Softs: Arabica coffee heads back towards four-year peak

Tata Coffee

30/04/2021 14:20

(Updates prices)
    LONDON, April 30 (Reuters) - Arabica coffee futures on ICE
rose on Friday, heading back towards a four-year high hit a day
earlier amid tightening supplies in top producer Brazil,
improved demand and a stronger Brazilian real  BRL= .
         
    COFFEE 
    * July arabica coffee  KCc2  was up 1.7% to $1.4535 per lb
at 1303 GMT, after reaching its highest since February 2017 at
$1.4765 on Thursday.
    * Arabica supplies are tightening as Brazil enters an
off-year in its biennial crop cycle. There are also signs demand
is recovering after results from coffee makers such as Starbucks
 SBUX.O , Keurig Dr Pepper  KDP.O  and Tata Coffee  TACO.NS .
    * Colombia, the world's second-largest arabica producer, 
has discovered nine new, more aggressive variants of the fungus
that causes coffee rust, a disease that can cause losses of
between 30% and 80% in susceptible plant varieties.  urn:newsml:reuters.com:*:nL1N2MM37B
    * Rust resistant plant varieties account for just over 84%
of Colombia's coffee crops, with susceptible varieties making up
the remaining 16%.
    * July robusta coffee  LRCc2  rose 1.8% to $1,477 a tonne.
        
    SUGAR
    * May raw sugar  SBc1 , which expires on Friday, fell 0.8%
to 16.95 cents per lb. The contract hit a two-month peak of
17.98 on Tuesday.
    * Traders said that while nervousness about the cane crop in
top producer Brazil persists, output in key regions of India and
Thailand is improving and the global market should be more or
less balanced this year.
    * Brazil's center-south cane crush in the new season will be
the lowest since 2012, according to commodities trader and
supply chain services firm Czarnikow, as below-average rains
hurt cane development.  urn:newsml:reuters.com:*:nL8N2MMB2S
    * Dealers do not expect a large delivery against the May
raws expiry, citing supply tightness in Brazil as one possible
reason.
    * August white sugar  LSUc1  ​​fell 1.4% to $447.10 a tonne.
    
    COCOA
    * July New York cocoa  CCc2  fell 3.3% to $2,418 a tonne.
    * Cocoa has underperformed this year relative to coffee and
sugar despite signs of improved demand, with the market expected
to show a wide surplus this season.  urn:newsml:reuters.com:*:nL4N2MK4FR
    * July London cocoa  LCCc2  ​​fell 1.9% to 1,623 pounds per
tonne​​​.

 (Editing by David Clarke and Mark Potter)
 ((maytaal.angel@thomsonreuters.com(00442075429105)(Reuters
Messaging: maytaal.angel.thomsonreuters.com@reuters.net)
))