Arabica coffee prices at the InterContinental Exchange (ICE) New York (NY) dipped by USc 1.49 (-0.6%) week-on-week (w-o-w) on 26th January 2021 to USc 238.51/Ib. However, the January 2022 average price of USc 235.85/Ib was roughly in line with the average of USc 235.58/Ib recorded in December 2021. Arabica prices continue to trend around decade-high levels, amid bullish speculation regarding expectations of tighter supply from Brazil during the upcoming 2022/23 season, which is due to commence in May 2022. However, prospects of beneficial rains in Brazil provides some downside price potential. Depending on the extent to which it can boost the harvest, although this depends on the frost damage during the developmental stages of the crop.
Since peaking at a decade high of USD 2,353/MT on 29th December 2021, the robusta coffee price at the ICE London, fell by USD 112.8/MT (-112%) over the ensuing four-weeks to a two-month low of USD 2,186/MT. Robusta prices retreated after a report by the Vietnamese Statistics office indicated that coffee exports in January rose by 175,000 tonnes (+9%), which may eventually translate into lower retail prices for instant robust blends.