Frost Fears in Brazil Drive Coffee Prices to a Five-Week High

Coffee prices surged to a five-week high after Brazilian farmers reported frost in some arabica coffee-producing regions. According to local reports, an unusually cold front for this time of year moved from the south to central parts of the country, raising concerns about the frost’s impact on production.

The ICE exchange saw coffee prices rise by more than 6% on Monday as investors rushed to buy futures as a precaution against potential production issues caused by the frost. Farmers posted videos on social media showing frost effects in the Cerrado Mineiro region, the second most important coffee-producing area in Minas Gerais. No reports of frost have been received yet in South Minas Gerais, the primary coffee-producing area.

Reports from farmers and agricultural cooperatives indicated that municipalities such as Patrocínio and Tapira in the Cerrado Mineiro region were indeed affected by frost. The Expocacer coffee cooperative in Cerrado Mineiro stated, “Yes, we experienced frost in specific areas, but the extent of the impact is not yet clear. We have begun assessing the situation with associated farmers.”

Meteorologist Marco Antonio dos Santos from Rural Clima noted that the frost was light and did not reach the severity of the major frost event in 2021, which destroyed hundreds of hectares of plantations.

It is worth noting that frost can reduce agricultural yields in coffee crops if severe, as it causes leaves to fall, weakening the trees. Although the current harvest in Brazil is almost complete, any significant frost could negatively affect production potential for the next season in 2025.

According to meteorological data, the last major frost to hit coffee-growing areas in mid-August occurred in 1978. Brazil’s official meteorological center, CPTEC, predicts the possibility of additional frost in the early hours of August 13, particularly in the three southern states, as well as in São Paulo and Mato Grosso do Sul.