) – The global coffee market will run a deficit of 3.1 million bags in the 2021/22 season (October-September) as Brazil, the largest coffee producer, harvests a smaller off-season crop, the International Coffee Organization said. In its March monthly report.
However, the intergovernmental body warned that the market balance could change significantly due to a possible downturn in the global economy, an increase in production costs and a decrease in consumption and imports due to the conflict between Russia and Ukraine.
The ICO tied global coffee production in 2021/22 at 167.2 million 60 kg bags, down 2.1% year on year, and consumption at 170.3 million bags, a 3.3% year-over-year increase.
It said global exports of green beans in February totaled 9.88 million bags, down from 10.24 million bags a year earlier. Exports totaled 47.18 million bags in the first five months of the coffee year, down 3% year over year.
Brazil continues to have problems with the availability of shipping containers, although it has improved in recent weeks, the International Currency Bureau said.
(Reporting by Metal Angel; Editing by Emilia Sithole Mataris)
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