Global coffee prices have experienced a notable decline following the United States’ decision to eliminate tariffs on agricultural imports from Brazil. The move, impacting commodities like coffee and cocoa, comes amid growing concerns within the US regarding rising food costs.
The removal of the 40% tariffs is expected to ease inflationary pressures on American consumers. Concerns had been mounting over the rising cost of groceries and other essential items.
Brazil is a major player in the global coffee market, supplying a significant portion of the United States’ annual coffee consumption. Any shift in trade policies between the two nations can have a direct impact on global prices.
The price of Arabica coffee futures on the Intercontinental Exchange saw a decrease. Robusta coffee futures, often used in instant coffee production, also experienced a drop.
This is a developing story and DZWatch will continue to provide updates as they become available.
