MILAN – Arabica coffee futures rebounded strongly yesterday after hitting two-month lows during trading. On the first day of April, the contract for May delivery in New York first slipped to an intraday low of 372.25 cents, then recovered more than 19 cents in a rally that pushed it to a daily high of 391.45 cents, to settle at 389.05 cents: 930 points higher (+2.5%) than the previous day.
Prices rose sharply also in London, where May Ice Robusta coffee futures closed up $103 at $5,372.
Between now and mid-month, analysts expect further volatility in the New York market, not least due to the approach of the technical expiries of the nearest contract.
With uncertainty reigning in global markets on the eve of the White House’s announcement of new tariffs – the so-called ‘Liberation Day’, as Donald Trump has dubbed it, will begin today, Wednesday 2 April – coffee exchanges were hit by the weak dollar, with the Brazilian real at its highest level in more than a week and a half against the greenback.
In addition, markets continue to be affected by volatile news from the Brazilian producing regions, where the weather forecast is for limited rainfall in the first ten days of the month.
Meanwhile, data from the Vietnam Customs Department indicates that from January 1 to March 15, 2025, Vietnam exported over 400,000 tons of coffee, generating US$2.28 billion in revenue.
Although this represents an 18% decline in volume from the same period in 2024, the value of exports surged by 41% due to a sharp increase in global coffee prices.
In the first quarter of calendar year 2025, the average export price rose by 73% year-on-year to $ 5,614 per tonne. According to the Vietnam Coffee and Cocoa Association (Vicofa), if prices remain at current levels, export earnings could reach an unprecedented $8 billion by the end of the year.
Germany remains Vietnam’s top export destination, followed by Italy, Japan, the US and Spain.
