Arabica coffee futures fell for the third consecutive trading day. The most actively traded contract fell 1.9% on Thursday, to its lowest level since late June; Robusta futures fell 1.3% in the London market. The market decline was mainly due to expectations of increased production in Brazil, the world's largest coffee producer, driving inventory reconstruction. Previously, the upward pressure on prices caused by rainfall disrupting Brazil's harvest has basically subsided. The International Coffee Organization predicts that in 2025-26, global coffee production will reach 183.6 million bags, an increase of 4.4% over the previous year. Brazil's stocks of certified coffee on the Intercontinental Exchange have risen to 23,920 bags, the highest level since mid-April. Carlos Mella, head of agricultural product research at Rabobank, pointed out that with the increase in production, Arabica coffee bean stocks have shown clear signs of reconstruction, putting pressure on prices. The premium for Arabica beans compared to Robusta beans has narrowed from $1.51 per pound at the beginning of the month to around $1.24, and the room for arbitrage has shrunk drastically. Judy Gaines, president of J. Ganes Consulting, said that the factors previously viewed as favorable have disappeared, and coffee prices have fallen back to the level before the panic rise.

Arabica coffee futures fell for the third consecutive trading day. The most actively traded contract fell 1.9% on Thursday, to its lowest level since late June; Robusta futures fell 1.3% in the London market. The market decline was mainly due to expectations of increased production in Brazil, the world's largest coffee producer, driving inventory reconstruction. Previously, the upward pressure on prices caused by rainfall disrupting Brazil's harvest has basically subsided. The International Coffee Organization predicts that in 2025-26, global coffee production will reach 183.6 million bags, an increase of 4.4% over the previous year. Brazil's stocks of certified coffee on the Intercontinental Exchange have risen to 23,920 bags, the highest level since mid-April. Carlos Mella, head of agricultural product research at Rabobank, pointed out that with the increase in production, Arabica coffee bean stocks have shown clear signs of reconstruction, putting pressure on prices. The premium for Arabica beans compared to Robusta beans has narrowed from $1.51 per pound at the beginning of the month to around $1.24, and the room for arbitrage has shrunk drastically. Judy Gaines, president of J. Ganes Consulting, said that the factors previously viewed as favorable have disappeared, and coffee prices have fallen back to the level before the panic rise.