Coffee prices skyrocketed: Should we expect a decrease in 2025?.
Coffee prices may decrease by 30% by 2025
According to a Reuters study, arabica coffee prices may significantly decline by 2025. Futures for this type of coffee are predicted to drop by 30%. The main reasons for this decline are the current high prices, which may lead to decreased demand, as well as increased coffee production in Brazil.
According to the studies, by the end of 2025, the price for a pound of arabica could be $2.95, which is 30% lower than this year's price. However, in the near term, coffee prices will rise due to the expected decrease in production in Brazil in the next season.
'Demand will stagnate due to very high prices,' noted one participant in the study.
Optimistic forecasts for increased coffee production in Brazil in the 2026/2027 season provide positive prospects for the market.
The arabica coffee market is experiencing record price increases in 2024, but it is expected that prices will begin to decline after 2025. The overall production volume in Brazil has decreased, but this reduction is partly offset by increased robusta coffee production.
It is predicted that in 2025, robusta coffee prices will decrease by 28% to $4200 per metric ton.
It is important to note that world prices for arabica coffee have already reached $3.6 per pound due to a shortage of beans in Brazil.
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