It is estimated that Ethiopia’s supplies will pass 5 million bags in the FY which started this month. The pace of supplies for the 2020/21 crop has been very fine which has registered an increase of 35,000MT of the same 5 month period in 2020. At this rate, we expect supplies will pass 5million bags by February 2022. August is going excellent at our trading and shipping activities. On a very candid note, 12 months ago it was not a simple operation to include the voice and plans of our local partners and assimilate it into our strategies. But it was worth the fruit as it has positioned us for the stable trading and shipping performance of the Ethiopian 2020/21 crop year amidst the volatilities noted in the past few months.
Coffee prices continued to increase in July 2021, with the Arabica variety reaching its highest levels since November 2014, as concerns grew about the current and future availability of many origins, especially the world’s largest producer, Brazil, which suffered a severe frost on July 20. As a result, market volatility increased. The monthly average of the ICO composite indicator reached 152.24 US cents/lb in July 2021, its highest level since 162.17 US cents/lb recorded in November 2014. Compared with the monthly average in October 2020, the beginning of the current coffee year, the level reached in July 2021 represents an increase of 43.8%.
Logistics business Vollers Group has purchased Cropster Hub, a global online green marketplace designed for coffee producers, roasters, importers, and exporters. The hub was created by coffee roasting software developer Cropster in 2015.
Prices of robusta coffee, primarily used for instant coffee or added to arabica blends as a cheaper ingredient, are seen ending the year at $1,983 a tonne, 43.1% higher than the market close at the end of 2020.ICE arabica will reach $1.9850 per pound by the end of 2021, representing a surge of 55% from levels seen at the end of last year, based on the median forecast of survey participants.
Uganda's Coffee exports in July 2021 amounted to 700,035 60-kilo bags worth US$ 69. 93 million. This was an increase of 28.77% and 39.27 % in quantity and value respectively compared to the same month last year, indicates Uganda Coffee Development Authority (UCDA) on the monthly report.