March arabica coffee (KCH25) Thursday closed up +7.10 (+2.22%), and March ICE robusta coffee (RMH25) closed up +181 (+3.71%).
Coffee prices on Thursday settled higher, led by a surge in robusta coffee to a 1-1/2 week high, due to concern that ongoing heavy rain in Vietnam will further disrupt the robusta coffee harvest. The harvest was already behind schedule after the Vietnam General Department of Customs on December 18 reported that Vietnam Nov coffee exports plunged -47 % y/y to 63,019 MT, and Jan-Nov coffee exports are down -14% y/y at 1.22 MMT. Heavy rain in Vietnam flooded coffee fields and has delayed the robusta coffee harvest. Vietnam, the world's biggest robusta producer, is at the start of its coffee harvest.
