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PIRACICABA, São Paulo, Brazil – Harvesting activities of robusta coffee finished; however, prices increased significantly in August, reports CEPEA in its latest update. The CEPEA/ESALQ Index for the robusta coffee type 6, screen 13, Espírito Santo, upped 49.2% from July 31 to August 29, to close at BRL 1,534.41 per 60-kg bag on Aug. 29.
As for arábica, activities are practically finished, and prices are also moving up steeply, but at a lower intensity compared to what has been observed for robusta coffee. In August, the CEPEA/ESALQ Index for the arabica coffee type 6, delivered to São Paulo city, rose 28.21%, closing at BRL 2,323.06 per 60-kg bag on August 29.
Many factors explain price rises in Brazil, but the most important is that inventories are restricted. The end of arabica harvesting activities highlighted losses during the processing and the limited volume produced in Brazil.
Moreover, US tariffs on Brazilian exports have been leading players to act more carefully. Therefore, uncertainties have been slowing down trades in the spot market in Brazil. Due to recent price rises, many producers prefer to hold the product, expecting even higher quotations. Purchasers, in turn, buy only when needed, waiting for a clearer scenario.
It is worth noting that sharp price rises for coffee may influence the next crop. As the harvesting ended, coffee producers are already planning to purchase fertilizers that will be used between September and October, when rains are back. Despite price increases for fertilizers, the purchasing power of arabica producers has increased this month compared to that in the same period last season.
According to data from Cecafé, in July, the first month of 2025/26 exports, the total sold to the international market was at 2.73 million bags, downing 27.6% compared to that in July/24. Since US tariffs have been in effect, players surveyed by Cepea say that trades with Americans are moving at a slow pace, as agents prefer to wait for more definitions to close deals.
