Author: Qahwa World

Peruvian Coffee Output Stable at 4.78 Million Bags in 2026

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Author: Qahwa World – Lima
Source: USDA Foreign Agricultural Service – Report PE2026-0008
Date: May 20, 2026

Peruvian Coffee Output Stable at 4.78 Million Bags in 2026

Executive Summary

  • Peruvian coffee production for 2026/2027 is estimated at 4.78 million 60 kg bags, broadly unchanged from the previous year.
  • Harvested area is estimated at 340,000 hectares, up about 1% from last season.
  • Exports are estimated at 4.55 million bags, also unchanged, supported by stable supply and strong demand for high-quality Arabica.
  • The United States is the largest market for Peruvian coffee with a 32% share, followed by Germany (16%) and Belgium (11%).
  • Over 90% of coffee is grown by smallholders on plots smaller than 5 hectares.
  • Peru is the world’s largest exporter of organic coffee, with approximately 90,000 certified hectares.
  • Domestic consumption is estimated at 305,000 bags, with 75% being soluble coffee.

The USDA Foreign Agricultural Service office in Lima estimates Peruvian coffee production for marketing year 2026/2027 at 4.78 million 60 kg bags, broadly unchanged from 2025/2026 (4.76 million bags). Total exports are estimated at 4.55 million bags, also broadly unchanged, supported by stable supply and continued demand for high-quality Arabica and certified coffees. Domestic consumption is estimated at 305,000 bags.

Harvested area is estimated at 340,000 hectares in 2026/2027, up about one percent from 2025/2026. The number of bearing trees is estimated at 630 million, while total tree population is estimated at 668 million trees. Arabica is the dominant coffee type, primarily of the Typica and Caturra varieties. Most farms are small (under 5 hectares) and rely on traditional methods like shade-growing, hand-picking, and sun-drying.

Credit Access and Infrastructure Challenges

Limited access to credit remains a major challenge for small producers. Private banks often reject untitled land as collateral, forcing farmers to rely on informal lenders or buyers. This results in burdensome fixed-price contracts and high interest rates.

Many farmers join cooperatives to obtain better prices, technical support, and marketing resources. However, infrastructure challenges, particularly poor roads and inadequate storage facilities, continue to limit Peru’s competitiveness in global coffee markets.

Table 1: Peru Coffee Production, Supply and Distribution (1,000 60 kg bags)

Item 2024/2025 2025/2026 2026/2027
Planted Area (1,000 HA) 370 370 375
Harvested Area (1,000 HA) 332 335 340
Arabica Production (1,000 bags) 3,700 4,200 4,780
Robusta Production (1,000 bags) 0 0 0
Total Production (1,000 bags) 3,700 4,764 4,780
Total Exports (1,000 bags) 3,440 4,238 4,550
Domestic Consumption (1,000 bags) 220 300 305
Ending Stocks (1,000 bags) 28 26 21

Production, Yields and Risks

Based on estimated production and harvested area, average yields in 2026/2027 are implied at approximately 843 kilograms per hectare. Yields vary significantly, with well-managed plantations achieving up to 45 bags (2,700 kg) per hectare.

Labor has the highest production cost, accounting for about 58% of total expenses, followed by fertilizers (24%) and agrochemicals (12%).

Peru’s coffee sector faces several risks that could affect production and export performance in 2026/2027:

  • Climate variability: Irregular rainfall, higher temperatures, and extreme weather events affect flowering, yields, and quality.
  • EUDR compliance: Meeting the EU Deforestation Regulation requirements remains a major challenge, especially for smallholders lacking land titles and georeferenced data.
  • Labor constraints: Rising labor costs and shortages during peak harvest periods increase production costs.

Exports and Key Markets

Peruvian coffee exports in 2026/2027 are estimated at 4.55 million bags, nearly unchanged from 2025/2026. Bean exports account for most shipments at 4.25 million bags, while roasted and ground exports are estimated at 300,000 bags and soluble exports at 4,000 bags.

The United States remained the top destination in 2024/2025, receiving 32% of exports, followed by Germany (16%) and Belgium (11%).

Export prices rose sharply in 2025/2026, averaging $7,577 per ton, 55% above the previous year. Prices are expected to remain above historical averages due to continued supply uncertainty, higher production costs, and sustained demand for high-quality Arabica.

Peru is the world’s leading exporter of organic coffee, with approximately 90,000 hectares certified organic. Many additional hectares are effectively organic due to limited use of chemical inputs. To meet foreign demand for specialty coffee, many producers pursue certification programs including Fair Trade, Organic, Rainforest Alliance, and Starbucks C.A.F.E. Practices.

Domestic Consumption and Policies

Domestic coffee consumption in 2026/2027 is estimated at 305,000 bags, up about two percent from 2025/2026. Soluble coffee accounts for 75% of total domestic consumption. However, consumption patterns are evolving, with a growing preference for roasted and ground coffee, especially among young urban consumers. Despite these trends, domestic consumption still represents only about six percent of total production.

Through the Food for Progress Program, FAS financed the regional MOCCA project to strengthen coffee value chains. In Peru, MOCCA has trained over 27,000 producers, supported the establishment of 515 nurseries, and facilitated nearly $17 million in credit.

Peruvian coffee producers have expressed concerns over the EU Deforestation Regulation (EUDR), which requires that products not originate from land deforested after December 31, 2020. The National Coffee Board warns that small producers may struggle to comply due to lack of land use certifications and titles. Although Congress amended the forestry law in January 2024 to simplify certification, producers assert that more support is needed.

Peru’s coffee sector provides 855,000 jobs, primarily in remote and economically vulnerable regions. The government promotes coffee cultivation as a legal alternative to coca leaf production through the National Commission for Development and Life Without Drugs (DEVIDA).

Frequently Asked Questions

How much coffee will Peru produce in 2026/2027?

Production is estimated at 4.78 million 60 kg bags, broadly unchanged from the previous year.

What are the main export destinations for Peruvian coffee?

The United States is the largest market with 32% share, followed by Germany (16%) and Belgium (11%).

What is Peru’s position in the organic coffee market?

Peru is the world’s largest exporter of organic coffee, with approximately 90,000 certified hectares.

What percentage of Peruvian coffee is grown by smallholders?

Over 90% of coffee is grown by smallholders on plots smaller than 5 hectares.

How much coffee does Peru consume domestically?

Domestic consumption is estimated at 305,000 bags, with 75% being soluble coffee.

Author: Qahwa World – Lima | Source: USDA Foreign Agricultural Service – Report PE2026-0008 | Date: May 20, 2026

Nicaraguan Coffee Output Falls 8% in 2026

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Author: Qahwa World – Managua

Source: USDA Foreign Agricultural Service – Report NU2026-0003
Date: May 20, 2026

Nicaraguan Coffee Output Falls 8% in 2026

Executive Summary

  • Nicaraguan coffee production for 2026/2027 is forecast at 2.4 million 60 kg bags, down 8% from the recent high of 2.6 million bags.
  • High probability of El Niño in the second half of 2026, typically associated with droughts in Central America, threatens grain filling and yields.
  • Fertilizer costs have risen 25% due to global shipping disruptions in the Strait of Hormuz.
  • Exports forecast at 2.25 million bags. United States is the largest market with 35% share, followed by the European Union with 32%.
  • About 45,000 farmers cultivate 143,000 hectares, including 7,000 hectares of Robusta.
  • More than 600,000 Nicaraguans (10% of the population) have left the country since 2018, exacerbating labor shortages.
  • Brazil’s projected 23% increase in Arabica output could create a global surplus and drive prices down 35%, hurting Nicaraguan farmer profitability.

The USDA Foreign Agricultural Service office in Managua forecasts Nicaraguan coffee production (including Robusta) for marketing year 2026/2027 at 2.4 million 60 kg bags, 8% below the recent high of 2.6 million bags.

Although farmers reported good flowering in March and April 2026, the high probability of El Niño in the second half of 2026, typically associated with droughts in Central America, could significantly impact grain filling, quality, and yield.

Fertilizer costs have risen 25% due to global shipping disruptions in the Strait of Hormuz, presenting another factor that could reduce the crop.

FAS Managua estimates total production for 2025/2026 at 2.56 million bags, down 4% from the previous year. An extended canícula (mid‑summer drought in July and August) impacted grain filling in some low‑altitude regions. Despite lower production, farmers characterized the 2025/2026 harvest as highly successful due to record‑breaking prices; exporters paid up to $290 per bag for exportable coffee.

The industry largely avoided significant labor shortages as a more balanced harvest cycle eliminated typical peaks in worker demand, though some regions still reported shortages affecting harvest completion. One large farmer estimated losing 30% of his harvest due to lack of coffee pickers.

El Niño and Higher Fertilizer Costs Threaten Next Season

NOAA has forecast a 62% probability of El Niño (potentially a “Super El Niño”) developing by mid‑2026. This weather event is associated with droughts in Nicaragua and the region, which could significantly reduce yields and increase pest vulnerability. Meanwhile, fertilizer prices have risen 25% in the first half of 2026 due to global shipping disruptions in the Strait of Hormuz, adding further pressure on growers.

Beyond weather risk and rising input costs, coffee exporters are concerned that Brazil’s projected 23% increase in Arabica production in 2026/2027 may create the largest global surplus in five years and drive prices down by as much as 35%, undermining farmer profitability. Despite these challenges, the coffee industry remains optimistic, and FAS Managua believes Nicaragua will continue supplying high‑quality coffee in the years ahead.

Planted Area and Labor Shortages

FAS Managua projects planted area for 2026/2027 to remain unchanged at 143,000 hectares, with harvested area slightly lower at 141,000 hectares due to labor shortages resulting from increased outbound migration over the last five years. There are approximately 45,000 coffee growers cultivating about 143,000 hectares, of which 7,000 hectares are planted with Robusta varieties. More than 85% of Arabica coffee farms are in North Central Nicaragua (departments of Jinotega, Matagalpa, and Nueva Segovia), while Robusta production is concentrated in the Southern Caribbean Coast Autonomous Region.

