Market Reports Blog / Market Reports / Weekly Market Report 29th October to 2nd November 2012

Weekly Market Report 29th October to 2nd November 2012


Futures Markets:


Arabica: A huge amount of origin over supply way out-stripping demand forced the market into a downward spiral throughout the week. Hurricane Sandy did not seem to have much effect on the market, as there was no damage caused to any warehouse in which coffee was stored.

Robusta: Liffe hit a seven-week low on Monday and continued to fall throughout the week, this was a result of Vietnam origin selling ahead of another big harvest – Vietnam is currently the No.1 producing country by a very long way. The market isn’t giving anyone any confidence to buying forward and will bring worry to origin as they will not wish to have another weak week ahead of the new crop.

Currency: The £/$ started and finished the week at similar levels. Fewer Americans than forecasted filed first time claims for unemployment benefit indicating demand is strong enough for employers to take on more staff.


Futures and Currency close levels:







NY Dec-12 c/lb






Lon Nov-12 $/t


















Physical Markets:


Brazil: Internal market remains quiet with small interest from overseas. Weather changes are forecasted for the South Eastern coffee regions. Total exports for October amounted to 2.4m bags. 

Colombia: The main crop does not seem to have such a positive forecast as it did a few months ago; this has resulted in domestic market tightening.

Kenya: Auction No.4 was held on Tuesday where only 13,000 bags were on offer, prices remain firm, even though the coffee on offer is fly crop. Next auction will be on the 13th November, this should hopefully have more of an optimistic feel to it, as there have been showers in most areas which should help the crop and bring the mills back to life.

Tanzania: Southern coffees still dominating the latest auction, northern estate coffees fetched high premiums. Rains are expected which should improve the flowering of the crop.

Indonesia: Coffee output could rise to nearly 13% in the year to September 2013, as a result of improving weather and rising demand from local roasters.

Guatemala: Exports rose by 31.7% in October, compared to the same month a year earlier.

Peru: Exports have dropped 37% over the last year to $1 billion worth, as the price has fallen and orders have decreased according to the minister of agriculture.

Honduras: The flow of coffee has increased as the weather has improved. New business is apparently short as exporters are trying to cover more of their short selling. News of the damage of the coffee leaf rust outbreak are now surfacing, producers in the north and north have stated that the damage may be higher than expects, especially plantation using the variety of Caturra.

Cuba:  Hurricane Sandy decimated the Cuban coffee crop and delivered major setbacks to the renovations of old plantations. The storm destroyed approximately 70%+ of the current crop.


Kenya’s main port in Mombasa called off a strike after its management issued letters of employment to casual workers who were demanding permanent jobs.