According to Bloomberg, leading coffee seller Volcafe reduced its output forecast for 2025–2026 by over 25% to 34.4 million bags of Arabica beans on Tuesday.
Since its September estimations, Volcafe has reduced its bag count by around 11 million, marking the seventh straight year of deficits.
According to the most recent USDA Foreign Agriculture Service report, Vietnam, the world’s second-largest producer and another powerhouse area, reported a steady increase in prices.
This year and boosted expenditures in an effort to make up for losses from the early summer drought that severely damaged its crop.
“The steady rise in prices in 2024 has caused many farmers to hold coffee stocks for longer, hoping for continued price increases,” said the FAS.