According to industry contacts, more than 600,000 Nicaraguans (10% of the population) have fled the country since 2018, worsening labor shortages in the agricultural sector. One large farmer estimated losing 30% of his harvest due to lack of coffee pickers.

Table 1: Nicaragua Coffee Production, Supply and Distribution (1,000 60 kg bags)

Exports and Key DestinationsFAS Managua estimates Nicaraguan coffee exports will reach 2.25 million bags in 2026/2027, reflecting the anticipated production decline. The United States was the largest market for Nicaraguan coffee in 2024/2025, accounting for 35% of all exports. Most of these shipments are high‑quality Arabica beans demanded by specialty coffee roasters and cafes. The European Union is the second‑largest market, with approximately 32% share, where buyers particularly seek organic and fair‑trade coffees. Exporters are exploring opportunities to expand sales into China, as the United States and Europe are considered mature markets with limited growth prospects.Table 2: Nicaraguan Coffee Exports by Destination (60 kg bags)Policies and Structural ChallengesLaw 853 (Law for the Transformation and Development of the Coffee Sector), enacted in 2013, is one of the government’s main policies to support coffee growers. It levies a fee on each exported 60 kg bag, averaging $4 per bag in 2025/2026. Industry sources estimate the law has collected more than $40 million since 2013. However, growers have mixed opinions about its impact; some have benefited from the renovation fund, while others view the export fee as a financial burden.In contrast, in 2019 the government imposed taxes on fertilizers and agrochemicals for the first time, with import duties reaching up to 30% for certain products. This development diminishes profitability gains from earlier tax exonerations and reduces growers’ access to essential inputs like fertilizer. Coffee employs more than 330,000 people along the value chain, making it one of Nicaragua’s most important economic activities.Frequently Asked Questions

How much coffee will Nicaragua produce in 2026/2027?

Production is forecast at 2.4 million 60 kg bags, down 8% from the recent high of 2.6 million bags.

What is causing the expected decline?

A high probability of El Niño causing drought, plus a 25% increase in fertilizer costs due to shipping disruptions in the Strait of Hormuz.

What are the main export destinations for Nicaraguan coffee?

The United States (35%) and the European Union (32%) are the largest markets, followed by Belgium, Germany, and Canada.

How many farmers and how much land are involved?

Approximately 45,000 farmers cultivate 143,000 hectares, including 7,000 hectares of Robusta.

How does Brazil’s production increase affect Nicaragua?

Brazil’s projected 23% rise in Arabica output could create a global surplus and push prices down by up to 35%, hurting Nicaraguan farmer profitability.

Author: Qahwa World – Managua | Source: USDA Foreign Agricultural Service – Report NU2026-0003 | Date: May 20, 2026

Item 2024/2025 Official 2025/2026 Estimate 2026/2027 Forecast
Planted Area (1,000 HA) 143 143 143
Harvested Area (1,000 HA) 141 141 141
Total Production (1,000 bags) 2,560 2,560 2,440
Total Exports (1,000 bags) 2,410 2,420 2,250
Domestic Consumption (1,000 bags) 160 160 160
Ending Stocks (1,000 bags) 130 130 85
Country 2022/2023 2023/2024 2024/2025
United States 1,113,500 850,266 895,066
Belgium 280,180 427,268 470,917
Germany 101,075 116,693 221,633
Canada 73,393 78,167 81,383
Italy 98,275 72,767 89,933
Mexico 10,218 4,467 82,183

Ethiopian Coffee Output Rises 4.7% in 2026

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Author: Qahwa World – Addis Ababa

Source: USDA Foreign Agricultural Service – Report ET2026-0005
Date: May 20, 2026

Executive Summary

  • Ethiopian coffee production for marketing year 2026/2027 is forecast at 12.10 million 60 kg bags, up 4.7%.
  • Harvested area is forecast at 800,000 hectares, a 1.3% increase from the previous year.
  • Exports are forecast at 7.13 million bags, up 2.4%, supported by growing demand for Ethiopian Arabica.
  • China emerged as the third largest market in 2024/2025, with exports surging 264% to 670,000 bags.
  • Red cherry prices hit record highs of 220‑250 Birr per kg in Yirgacheffe, nearly four times the previous season.
  • About 5.9 million farmers are engaged in coffee production; smallholders account for 90% of national output.
  • The government allocated 100,000 hectares for private mechanized coffee farms to transform the sector.

The USDA Foreign Agricultural Service office in Addis Ababa forecasts Ethiopian coffee production for marketing year 2026/2027 at 12.10 million 60 kg bags, a 4.7% increase from the previous season. T

he growth is driven by improved yields under normal weather conditions. Harvested area is forecast at 800,000 hectares, up 1.3% from the estimated area for 2025/2026.

Exports are forecast at 7.13 million bags, supported by growing demand for Ethiopian Arabica beans. Marketing year 2025/2026 constitutes an exceptional period for Ethiopia’s coffee export sector, as record high fresh cherry prices and rising operating costs continue to place significant financial pressure on traders and exporters. China is rapidly emerging as one of the top coffee buyers, driven by its tariff free market access.

Production Gains Supported by Improved Yields and Area Expansion

The forecast assumes favorable weather conditions, particularly regular rainfall. In April 2026, farmers reported healthier flowering and more uniform cherry development across key producing regions. The southern regions are expected to experience a positive year after reporting a reduced harvest during the 2025/2026 season. The Ethiopian Coffee and Tea Authority reports that 5.9 million farmers are engaged in coffee production across the country. Smallholder farmers dominate Ethiopia’s coffee sector, accounting for 90% of total national production. These farmers typically cultivate coffee on small plots averaging less than half a hectare, often integrating coffee trees into mixed farming systems alongside food crops.

At the farm level, growing adoption of improved agronomic practices such as pruning and stumping of aging trees, along with increased use of recommended extension packages including composting and soil management techniques, is supporting productivity gains. Farmers are also becoming more aware of the benefits of stumping old coffee trees and intercropping. The gradual uptake of improved seedlings that are both higher yielding and more disease resistant is beginning to contribute to enhanced productivity.

Table 1: Ethiopia Coffee Production Estimate and Forecast

Marketing Year 2024/2025 (Estimate) 2025/2026 (Estimate) 2026/2027 (Forecast)
Area Harvested (hectares) 760,000 790,000 800,000
Production (million bags) 11.46 11.56 12.10
Yield (MT/ha) 0.90 0.90 0.91

National Stumping Campaign Boosts Yields

According to industry sources, nearly 70% of Ethiopia’s coffee trees are old, with some estimated to be more than 100 years old. Following the launch of a national stumping campaign four years ago, the Ethiopian Coffee and Tea Authority reports that stumped trees have already begun producing yields. Stumped trees cover 15% of the total coffee harvested area in 2025/2026. The Oromia region recorded the highest stumping rate at 19% of total harvested area, followed by South Ethiopia region at 14% and Sidama at 13%. Studies in Sidama and South Ethiopia regions have demonstrated that stumped coffee trees can increase yields by up to threefold within four years after stumping.

The Ethiopian Agricultural Research Institute reports that over 50 improved varieties offering higher yields and stronger disease resistance have been distributed to coffee growers across the country. These improved hybrid varieties yield around 2.8 tons per hectare under better management conditions, compared with current national average yields of less than 1.0 ton per hectare.

Ethiopia Pushes for Mechanized and Commercial Farms

The Government of Ethiopia is interested in large scale modern coffee production and has allocated 100,000 hectares of land for private sector coffee development. This marks the first time the government has allocated large tracts of land exclusively for modern coffee production. This represents a 70% increase compared to the country’s current 143,000 hectares of commercial coffee farms. Local officials describe the initiative as a strategic national project designed to transform Ethiopia’s coffee sector from its current reliance on traditional smallholder farming into a hybrid model that combines established practices with large scale technology driven production. Reports from May 2026 show that 110 private investors received new farmland for coffee cultivation. Planting has not yet begun, and authorities are urging investors to start developing the farmlands quickly.

Record Cherry Prices and Tightening Washed Coffee Supply

Farmers anticipated that the previous year’s record high coffee prices would maintain momentum, driving local cherry prices to unprecedented levels. At the start of 2025/2026, cherry prices tripled in some areas and quadrupled in others compared to the previous season. Several farmer cooperatives in Yirgacheffe district reported that red cherry prices peaked at 220‑250 Birr ($1.42‑$1.62) per kilogram in December 2025, nearly four times higher than the previous season. This sharp price hike, combined with rising production costs including labor expenses, created significant challenges for wet mills.

As a result, a notable shift in coffee processing practices occurred. Several farmers opted to process coffee at home rather than sell red cherries to washing stations, capturing higher returns by drying and selling natural coffee themselves. Simultaneously, wet mills became less inclined to purchase fresh cherries due to price increases and elevated working capital requirements. Farmers retaining cherries and wet mills reducing purchases significantly decreased the volume of red cherries reaching washing stations, leading to tighter availability of washed coffee during 2025/2026, alongside a growing share of natural processed coffee beans.

China Emerges as Third Largest Market

In 2024/2025, Ethiopia exported around 670,000 bags to China, generating more than $274 million in revenue. This positioned China as the third largest destination for Ethiopian coffee, a sharp rise from a decade ago when China ranked 17th with exports of approximately 22,000 bags. The pace of this growth highlights how quickly China has moved from a marginal buyer to a major player. Chinese imports have been driven by targeted trade promotion, improved market access, and strengthening commercial linkages. Since December 1, 2024, Ethiopian exports to China have enjoyed tariff free access, and China expanded its zero tariff policy to cover all tariff lines for products from 53 African countries effective May 1, 2026.

