Brazilian Coffee Industry Association Warns Price Surge Could Impact Retail Prices Amid Tariff Concerns – CoffeeTalk

Brazil’s coffee industry association has warned that retail prices for roasted and ground coffee could reverse course as raw bean costs for Brazilian roasters surge. The country’s coffee industry association has reported that raw coffee prices have rebounded over the past three weeks, recovering from July lows due to factors such as U.S. tariffs and frost in Brazil. ICE arabica futures have jumped around 35% in August, with contracts trading near $3.80 per pound. The spike in coffee prices in New York has rippled into Brazil’s domestic market, with raw coffee prices rising by almost 25% to 2,191 reais per 60-kilogram bag from July to August. Brazil is the world’s top producer and exporter of coffee and the commodity’s second-biggest consumer after the United States. Traditionally, roasted and ground coffee was selling for an average of 58.99 reais (around $10) per kilogram in Brazilian shops in August, down about 12% from May. However, a 50% tariff imposed by U.S. President Donald Trump on Brazilian goods, including coffee, has sparked concern in the United States about coffee supplies.

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