Coffee prices continue to rise as global exports surge, driven by high demand and market disruptions
The latest report from the International Coffee Organization (ICO) for September 2024 has revealed significant growth in coffee prices and exports, showcasing the resilience of the coffee industry despite ongoing logistical challenges and climate-related disruptions.
According to the ICO, the ICO Composite Indicator Price (I-CIP) reached 258.9 US cents per pound, marking an 8.4% increase from August 2024 and a staggering 69.1% increase compared to September 2023. This price surge is largely attributed to growing demand following the northern hemisphere’s summer break, along with the impact of climate anomalies affecting global supply chains.
The export landscape also witnessed robust growth, with global coffee exports reaching 126.2 million 60-kg bags between October 2023 and August 2024. Arabica coffee exports rose by 6.3% compared to the same period last year, while Robusta coffee exports surged by an impressive 13.8%. These export numbers reflect a robust recovery in the global coffee market.
Regional exports saw varied performance, with Asia & Oceania and Africa leading the charge. Africa’s coffee exports grew by 29.5%, driven primarily by Ethiopia, Uganda, and Côte d’Ivoire, while South America saw an 8.6% rise, largely due to increased shipments from Colombia and Peru.
While most regions showed positive growth, Mexico & Central America experienced a 28.7% decline in coffee exports due to challenges in Honduras, where production cycles impacted overall output.
Despite these challenges, the coffee industry continues to show resilience, with demand remaining strong and exports maintaining a positive trajectory. However, geopolitical tensions and climate events continue to pose risks to the global coffee supply chain, keeping the market volatile.