According to a USDA report, China’s domestic coffee market was estimated at approximately $42 billion in 2024, as coffee consumption rises rapidly among younger urban consumers. China’s coffee consumption reached 6.3 million bags by the end of 2024, but per capita consumption remains low at 22 cups annually, indicating substantial room for future expansion. Large chains such as Luckin Coffee (over 26,000 stores) and Cotti Coffee (around 15,000 outlets) continue to scale aggressively, shaping consumer habits and fueling demand for high quality beans.

Table 2: Top 10 Export Destinations for Ethiopian Coffee (MY 2024/2025)

Rank Country Volume (1,000 bags) Share
1 Saudi Arabia 1,182 15.9%
2 Germany 1,126 15.2%
3 China 670 9.0%
4 Belgium 651 8.8%
5 United States 614 8.3%
6 UAE 444 6.0%
7 South Korea 381 5.1%
8 Italy 259 3.5%
9 Russia 171 2.3%
10 Sudan 117 1.6%

Domestic Consumption Expands Despite High Prices

Domestic coffee consumption for 2026/2027 is forecast at 5.0 million bags. Post revised the 2025/2026 domestic consumption estimate upward from 3.70 million bags to 4.50 million bags, reflecting current market dynamics where falling global coffee prices are anticipated to redirect more supply domestically. Burgeoning demand in both rural and urban centers, as well as the increasingly emerging coffee culture among youth, is driving domestic consumption. Ethiopia ranks among the largest coffee consuming countries globally within the group of major producers. Per capita consumption is estimated at around 2.0 kilograms per year.

EUDR Compliance and Organic Certification Challenges

Ethiopia is making progress toward compliance with the EU Deforestation Regulation, which takes effect on December 30, 2026 for large businesses and June 30, 2027 for smaller enterprises. The Ethiopian Coffee and Tea Authority is working with international development partners and private sector stakeholders to operationalize a national traceability platform. Hundreds of thousands of smallholder plots have already been mapped and registered. However, challenges remain due to Ethiopia’s fragmented smallholder production system, limited digital infrastructure, and remoteness of many producing areas.

The EU’s updated organic regulation (Regulation 2018/848) became fully binding for non EU exporters on January 1, 2025, ending the previous equivalence system. The minimum annual on site inspection sampling rate has risen from approximately 2% to 5% of farmers, while at least 2% must now undergo residue sampling. The regulation also caps group certifications at roughly 2,000 smallholders and mandates annual audits for all certified operators. These stricter requirements are causing longer field inspection times, rising compliance costs, and increasing administrative burdens, making EU organic certification increasingly difficult for Ethiopian smallholder coffee farmers to maintain.

Frequently Asked Questions

How much coffee will Ethiopia produce in 2026/2027?

Production is forecast at 12.10 million 60 kg bags, a 4.7% increase from the previous year.

How many farmers are engaged in coffee production in Ethiopia?

About 5.9 million farmers, with smallholders accounting for 90% of national output.

What are the main export destinations for Ethiopian coffee?

Saudi Arabia and Germany are the largest with 15.9% and 15.2% shares, followed by China, Belgium, and the United States.

How much coffee did Ethiopia export to China in 2024/2025?

Around 670,000 bags worth $274 million, a 264% increase from the previous year, making China the third largest market.

Why are red cherry prices so high in 2025/2026?

Farmers anticipated continued momentum from record prices the previous year, driving local cherry prices to unprecedented levels, reaching 220‑250 Birr per kg in Yirgacheffe.

How is Ethiopia preparing for the EU Deforestation Regulation?

The Ethiopian Coffee and Tea Authority is developing a national traceability platform with international partners; hundreds of thousands of smallholder plots have already been mapped and registered.

Author: Qahwa World – Addis Ababa | Source: USDA Foreign Agricultural Service – Report ET2026-0005 | Date: May 20, 2026

El Niño: What It Is and How It Affects Coffee

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Author: Qahwa World – Climate Desk

Source: NOAA, WMO, ICO, StoneX, industry sources
Date: May 22, 2026

Executive Summary

  • There is a 96% probability that El Niño will persist through the Northern Hemisphere winter of 2026‑2027.
  • Sea surface temperatures in the Niño 3.4 region have already exceeded the +0.5°C El Niño threshold.
  • Vietnam and Indonesia face drought and higher temperatures, threatening Robusta yields.
  • Brazil may see irregular rainfall during critical flowering (August‑October 2026), reducing Arabica quality.
  • Colombia and Central America face mixed risks: excess rain (leaf rust) or drought.
  • Analysts expect higher coffee price volatility in 2027, with Robusta supply risks pushing futures higher.
  • Smallholder farmers in vulnerable regions could face income losses, food insecurity, and migration pressure.

As of mid‑May 2026, the tropical Pacific is showing unmistakable signs of a rapid transition toward El Niño conditions.

According to the NOAA Climate Prediction Center’s ENSO Diagnostic Discussion released on May 14, there is an 82% probability that El Niño will emerge between May and July 2026, rising to a 96% chance that it will persist through the Northern Hemisphere winter of 2026‑2027.

Scientists are closely monitoring whether this event could evolve into a Super El Niño, potentially rivaling the record‑strength episodes of 1982‑83, 1997‑98, or 2015‑16. With sea surface temperatures in key Niño regions already warming sharply, the stage is set for significant disruptions to global weather patterns — from devastating floods in South America to severe droughts across Southeast Asia and parts of East Africa.

What Is El Niño?

El Niño (Spanish for “The Little Boy” or “Christ Child”) is the warm phase of the El Niño‑Southern Oscillation (ENSO), Earth’s most influential climate variability pattern. Under normal conditions, strong easterly trade winds push warm surface water westward across the equatorial Pacific toward Indonesia, allowing cold, nutrient‑rich water to upwell off the coasts of Peru and Ecuador. During El Niño, these trade winds weaken or reverse. Warm water spreads eastward, suppressing upwelling and altering atmospheric circulation patterns worldwide.

The counterpart, La Niña, brings cooler waters and opposite weather effects. ENSO events typically occur every 2‑7 years and last 9‑18 months.

Current Status – May 2026

The equatorial Pacific is currently in a transitional state following a weak La Niña. Sea surface temperatures in the Niño 3.4 region have risen rapidly, with recent weekly values exceeding the +0.5°C El Niño threshold.

Multiple international models, including those from NOAA, the ECMWF, and the WMO, show high confidence in El Niño development by mid‑to‑late 2026. While peak strength remains uncertain, some projections suggest anomalies could exceed +2.0°C, raising the possibility of a strong‑to‑very‑strong event.

Global Weather Impacts

El Niño redistributes heat and moisture across the planet:

  • South America (Peru, Ecuador, northern Brazil): Increased rainfall and flooding risks, potential damage to infrastructure and agriculture.
  • Southeast Asia, Indonesia, Australia: Significantly reduced rainfall, drought, higher wildfire risk, water shortages.
  • East Africa: Wetter‑than‑average conditions, increased flood and disease risks.
  • Southern United States: Wetter winters; Northern US and Canada often milder.
  • Global: Elevated average temperatures (El Niño typically adds ~0.1–0.3°C to global surface temperatures).

Impact on Global Coffee Production

Coffee is one of the most climate‑sensitive major commodities. With roughly 12.5 million farming families dependent on it worldwide, any major ENSO event sends ripples through prices, quality, and livelihoods. The 2026‑2027 El Niño is expected to affect both Arabica and Robusta differently across key origins.

1. Brazil – The World’s Largest Producer

Brazil faces a complex outlook. While the current 2026/27 harvest is projected to be strong, El Niño could disrupt the critical flowering period (August‑October 2026) through irregular rainfall or excessive heat. Historical patterns show El Niño often brings drier conditions to key Arabica regions in Minas Gerais and São Paulo, potentially reducing bean size, increasing defects, and lowering quality.

2. Vietnam and Indonesia – Robusta Heartlands

These two giants are highly vulnerable to El Niño‑induced drought and elevated temperatures. Reduced rainfall and prolonged dry seasons can stress Robusta trees, leading to smaller beans, lower yields, and higher production costs due to increased irrigation needs. The 2015‑16 El Niño caused notable declines in Robusta output in these regions.

3. Colombia, Central America, and East Africa

Colombia and Central America face mixed signals: potential for excessive rainfall in some areas (increasing fungal diseases like coffee leaf rust) or drought in others. Ethiopia and Kenya may see wetter conditions that boost yields in some highlands but heighten disease pressure and complicate harvesting.

Overall Market Outlook

Analysts anticipate higher price volatility in 2027 as the event peaks. While Brazil’s large crop may buffer total volume in the short term, quality concerns and Robusta supply risks could push Arabica and Robusta futures higher. The ICO and major traders are already factoring these risks into their forecasts.

Broader Economic and Humanitarian Implications

  • Price Spikes: Coffee futures have already shown sensitivity to El Niño headlines, with short covering observed.
  • Smallholder Farmers: Millions in vulnerable regions face income losses, food insecurity, and potential migration pressures.
  • Supply Chain: Roasters, traders, and consuming countries should prepare for tighter specialty‑grade supplies and elevated costs.
  • Compounding Factors: Persistent low stocks, high input costs (fertilizers, labor), and climate change amplify risks.

Recommendations and Preparedness

For Governments and International Organizations: Strengthen early warning systems, support farmers with drought‑resistant varieties, irrigation, shade management, and crop insurance. The WMO, FAO, and ICO should coordinate contingency planning.

For the Coffee Industry: Diversify sourcing strategies, invest in sustainable practices that build resilience, and monitor ENSO updates monthly.

For Consumers: Expect potential price increases in premium and everyday coffee blends throughout 2027. Supporting traceable, climate‑smart coffee can help mitigate long‑term risks.

