SAO PAULO, Brazil – The harvest of the 2023/24 Brazilian crop of coffee may end until the second week of September, according to agents consulted by Cepea quoted in the latest report. Although activities are almost over, the rains over the past days in some coffee-producing regions in Brazil concerned growers, since they reduced the pace of the activities.
Besides, as most crops are currently in the floor-sweeping stage, precipitation may lower the quality of these beans.
On the one hand, rains are not that favorable at the end of the harvest, but on the other hand, they are crucial for the good development of flowers, which is a determining factor for the 2024/25 season.
As for liquidity in the national spot market, sales were low in August, limited by purchasers’ lower bids.
Some growers from São Paulo and Minas Gerais have even been disheartened by the market, signaling they may grow other products – such as grains, mainly soybean – in part of the area previously allocated to coffee.
It is important to consider that the previous crops (mainly the last one, 2022/23) were damaged by the weather (such as frosts), which limited both production and growers’ profit margins.
On the other hand, in the current season (2023/24), production has been high, but costs are as high, while prices are fading, strongly constraining investments in crops.
