Lower coffee production is forecast
20 May 2004
The USDA is forecasting lower world coffee production in 2003/04, with a reduction of some 13% as a result of declines in production in Brazil. Coffee supplies for 2003-04 are forecast to be down 6% over 2002/03 as stocks are drawn down to make up the shortfall.
Editorial comment
It remains to be seen what impact this will have on the coffee price, given the size of the stocks overhanging the market.