Frequently Asked Questions

What is the probability that El Niño will persist through winter 2026/2027?

NOAA estimates a 96% probability that El Niño will persist through the Northern Hemisphere winter of 2026‑2027.

Which coffee origins are most at risk from this El Niño?

Vietnam and Indonesia (Robusta) face drought; Brazil (Arabica) may see irregular flowering; Colombia and Central America face mixed flood/drought risks.

How could El Niño affect coffee prices?

Analysts expect higher price volatility in 2027. Robusta supply risks could push futures higher, and specialty‑grade supplies may tighten.

What can smallholder farmers do to prepare?

Governments and organizations should provide drought‑resistant varieties, irrigation support, shade management, and crop insurance.

How does this El Niño compare to past events?

Models suggest it could become a strong‑to‑very‑strong event, potentially rivaling 1982‑83, 1997‑98, or 2015‑16, but final strength remains uncertain.

What are the broader economic risks beyond coffee?

Smallholder farmers face income losses and food insecurity; supply chains face tighter supplies and elevated costs; migration pressures may increase.

Author: Qahwa World – Climate Desk | Source: NOAA, WMO, ICO, StoneX, industry sources | Date: May 22, 2026

Costa Rican Coffee Output Rises 3.5% in 2026

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Author: Qahwa World – San Jose

Source: USDA Foreign Agricultural Service – Report CS2026-0004
Date: May 20, 2026

Executive Summary

  • Costa Rica coffee production for marketing year 2026/2027 is forecast at 1.2 million 60 kg bags, up 3.5%.
  • Several factors limit growth despite the biennial high year: strong local currency, high fertilizer prices, lower coffee prices, and expected El Niño.
  • The Costa Rican Colon has appreciated roughly 35% since mid-2022, cutting farmer revenues in local currency.
  • Coffee prices dropped from $574 per bag in October 2025 to $378 in April 2026.
  • El Niño is expected to affect Costa Rica in the second half of 2026, potentially reducing rainfall by up to 30% in some areas.
  • Exports forecast at 1.06 million bags; United States remains top destination with 39.6% share in 2024/2025.
  • The number of coffee farmers fell 48% in ten years to 24,653 in 2024/2025.

The USDA Foreign Agricultural Service office in San Jose forecasts Costa Rican coffee production for marketing year 2026/2027 to increase marginally to 1.2 million 60 kg bags, a 3.5% rise from the previous year.

Although the next marketing year is expected to be the higher production year under the biennial coffee production cycle, several factors will limit growth. These include a strong local currency, lower coffee prices, higher fertilizer and fuel prices, and potential abnormal weather patterns caused by El Niño.

According to ICAFE (Costa Rican Coffee Institute), the coffee sector is preparing for the continued negative effects of a very strong local currency against the US dollar.

The Costa Rican Colon has appreciated roughly 35% since mid-2022. Since most of the coffee is exported, even at historically high coffee prices, the colon denominated revenue has declined sharply because of the exchange rate, directly affecting farmer profitability.

ICAFE also reported that coffee prices have declined from $574 per 60 kg bag in October 2025 to $378 in April 2026, creating expectations of lower future income.

El Niño Threatens the Next Season

The Costa Rican National Meteorological Institute confirmed that El Niño will most likely affect Costa Rica during the second half of 2026. This could result in a reduction of rainfall of up to 30% of the normal amount in some areas of the country, primarily in the Northern Pacific. Although coffee production areas may not be as negatively affected, the timing of the phenomenon will determine whether the effects are mild or strong on coffee production.

FAS/San Jose expects coffee producers to face continued labor supply challenges. Panamanian workers from the Ngabe Bugle tribes now harvest most of the coffee crop, although Nicaraguans also participate. According to ICAFE, the inflow of field workers has been affected by slow migratory processes, causing uncertainty among growers.

Declining Area and Number of Farmers

According to the latest available area survey from 2022, planted area declined by 11.9% compared to the previous data set from 2018. FAS/San Jose projects MY 2026/2027 area planted to remain unchanged at approximately 83,000 hectares. However, industry sources suggest that some less productive producers may leave the activity altogether or reduce plantation maintenance given the difficult situation.

According to ICAFE, the number of coffee growers in the country declined to 24,653 farmers in MY 2024/2025 from 25,549 in MY 2023/2024. This number is down 48% from ten years ago. Long periods of low coffee prices, aging farmers, and high land prices near urban areas have contributed to the declining number of producers.

Table 1: Estimated MY 2025/2026 Area Planted (hectares)

Coffee Region 2018 2022 Change
Los Santos (Tarrazú) 27,944 28,519 2.1%
Occidental Valley 21,992 18,640 -15.2%
Central Valley 13,327 11,493 -13.8%
Perez Zeledón (Brunca) 13,315 10,617 -20.3%

Exports, Imports, and Consumption

FAS/San Jose projects MY 2026/2027 coffee exports at 1.06 million bags due to expected higher production. MY 2025/2026 exports are projected at 1.02 million bags. ICAFE reported that uncertainty in the Middle East recently pushed international buyers to increase purchases to secure product availability, while buyers were very cautious in late 2025.

The United States has been the main destination for Costa Rican exports for several years, although its market share has declined recently. The US share of total exports was 39.6% in MY 2024/2025, slightly higher than 38% in MY 2023/2024. The European Union is the other large destination.

Domestic consumption is projected unchanged at 320,000 bags in MY 2026/2027, due to slow population growth and relatively high prices. Costa Rica’s population is 5.3 million, with legal immigration low and population growth less than 1% per year. Domestic prices have risen almost 40% since 2022 due to inflationary pressures and higher international coffee prices.

Table 2: Green Coffee Exports by Destination (60 kg bags)

Country 2022/2023 2023/2024 2024/2025
United States 506,098 386,307 454,266
Belgium 128,290 282,162 269,551
Germany 93,990 60,347 57,089
South Korea 28,312 29,164 32,658
Japan 21,022 25,656 23,841
China 12,504 16,384 29,025
Total 1,002,321 1,017,105 1,102,439

EUDR Compliance: Deforestation Free Coffee

ICAFE continues to consolidate the scheme for marketing deforestation free coffee, in compliance with the European Union Green Deal requirements for deforestation free verification. The institution is strengthening its information systems to ensure georeferenced product traceability, to register due diligence statements, and to guarantee informed consent of growers. It also expanded training and technical assistance to producers, mills, and exporters.

On March 14, 2024, Costa Rica exported the first shipment of deforestation and degradation free coffee to Italy as part of a pilot program involving a local cooperative, the United Nations Development Programme, and ICAFE. The pilot involved 69 coffee growers (about 0.3% of all growers). The goal was to develop an effective and practical method for evaluating and documenting Costa Rican coffee compliance with the demanding requirements to be considered deforestation free.

Frequently Asked Questions

How much coffee will Costa Rica produce in 2026/2027?

Production is forecast at 1.2 million 60 kg bags, an increase of 3.5% from the previous year.

What are the biggest challenges facing Costa Rica’s coffee sector?

A strong local currency (Colon up 35% since mid-2022), high fertilizer prices, lower coffee prices, and expected El Niño.

How has the exchange rate affected farmer revenues?

Despite higher export prices in dollars, the strong Colon reduced local currency revenues by about 9% in 2025/2026 compared to the previous season.

What are the main export destinations for Costa Rican coffee?

The United States is the top destination with 39.6% of the total, followed by Belgium, Germany, South Korea, Japan, and China.

How many coffee farmers are there in Costa Rica?

There were 24,653 farmers in 2024/2025, down 48% from ten years ago.

Is Costa Rica ready for the EU Deforestation Regulation?

Yes. A successful pilot program was launched in 2024, and ICAFE is strengthening geotraceability systems and farmer training.

Author: Qahwa World – San Jose | Source: USDA Foreign Agricultural Service – Report CS2026-0004 | Date: May 20, 2026

Colombian Coffee Output Rises 7.2% in 2026

Posted on by Qahwa World

Author: Qahwa World – Bogota

Source: USDA Foreign Agricultural Service – Report CO2026-0008
Date: May 20, 2026

Colombia Coffee Output Rises 7.2% in 2026

Executive Summary

  • Colombian coffee production for marketing year 2026/2027 is forecast to rise 7.2% to 13.4 million 60 kg bags.
  • The increase is driven by favorable dry conditions and the transition from La Niña to a strong El Niño, as coffee plants tolerate water stress well.
  • Lower coffee prices encourage replanting and renovation, supporting future growth.
  • Exports are forecast at 13.4 million bags, with the United States remaining the top destination with over 40% market share.
  • Domestic consumption remains stable at 2.2 million bags despite promotional campaigns and a new law declaring coffee the national beverage.
  • Ending stocks fall 22.6% to 670,000 bags due to higher exports and lower imports.
  • Nearly 90% of Colombian coffee shipments already comply with the EU Deforestation Regulation (EUDR).

The USDA Foreign Agricultural Service office in Bogota forecasts Colombian coffee production for marketing year 2026/2027 to reach 13.4 million 60 kg bags, an increase of 7.2% from the previous year. This growth is mainly attributed to favorable dry conditions after years of heavy rainfall.

Colombia is transitioning from La Niña, which caused excessive precipitation, to a strong El Niño expected after mid 2026.

Despite concerns about El Niño affecting crops, coffee plants tolerate water stress and high temperatures, especially when grown in soils with good moisture retention. Historically, coffee production performs better during El Niño events than during La Niña. To achieve this production level, the Colombian Coffee Growers Federation (Fedecafe) recommended proper fertilization, weed management to conserve soil moisture, efficient harvesting, and establishing temporary shade cover using appropriate plant species.

