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IPC Index — Mexico MarketArabica coffee futures rose to around $3.1 per pound, the highest level since early February, due to signs of tightening short-term supply in top grower Brazil and ongoing external risks. A report by Cooxupé, Brazil’s largest coffee cooperative, estimated that exports would fall 10% in 2026 to around 4.4 million bags, down from 4.9 million in 2025. This short-term reduction in supply is a direct consequence of the smaller 2025 harvest, putting pressure on export volumes in the first half of 2026, although the outlook for the new harvest remains optimistic. At the same time, dealers noted that farmers continue to hold back sales in anticipation of higher prices, limiting availability. Geopolitical tensions and uncertainty over global trade flows, including risks to logistics routes and rising transportation costs, are providing additional support and helping sustain elevated prices.
