Brazilian Coffee Exports To The US Fell By 46% In August But Surged Elsewhere – CoffeeTalk

Brazilian coffee exports to the United States fell 46% in August, while sales to Latin American neighbors surged, according to coffee exporters group Cecafe. Despite a drop in total exports to Germany, the European country took the top spot as the biggest importer of Brazilian coffee, accounting for 414,109 60-kilogram bags. Meanwhile, to Mexico and Colombia rose by 90% and 578% respectively to 251,166 and 112,948 bags, respectively.

Brazil is the world’s largest producer and exporter of coffee, while the United States is the world’s largest consumer. President Donald Trump’s decision to impose a 50% levy since the start of August on most Brazilian goods, including coffee, has roiled international coffee markets. U.S. imports of Brazilian coffee fell to 301,099 bags, down from 562,723 in the same month last year. “The tariffs disrupted the market and opened the door to speculative movements,” Cecafe President Marcio Ferreira said in a statement.

Tariffs imposed by the United States on Brazilian goods have hit the country’s instant coffee industry hard, with Brazil’s instant coffee exports to the United States in August falling 59.9% to 24,460 60-kilogram bags, versus the 65,914 bags exported in the same month last year. This is detrimental not only to their industries but also to their trading partners in the United States.

The U.S. tariffs on Brazilian goods came into effect on Aug. 6, and both the International Coffee Organization and Brazil’s national crop agency Conab have both warned that the tariffs could push prices higher. With Brazil being the world’s second-largest coffee consumer, this could begin to impact inflation at home, Celirio Inacio, executive director at the Brazilian coffee industry association (ABIC), said.

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