Production Drop in 2025/2026 Due to Heavy Rains

For marketing year 2025/2026, USDA estimates a 9.4% decline in production to 12.5 million bags compared to the previous estimate. This drop is due to excessive rainfall in coffee growing regions, which negatively affected flowering and bean development. Continuous rainfall prevents the water deficit necessary for flower induction, causes premature flower fall, and increases the incidence of coffee leaf rust due to high humidity.

The phytosanitary survey conducted by Cenicafe in January 2026 showed that the national average incidence of coffee leaf rust reached 4.5%, up from 3.9% in October 2025, but it remains within phytosanitary control levels. Coffee berry borer infestation reached 1.6% nationally, below the economic damage threshold of 2%. Notably, 87% of Colombia’s coffee area is planted with rust resistant varieties, up from only 35% in 2010.

Lower Prices Encourage Farm Renovation

Local coffee prices depend on the New York international price and the Colombian peso to US dollar exchange rate. Since late 2025, prices have decreased due to global optimism about coffee production and a lower exchange rate. As of February 2026, coffee prices stood at 2,174,143 Colombian pesos per 125 kg bag, 30% lower than the same period a year earlier.

Labor costs account for about 70% of coffee production expenses. These costs have risen due to a minimum wage increase of more than 20%, plus higher fertilizer costs resulting from the Middle East conflict. The sector also suffers from labor shortages as workers move to urban areas for more profitable employment.

However, lower prices create a strategic window for farm renovation. When prices are high, producers maximize harvest from existing trees. When prices fall, the opportunity cost of renovation declines, and long term returns from rejuvenated trees become more attractive.

Exports, Imports and Stocks

USDA forecasts exports for 2026/2027 at 13.4 million bags, an increase of 4.6% from the previous year. Colombia exports coffee to more than 40 countries. The United States remains the top destination with over 40% market share, followed by the European Union, Canada, and Japan. From October 2025 to February 2026, exports to the United States, Japan, and South Korea increased more than 6% year on year.

In contrast, imports for 2026/2027 are forecast to fall 18% to 2.0 million bags as domestic production recovers. For 2025/2026, imports were estimated at 2.4 million bags due to lower domestic production and higher demand for lower quality coffee from Brazil, Peru, and Ecuador to fulfill soluble coffee export commitments. Colombia mainly imports green coffee (84.1%), followed by soluble coffee (15.7%), and roasted coffee (0.2%).

Ending stocks are forecast to fall 22.6% to 670,000 bags in 2026/2027, due to higher exports and lower imports despite improved production.

Table 1: Colombia Coffee Production, Supply and Distribution (1,000 60 kg bags)

Item 2024/2025 Official 2025/2026 Estimate 2026/2027 Forecast
Total Production 14,800 12,500 13,400
Total Imports 980 2,404 2,004
Total Exports 13,380 12,810 13,400
Domestic Consumption 2,150 2,200 2,200
Ending Stocks 918 866 670

Domestic Consumption and Government Policies

Domestic coffee consumption is forecast to remain stable at 2.2 million bags in 2026/2027. Despite expected moderate improvements in economic activity, high inflation (6.3% in 2026) and high coffee prices limit growth. Per capita coffee consumption in Colombia is about 3.08 kg per year, which is relatively low compared to more than 6 kg in most producing countries.

Fedecafe continues to promote domestic consumption through its campaign “Look for the Colombian Coffee Quality Triangle”. The triangular “Cafe de Colombia” logo guarantees 100% Colombian origin coffee, and about 850 brands use it. The government also enacted Law 2504 of 2025, which declares coffee the national beverage, promotes its consumption, and allows public entities to purchase national coffee and include it in food programs.

In April 2024, the Coffee Price Stabilization Fund Committee established the Coffee Income Compensation Mechanism (MECIC 2024). This mechanism provides direct financial support to growers when the rolling average domestic price falls below the average production cost. It has not been activated yet because prices have remained above the reference cost.

EU Deforestation Regulation Compliance

Colombian coffee producers are actively implementing traceability measures to comply with the European Union Deforestation Regulation (EUDR) 2023/1115. Colombia exports more than 20% of its coffee production to the EU. The compliance deadline is December 30, 2025 for medium and large companies, and June 30, 2026 for micro and small enterprises.

According to Fedecafe, nearly 90% of Colombian coffee lots already comply with the EU regulation. The federation has trained producers on the new legal requirements and created a geospatial platform that allows users to map their farm coordinates.

Frequently Asked Questions

How much coffee will Colombia produce in 2026/2027?

Production is forecast to reach 13.4 million 60 kg bags, an increase of 7.2% from the previous year.

Why did production drop in 2025/2026?

Production fell 9.4% to 12.5 million bags due to excessive rainfall that affected flowering and bean development.

How does El Niño affect Colombian coffee production?

Historically, coffee production performs better during El Niño because coffee plants tolerate water stress well, especially in soils with good moisture retention.

What are the main export destinations for Colombian coffee?

The United States is the top destination with over 40% market share, followed by the European Union, Canada, and Japan.

What percentage of Colombian coffee complies with the EUDR?

Nearly 90% of Colombian coffee lots already comply with the EU Deforestation Regulation.

How do lower coffee prices affect farmer decisions?

Lower prices reduce the opportunity cost of renovation, encouraging farmers to replant old trees for higher long term productivity.

Author: Qahwa World – Bogota | Source: USDA Foreign Agricultural Service – Report CO2026-0008 | Date: May 20, 2026

Green Coffee Defects: What the Bean Reveals

Posted on by Qahwa World
Author: Dr. Steffen Schwarz
Date: May 21, 2026
Executive Summary:

  • A green coffee defect is not an object but a trace. It is the visible end of an invisible process that may begin with overripe cherries, drought stress, insect damage, poor drying, or inadequate storage.
  • Defects have families: extrinsic (stones, sticks, husks) cause physical damage to machinery, while intrinsic (black, sour, immature, fungus-damaged, aged) change the cup profile significantly.
  • Fermentation is not the enemy; uncontrolled fermentation is. The same microbial routes that produce desirable fruit complexity can also produce sour, phenolic, or acetic defects.
  • The Rio defect, associated with 2,4,6-trichloroanisole (TCA), is a powerful example of how a chemically tiny compound can be commercially enormous, and how cultural preference determines whether it is rejected or accepted.
  • Defect recognition requires six layers: physical grading, density and moisture, green bean olfaction, sample roasting, blind cupping, and chemical analysis.
  • The most dangerous sentences in coffee quality are “I like it, therefore it is good” and “I dislike it, therefore it is defective.”

A defect in green coffee is a small event that has survived an entire supply chain. It may have begun as a cherry left too long on the branch, a drought stressed seed, an insect puncture, a heap that warmed during the night, a drying table loaded too thickly before the rain, a bag that reabsorbed moisture in a warehouse, or a fragment of stone travelling with the lot.

By the time we see it on the sorting table, the event has already been translated into colour, density, smell, chemistry, and commercial consequence. The black bean is not black because colour is its essence; it is black because respiration, microbial activity, oxidation, tissue collapse, and time have written a story into the seed.

The sour bean is not sour because it has decided to offend the cup; it is the fossil of an uncontrolled fermentation. A green coffee defect is therefore not an object but a trace. It is the visible end of an invisible process.

This is why the old habit of treating defects as a counting exercise is useful but insufficient. Counting gives trade a language. It allows a buyer in Hamburg, a dry mill in Brazil, a cooperative in Ethiopia, and a roaster in Seoul to negotiate the same bag without each needing to invent vocabulary anew. Yet the count itself does not explain the mechanism.

One full black bean may be a primary defect in a classification system; scientifically, it is also a collapsed biological archive. A stone may carry no flavour, yet it can destroy a grinder. The defect table tells us what to remove. Applied science tells us why it had to be removed, and when, surprisingly, a market may decide not to remove it at all.

Families of Defects

Some defects are extrinsic: stones, sticks, husks, parchment, pods, and foreign matter. They tell us about harvesting, separation, hulling, cleaning, and dry mill discipline. Their danger is often physical before it is sensory, because they damage machinery. Others are intrinsic: full black, partial black, full sour, partial sour, immature, withered, floater, insect damaged, fungus damaged, broken, shell, chipped, crushed, faded, and aged beans. These belong to the seed itself and have far greater potential to change the cup.

An immature bean can bring astringency, grassy bitterness, and harshness because its biochemical reserves have not reached balance. A sour bean can bring vinegar, ferment, rotten fruit, or sharp lactic acetic notes because microbial metabolism has moved into uncontrolled transformation. A black bean often carries the memory of overripeness, fallen fruit, soil contact, or severe stress. A floater, light and porous, is often underdeveloped, and its low density changes heat transfer in roasting. A broken bean is a high surface area wound, vulnerable to oxidation and contamination.

Harvest, Processing, and the Cultural Layer

At farm level, many defects begin with uneven ripeness. Coffee is not a factory product that arrives at maturity in one moment. On the same tree, green, half ripe, ripe, overripe, and dried fruit may coexist. Selective picking is chemical sorting before chemistry becomes irreversible. Processing then becomes decisive. Fermentation is not the enemy. Uncontrolled fermentation is.

The Rio defect is the perfect case study. In classical descriptions, Rio appears as medicinal, phenolic, iodine like, harsh, musty, or cellar like. It is associated with 2,4,6 trichloroanisole (TCA). A Rio note may be rejected by many specialty buyers yet expected or even loved in certain traditional markets. Science can say what is there. Culture decides what it means.

Storage Defects and Six Layers of Recognition

Storage defects are quieter and more dangerous. A coffee can pass visual inspection but still move chemically in the wrong direction. Moisture, oxygen, temperature, and time determine whether the seed preserves its aromatic potential. Good storage is not passive warehousing. It is slow chemistry management.

Recognition requires six layers: physical grading, density and moisture, green bean olfaction, sample roasting, blind cupping, and chemical analysis. The final layer remains human interpretation. Instruments detect compounds. Professionals decide risk, suitability, and value.

Frequently Asked Questions (FAQ)

1. What is a green coffee defect?

A trace of an invisible process ending in colour, density, smell, and chemistry changes.

2. What are extrinsic vs intrinsic defects?

Extrinsic are foreign materials (stones, sticks). Intrinsic are seed defects (black, sour, immature).

3. Can roasting remove defects?

No. Roasting translates defects into different sensory notes but cannot erase them.

4. What is the Rio defect?

A medicinal, phenolic off flavour linked to TCA. It is rejected by some markets but traditional in others.

5. Why are storage defects dangerous?

They are latent. Coffee can pass visual inspection but later develop papery, woody, or flat notes.

6. What is the most dangerous sentence in coffee quality?

“I like it, therefore it is good” and “I dislike it, therefore it is defective.”

Dr. Steffen Schwarz – Coffee Consulate
Published on Qahwa World: May 21, 2026

Japanese Manufacturer Grows Domestic Specialty Coffee in High Tech Greenhouse

Posted on by Qahwa World
Author: Qahwa World
Source: Kanamori Coffee Lab visit and Nabeya Bi-tech company announcement
Date: May 21, 2026
Executive Summary:

  • Nabeya Bi-tech, a Japanese manufacturing company founded in 1560, has launched Bitech Farm, a domestic coffee cultivation project in Gifu Prefecture.
  • The farm operates a 700 square meter greenhouse with automated mist systems and 100 percent organic fertilizers.
  • Approximately 120 to 150 coffee trees of Bourbon, Typica, and Mundo Novo varieties are under cultivation.
  • The greenhouse environment supports simultaneous flowering, green cherry, and ripe cherry stages.
  • First significant harvest is targeted for 2027, with full vertical integration planned from production to cafe sales.
  • Kanamori Coffee Lab visited the farm and praised its long term commitment to quality and traceability.
  • The project represents a rare serious greenhouse coffee effort on Japan’s main island of Honshu.

Nabeya Bi-tech, a historic Japanese manufacturing company founded in 1560 in Seki City, Gifu Prefecture, has diversified into agriculture with Bitech Farm, a domestic coffee cultivation project.

The company, which specializes in mechanical components such as couplings and precision screws, announced its Agri-Tech business in 2023. Inspired by a visit to vineyards in Mallorca, Spain, President Yujiro Okamoto launched coffee farming as a third technological pillar alongside traditional and new manufacturing.

The farm operates from a large vinyl greenhouse of approximately 700 square meters on the company’s factory grounds in Kakamigahara City. The facility uses automated mist systems for environmental control and relies on 100 percent organic fertilizers.

Smart agriculture technologies include self developed cloud based remote monitoring for data such as water temperature. The greenhouse creates a stable microclimate suitable for delicate coffee varieties, mitigating Japan’s seasonal temperature swings.

Coffee Varieties and Cultivation

Attribute Specification
Facility scale Approximately 700 square meters (greenhouse)
Number of coffee trees 120 to 150 trees
Coffee varieties Bourbon, Typica, Mundo Novo
Fertilizers 100 percent organic matter
Climate control Automated mist systems and cloud based monitoring
Tree height Up to 180 centimeters

The farm primarily focuses on the Typica variety, an ancient high quality Arabica known for distinctive flavor, elegant sweetness, and clean acidity. Bourbon and Mundo Novo are also cultivated. A standout feature of the greenhouse ecosystem is the simultaneous presentation of multiple coffee phenological stages. Visitors can observe jasmine like white blossoms, young green cherries, and fully ripened red cherries all within the same space. The characteristic bronze to brown coloration of new shoots on Typica trees is vividly present, confirming that the cultivars maintain their genetic identity under Japanese conditions.

Vertical Integration and Traceability

Nabeya Bi-tech is building a rigorous vertically integrated business ecosystem. The model covers every link of the supply chain from seed to shrub cultivation, post harvest processing, product development, quality control, and final commercial sales. The company aims to market an ultra traceable, high value specialty coffee that deeply embraces the specific regional microclimates of Seki and Kakamigahara cities. The farm is situated just two and a half hours from Tokyo via high speed transit, making it an accessible hub for domestic roasting professionals, researchers, and green bean buyers.

The project started approximately five years ago. Seedlings were sourced painstakingly from Kumamoto after searches in Okinawa and Kyushu. Employees participated in a planting festival in 2025. The first significant harvest is targeted for 2027, with ambitions to eventually open a cafe. The company emphasizes terroir, traceability, and creating unique Japanese specialty coffee through on site processing including fermentation.

Kanamori Coffee Lab Visit

Kanamori Coffee Lab, a specialty coffee roaster based in Zama City, Kanagawa Prefecture, recently visited Bitech Farm. The lab is run by international coffee taster and Q Grader Fuki Kanamori. The visit left a strong impression of awe at the lush, tall trees and the full lifecycle visible in one space. The post highlighted the technical details of organic practices, automation, and variety traits. More deeply, the visitor resonated with the company’s mission, which is not merely about the novelty of rare domestic coffee, but a passionate long term commitment to quality, terroir understanding, and end to end traceability within Japan.

The response from the coffee community has been supportive. Industry voices note that the benchmark for the Japan coffee movement has shifted. The novelty of simply growing coffee beans in Japan is no longer enough. The focus has turned toward enhancing cup quality, experimenting with precise fermentation protocols, and accentuating local terroir. Nabeya Bi-tech’s data driven approach to environmental management positions it to be a key driver in defining premium domestic specialty coffee standards.

Frequently Asked Questions (FAQ)

1. What is Bitech Farm?

Bitech Farm is a domestic coffee cultivation project by Nabeya Bi-tech, a Japanese manufacturing company founded in 1560. It operates a greenhouse coffee farm in Kakamigahara City, Gifu Prefecture.

2. How many coffee trees are at Bitech Farm?

The farm has approximately 120 to 150 coffee trees of Bourbon, Typica, and Mundo Novo varieties.

3. What makes this coffee project unique?

It combines traditional Japanese manufacturing heritage with modern Agri-Tech, including automated mist systems, cloud based monitoring, and full vertical integration from cultivation to sales.

4. When will the first harvest be ready?

The first significant harvest is targeted for 2027. The project started approximately five years ago with planting in 2025.

5. Who visited the farm and what was their impression?

Kanamori Coffee Lab, a specialty coffee roaster, visited and expressed awe at the lush trees and full lifecycle in the greenhouse, praising the company’s long term commitment to quality and traceability.

6. Does the company plan to open a cafe?

Yes, the company has ambitions to eventually open a cafe as part of its vertical integration strategy from production to sales.

Qahwa World – Based on Kanamori Coffee Lab visit report and Nabeya Bi-tech company announcements.
Published: May 21, 2026

Shanghai Overtakes New York as Global Coffee Capital as Ethiopia and Vietnam Compete in China

Posted on by Qahwa World
Author: Sahl Maryam Jabra Madhin
Source: ECTA, GACC, ICO
Date: May 21, 2026

Executive Summary:

  • Shanghai now hosts over 9,115 cafes, making it the world’s leading coffee city, double New York and five times Paris.
  • China’s coffee consumption has grown 15 percent annually over the past three years.
  • Ethiopia ranks second as a coffee supplier to China after Brazil, with premium specialty coffee at $6,310 per ton.
  • Vietnam ranks third, offering robusta at $4,176 per ton, benefiting from geographic proximity (4-6 days shipping).
  • China’s zero tariff policy for Ethiopian products has boosted Ethiopian coffee exports, moving Ethiopia from 33rd to 3rd place in five years.
  • In the first ten months of the 2018 budget year, Ethiopia exported 37,711 tons of coffee to China worth $270.73 million.

For many years, the global coffee industry had its eyes fixed on New York, Milan, and Paris. Today, the new growth center of the coffee industry has shifted to Asia. Shanghai now hosts over 9,115 cafes, making it the world’s leading coffee city. This is double the number in New York and approximately five times that of Paris.

Beyond the numbers, the key story is that China’s coffee consumption has grown 15 percent annually over the past three years. This has created a major shift in the global coffee supply chain. While many businesses still focus only on Western markets, China is quietly becoming a major destination and opportunity gateway for Ethiopian and Vietnamese coffee.

Ethiopia vs Vietnam in Shanghai (2025-2026)

Indicator Ethiopia Vietnam
Import rank in China 2nd (after Brazil) 3rd
Supply volume ~50,000 tons ~36,000 tons
Price per ton $6,310 (premium) $4,176 (mid-range)
Growth rate +79.1% revenue +65.8% supply
Key advantage Zero tariff, natural varieties, specialty quality Proximity (4-6 days), lower price

How Each Coffee is Perceived in Shanghai

Ethiopia: The Quality Standard
In Shanghai’s 9,000 cafes, Ethiopian coffee is viewed like fine wine. It is mostly found in specialty coffee shops and premium chains like Blue Bottle. It is preferred for pour-over black coffee. Young Shanghai coffee enthusiasts see Ethiopian coffee as the peak of complexity, with notes of wine, chocolate, spice, fruit, or citrus. Despite its higher price, it remains highly sought after.

Vietnam: The Reliable Workhorse
Once known only for instant coffee, Vietnam has rebranded itself by producing high quality robusta. Vietnamese coffee is commonly found in large chains like Luckin or Cotti, as well as popular cafes in the Jing’an district. It is known for its strong, nutty, chocolatey flavor and is seen as a reliable, affordable option, often mixed with milk.

Zero Tariff Policy and Ethiopia’s Rise

In 2025, a major change occurred: China’s zero tariff policy for Ethiopian products. This duty free access, along with growing strategic cooperation in agriculture, technology transfer, e-commerce links, and Shanghai’s role as a trading hub, has made Ethiopian coffee more price competitive in China.

Five years ago, China was the 33rd destination for Ethiopian coffee exports. By 2017, it rose to 4th place. In the first ten months of the 2018 budget year, Ethiopia exported 37,711 tons of coffee to China, worth $270.73 million, moving up to 3rd place. This demonstrates the rapid growth of Ethiopia’s presence in the Chinese market.

Frequently Asked Questions (FAQ)

1. How many cafes does Shanghai have?

Shanghai has over 9,115 cafes, more than double New York and about five times Paris.

2. How fast is China’s coffee consumption growing?

China’s coffee consumption has grown 15 percent annually over the past three years.

3. Which countries are the top coffee suppliers to China?

Brazil ranks first, followed by Ethiopia (second) and Vietnam (third).

4. What is the price difference between Ethiopian and Vietnamese coffee?

Ethiopian coffee averages $6,310 per ton, while Vietnamese coffee averages $4,176 per ton.

5. What is the zero tariff policy?

China granted duty free access to Ethiopian products in 2025, boosting Ethiopian coffee’s price competitiveness.

6. How much coffee did Ethiopia export to China in 2018?

In the first ten months of the 2018 budget year, Ethiopia exported 37,711 tons of coffee to China, worth $270.73 million.

Sahl Maryam Jabra Madhin – Based on reports from ECTA, GACC, ICO, and Allegra World Coffee Portal.
Published: May 21, 2026

How the Blockage of the Strait of Hormuz Impacts the Coffee Sector

Posted on by Qahwa World
Source: International Coffee Organization (ICO)
Author: Coffee World – Dubai
Date: May 20, 2026

Executive Summary

  • Reduced shipping flows through the Strait of Hormuz since March threaten global coffee supply chains.
  • Brent crude prices jumped 63% from $72.29/barrel in February to $118.03/barrel in April.
  • Urea fertilizer prices rose 47% from $465.45/ton to $684.75/ton over the same period.
  • One-quarter to one-third of global fertilizer trade passes through the Strait, with Qatar supplying 14% of the world’s urea.
  • Fertilizer accounts for 23% of production costs in Brazil and 26% in Vietnam, hitting smallholders hard.
  • The Middle East imports 8.6 million bags of coffee annually (4.5% of global imports), making regional demand vulnerable to instability.

The Strait of Hormuz: A Global Oil Artery Under Pressure

The International Coffee Organization warns that geopolitical tensions in the Middle East could generate significant ripple effects across global commodity markets, and coffee is no exception. The Strait of Hormuz is one of the most critical chokepoints in global trade, with around one-fifth of the world’s oil supply passing through it. Since March, shipping flows through the strait have been reduced, triggering higher oil prices, increased fuel costs, and greater volatility in freight markets.

Brent crude prices increased from $72.29 per barrel on February 27 to a high of $118.03 per barrel on April 29 – a jump of more than 63%. This directly affects coffee transport costs, inland logistics, and fertilizer prices, all central elements of production and export economics.

Fertilizer: The Weak Link in the Chain

Fertilizers are essential for coffee production. Between one-quarter and one-third of the global fertilizer trade – and up to one-third of nitrogen fertilizers (urea) – transits through the Strait of Hormuz. The Gulf region is a major fertilizer producer, with the Qatar Fertiliser Company (QAFCO), considered the world’s largest urea supplier, alone providing 14% of global urea.

As a result, the price of urea fertilizer rose from $465.45 per ton to $684.75 per ton over the same period – a 47% increase. For coffee-producing countries like Brazil and Vietnam, fertilizers represent a large share of production costs: 23% in Brazil and 26% in Vietnam. Smallholders, who operate on thin margins, are the most vulnerable to these increases.

Indicator Feb 27, 2026 Apr 29, 2026 Increase
Brent Crude (USD/barrel) 72.29 118.03 63%
Urea Fertilizer (USD/ton) 465.45 684.75 47%

The Middle East: A Strategic Consumer Region Under Pressure

The Middle East has become an increasingly important coffee-consuming region, with strong demand growth across Gulf countries over the past two decades. In 2024, imports to the Middle East reached 8.6 million bags, representing 4.5% of total world imports. Any regional instability may affect import demand, port operations, and re-export hubs such as the United Arab Emirates, which plays a strategic role in regional distribution and specialty coffee trade.

According to the European Coffee Federation, tensions around the Strait of Hormuz, combined with ongoing instability in the Red Sea, are pushing shipping lines to use longer alternative routings via the Cape of Good Hope. This leads to extended transit times, tighter vessel capacity, higher fuel costs, and additional security-related surcharges – especially for Ethiopia, which uses the port of Djibouti near the conflict zone.

Coffee Futures Markets: Extreme Sensitivity

Coffee futures markets are highly sensitive to macroeconomic uncertainty. Heightened geopolitical risk tends to strengthen the US dollar while intensifying speculative movements across commodities. For producing countries, whose local currencies are closely linked to export revenues, exchange-rate volatility can create both opportunities and risks, influencing farmgate prices and export competitiveness.

At this stage, the ICO considers it premature to draw conclusions or project specific market outcomes. However, it identifies several indicators the sector should monitor closely in the coming months: energy prices, freight rates, fertilizer costs, trade insurance premiums, currency volatility, and shifts in demand in key importing markets.

Conclusion: A Global Coffee Sector at Risk

Coffee is a deeply globalized sector, and its resilience depends on stable trade systems and international cooperation. In times of geopolitical uncertainty, transparency, market intelligence, and coordinated dialogue become even more important. The ICO will continue to monitor developments and provide timely analysis to support producing and consuming countries in managing potential risks to the sector.

Frequently Asked Questions (FAQ)

1. How much have oil prices increased since the Strait of Hormuz crisis began?

Brent crude prices rose 63%, from $72.29 per barrel on February 27 to $118.03 per barrel on April 29, 2026.

2. How does the Strait crisis affect fertilizer prices?

Urea fertilizer prices increased 47% over the same period because one-quarter to one-third of global fertilizer trade passes through the strait.

3. What is the fertilizer cost share for Brazil and Vietnam?

Fertilizer accounts for about 23% of production costs in Brazil and 26% in Vietnam, making them highly vulnerable.

4. How much coffee does the Middle East import annually?

The Middle East imported 8.6 million bags in 2024, which is 4.5% of total global coffee imports.

5. What alternative shipping routes are being used?

Ships are taking the longer Cape of Good Hope route, increasing transit times, fuel costs, and congestion in Mediterranean ports.

6. Can the ICO predict precise market outcomes?

No. The ICO says it is premature to draw conclusions but urges monitoring of energy, freight, fertilizer, currency, and demand indicators.

Author: Coffee World – Dubai  |
Source: International Coffee Organization (ICO)  |
Publication date: May 20, 2026

Coffee Prices Fall on Improved Brazil Crop Prospects

Posted on by Qahwa World
Author: Qahwa World
Source: Barchart
Date: May 20, 2026
Executive Summary:

  • July arabica coffee closed down 0.68% on Wednesday, while July robusta fell 0.51% to a one month low.
  • Arabica hit a one and a half year low on Tuesday amid an improved global supply outlook.
  • The Coffee Trading Academy projects Brazil’s 2026/27 harvest will increase 12% year on year to 71.4 million bags.
  • Marex Group and StoneX both forecast record Brazilian crops above 75 million bags for 2026/27.
  • StoneX projects the 2026 global coffee surplus will expand to 10 million bags, the largest in six years.
  • Vietnam coffee exports rose 15.8% in the first four months of 2026, reaching 810,000 metric tons.
  • ICE robusta inventories hit a two year low last Friday but recovered slightly on Wednesday.

Coffee prices settled lower on Wednesday, May 20, 2026, with robusta falling to a one month low. Expectations of a larger Brazilian coffee crop continue to weigh on prices. July arabica coffee futures closed down 0.68%, and July ICE robusta coffee closed down 0.51%.

Prices have ratcheted lower over the past month, with arabica falling to a one and a half year near term low on Tuesday amid an improved global supply outlook. On May 7, the Coffee Trading Academy projected Brazil’s 2026/27 coffee harvest would increase 12 percent year on year to 71.4 million bags. On March 19, Marex Group projected a record Brazilian crop of 75.9 million bags, surpassing Sucafina’s forecast of 75.4 million bags. On March 12, StoneX raised its Brazil 2026/27 production estimate to a record 75.3 million bags, up from a November estimate of 70.7 million bags. StoneX also projected the 2026 global coffee surplus would expand to 10 million bags from 1.8 million bags in 2025, the largest surplus in six years.

Vietnam Exports and ICE Inventories

Soaring coffee exports from Vietnam, the world’s largest robusta producer, are bearish for robusta prices. On May 9, Vietnam’s National Statistics Office reported that the country’s coffee exports in the first four months of 2026 rose 15.8 percent year on year to 810,000 metric tons. Vietnam’s 2025 coffee exports jumped 17.5 percent to 1.58 million metric tons. Production for the 2025/26 season is projected to climb 6 percent to a four year high of 1.76 million metric tons, equivalent to 29.4 million bags.

ICE coffee inventories have trended lower over the past two months, which typically supports prices. ICE robusta inventories fell to a two year low of 3,631 lots last Friday, though they recovered to a two and a half week high of 3,845 lots on Wednesday. ICE arabica coffee inventories fell to a two and three quarter month low of 456,462 bags on Wednesday.

Brazil Exports and Supply Disruptions

Smaller exports from Brazil are supportive of coffee prices. Last Tuesday, Cecafe reported that Brazil’s April green coffee exports fell 1.3 percent year on year to 2.76 million bags. The ongoing closure of the Strait of Hormuz has disrupted global coffee supplies and is bullish for prices. The closure has tightened supplies by increasing shipping rates, insurance, fertilizer and fuel costs, raising costs for importers and roasters.

As a bearish factor, the International Coffee Organization reported on November 7 that global coffee exports for the current marketing year (October to September) fell 0.3 percent year on year to 138.658 million bags.

USDA Production Forecasts

Indicator 2025/26 Forecast
World coffee production 178.848 million bags (+2.0% y/y record)
Arabica production 95.515 million bags (-4.7% y/y)
Robusta production 83.333 million bags (+10.9% y/y)
Brazil production 63 million bags (-3.1% y/y)
Vietnam production 30.8 million bags (+6.2% y/y, 4 year high)
Ending stocks 20.148 million bags (-5.4% y/y)

The USDA’s Foreign Agriculture Service bi-annual report of December 18 projected that world coffee production in 2025/26 would increase 2.0 percent year on year to a record 178.848 million bags. Within that total, arabica production is expected to decrease 4.7 percent to 95.515 million bags, while robusta production is forecast to rise 10.9 percent to 83.333 million bags. The USDA also forecast Brazil’s 2025/26 coffee production would decline 3.1 percent to 63 million bags, while Vietnam’s output would rise 6.2 percent to a four year high of 30.8 million bags. Ending stocks for 2025/26 are projected to fall 5.4 percent to 20.148 million bags from 21.307 million bags in 2024/25.

Frequently Asked Questions (FAQ)

1. Why are coffee prices falling?

Coffee prices are under pressure mainly due to expectations of a larger Brazilian coffee crop for 2026/27 and surging exports from Vietnam, pointing to a global surplus.

2. How low did arabica coffee prices go?

July arabica coffee futures fell to a one and a half year low on May 19, 2026, closing down 0.68% on May 20.

3. What is the projected Brazilian coffee crop for 2026/27?

The Coffee Trading Academy projects 71.4 million bags, while Marex Group and StoneX project record crops above 75 million bags.

4. How much did Vietnam’s coffee exports increase?

Vietnam’s coffee exports rose 15.8 percent in the first four months of 2026 compared to the same period last year, reaching 810,000 metric tons.

5. What is the expected global coffee surplus for 2026?

StoneX projects the 2026 global coffee surplus will expand to 10 million bags, the largest surplus in six years.

6. How does the Strait of Hormuz closure affect coffee prices?

The closure disrupts global coffee supplies by increasing shipping rates, insurance, and fuel costs, which is a bullish factor supporting prices.

Qahwa World – Based on Barchart commodity bulletin.
Published: May 20, 2026

Sucafina: 43% Responsible Sourcing and $7.4M Sustainability Investment in 2025

Posted on by Qahwa World
Author: Coffee World
Source: Sucafina 2025 Sustainability Report
Date: May 2026

Executive Summary:

  • Sucafina achieved 43% of its sales as responsibly sourced or traceable to farm level in 2025.
  • The company invested $7.42 million in training and community support projects.
  • Coffee was sourced from 214,313 certified farmers worldwide.
  • Sucafina monitored 437,602 plots across 18 countries for deforestation risk, with 99.2% deforestation-free.
  • The company distributed 895,085 high-quality coffee seedlings and 203,748 native tree seedlings.
  • Sucafina added “Accountability” as its seventh corporate value and adopted a “Connected Value” strategy.
  • The company launched IMPACT Industrial to extend its responsible sourcing program to soluble coffee manufacturing.

Sucafina, a global leader in farm-to-roaster coffee trading, announced exceptional results in its 2025 annual sustainability report. The announcement came during a year marked by global uncertainty, rising costs, and evolving regulations. The company achieved record numbers in its IMPACT responsible sourcing program, raised its external investments in sustainability initiatives to unprecedented levels, and simplified its strategy while adding “Accountability” as its seventh corporate value.

Nicolas A. Tamari, CEO of Sucafina, said: “Despite a difficult start to 2025, the second half of the year revealed a more encouraging reality. We saw renewed commitment from customers who realized that sustainability, traceability, human rights, and environmental stewardship are not options.

They are integral to brand value and consumer trust. By the end of the year, we reached an important milestone: 43% of our sales were responsibly sourced or traceable to farm level. This is a strong signal that our long-term investments are aligning with market expectations.”

Key Sustainability Figures for 2025

Indicator Value
Certified farmers sourced from 214,313
High-quality coffee seedlings distributed 895,085
Farm plots monitored for deforestation 437,602 (covering 674,161 hectares in 18 countries)
Deforestation-free plots 99.2%
Native tree seedlings distributed 203,748
Farmers certified under IMPACT Verification 69,229
Total employee training hours 11,971
Investment in training and community projects $7.42 million
Permanent employees trained in occupational health and safety 680
EcoVadis award Bronze (top 35%)

Strategic Update: Simplification, Integration, and Accountability

After five years of implementing its 2030 sustainability strategy, Sucafina conducted a comprehensive mid-term review. This resulted in an updated and simplified strategy centered on the concept of “Connected Value.” The five IMPACT program goals (Livelihoods, Regenerative Agriculture, Climate Action, Community Well-being, Forest Conservation) were integrated into three main pillars: Investing in Farmers, Caring for People, and Protecting the Planet. The company also added a seventh corporate value: Accountability, joining Adaptability, Humility, Entrepreneurship, Integrity, Expertise, and Passion.

In a strategic move, Sucafina decided to step away from the Science Based Targets initiative (SBTi) framework and transition toward a customized climate action pathway for its operations and supply chain.

The company will focus on practical interventions that achieve measurable emissions reductions and enhance resilience in coffee-producing regions, rather than compliance with a framework that does not always adapt to the reality of agricultural commodity trading.

Key Field Projects and Initiatives

Investing in Farmers
Sucafina’s Regenerative Agriculture methodology underwent external verification. It assesses the implementation of 15 targeted practices linked to four environmental dimensions: soil, water, biodiversity, and greenhouse gas emissions.

Pilot farms were established in Uganda and elsewhere. Notable projects include the SEMEIA project in Brazil (in partnership with Itochu and Ajinomoto AGF), a four-year initiative supporting nine farmers in Arabica and Robusta regions.

The project has planted 30,000 new coffee trees, installed composting units, and planted 6,680 native trees, aiming to reduce emissions and production costs by 2028.

Other initiatives include the Tools for Prosperity project in Uganda distributing basic agricultural tools, and the Regeneration Stimulation project in Rwanda (with 100WEEKS and Ahold Delhaize) where 95-97% of incentivized farmers performed radical pruning compared to 63% in the non-incentivized group.

Caring for People (Communities and Employees)
The REACH project in Uganda (with JDE Peet’s, Elucid, and RVO) developed a digital health financing platform serving 2,700 farming families, addressing challenges of treatment costs and distance.

Women’s savings and lending groups (VSLAs) were established in Burundi, Rwanda, and Kenya, along with support for livestock and beekeeping as additional income sources. For child protection, Sucafina joined the Child Rights Coalition in Uganda (with ChildFund, JDE Peet’s, Nestlé, NKG, Volcafe) to implement a system for monitoring and addressing child labor risks.

In education, the company built classrooms in Colombia (funded by 1% of Sucafina Instant’s net profits), supported early childhood programs in Guatemala with Seeds for Progress, and improved school facilities in Uganda.

Following Cyclone Sinar in Indonesia’s Gayo communities, Sucafina distributed emergency food packages to 913 farmers and 69 suppliers via two air freight shipments.

Protecting the Planet
For deforestation monitoring and EUDR compliance, Sucafina monitored 437,602 farm plots, with 99.2% deforestation-free.

The company developed an EUDR compliance methodology that includes geodata collection, satellite risk assessment, secondary verification, and support for environmental restoration efforts (including distribution of 203,748 native tree seedlings).

Solar energy was installed at the Beyers Koffie plant in Belgium: 642 high-efficiency solar panels (285.69 kWp capacity) produce approximately 243,000 kWh annually, covering 4-5% of the plant’s total electricity consumption.

In Rwanda, an agroforestry program in partnership with the London School of Economics distributed 110,064 regionally appropriate shade trees to 3,735 farmers with cash incentives for tree regeneration.

IMPACT Industrial: Extending the Program to Manufacturing

Sucafina unveiled a new track within its IMPACT program: IMPACT Industrial, designed to cover the production and manufacturing stages of soluble coffee.

The initiative aims to assess environmental, social, and governance practices among manufacturing partners and open constructive dialogue to improve performance in a stage that has historically lacked visibility and standardization.

Sucafina’s Operational Scale in 2025

Indicator Value
Permanent employees 1,528 (38% women)
Seasonal employees 7,138 (54% women)
Green coffee traded 541,000 metric tons
Certified farmers sourced from 214,313
Market share More than 1 in every 20 coffee cups consumed globally passes through Sucafina’s supply chains

Frequently Asked Questions (FAQ)

1. What percentage of Sucafina’s sales were responsibly sourced in 2025?

43% of total sales were responsibly sourced or traceable to farm level.

2. How much did Sucafina invest in sustainability projects in 2025?

The company invested $7.42 million in training and community support projects through the Kahawatu Foundation and other initiatives.

3. What is the new corporate value added by Sucafina?

Sucafina added “Accountability” as its seventh corporate value, alongside Adaptability, Humility, Entrepreneurship, Integrity, Expertise, and Passion.

4. What is the new IMPACT Industrial track?

A new track within the IMPACT program designed to assess environmental, social, and governance practices among soluble coffee manufacturing partners and improve transparency in that stage.

5. How is Sucafina addressing EU Deforestation Regulation compliance?

The company developed a compliance methodology including geodata collection, satellite risk assessment, and secondary verification, resulting in 99.2% of monitored land being deforestation-free.

6. What are the goals of the SEMEIA project in Brazil?

The four-year project aims to reduce emissions and production costs by 2028 through new tree planting, composting units, and native tree cultivation.

Coffee World – Based on Sucafina’s 2025 Sustainability Report.
Published: May 2026