Author: Qahwa World

Qima Coffee has announced the launch of its newest regional logistics hub at the Dubai Multi Commodities Centre (DMCC), the region’s premier commodities trading hub, strategically located in the heart of Dubai.

Historically, roasters across the Gulf Cooperation Council (GCC) region have grappled with complex and fragmented logistics for specialty coffee. Delays due to extended customs procedures, dispersed warehousing, and inconsistent traceability have often compromised freshness and quality, creating significant operational challenges for roasteries.

With this new presence at DMCC, Qima Coffee is taking a bold step forward to resolve these inefficiencies. The hub offers streamlined customs clearance, consolidated storage solutions, and optimized logistical procedures—ensuring shorter lead times and better preservation of coffee integrity.

“Our new base at DMCC allows us to offer GCC roasters faster, more reliable access to our curated selection of coffees,” the company stated. “From rare, award-winning micro-lots and competition-grade coffees to scalable, high-quality specialty offerings, our portfolio is now closer to our clients than ever before.”

While the DMCC hub primarily serves the Gulf region, it also enhances service capabilities for clients in Asia and Europe, complementing Qima Coffee’s existing distribution centers in both regions.

For roasters looking to simplify sourcing and elevate quality, Qima Coffee’s Dubai hub marks a significant upgrade in regional specialty coffee logistics.

The Melbourne International Coffee Expo (MICE2025) exceeded all expectations this year, attracting an impressive 31,708 attendees over its three-day run at the Melbourne Convention and Exhibition Centre. The event once again cemented its status as the Southern Hemisphere’s largest and most influential coffee trade show, drawing café owners, roasters, hospitality professionals, and coffee lovers from across Australia and the globe.

From cutting-edge coffee equipment and technology to the latest brewing trends and business innovations, MICE2025 served as a dynamic platform for industry professionals and enthusiasts alike. With more than 11,000 annual attendees typically expected, this year’s turnout marked a new milestone, highlighting the growing interest in specialty coffee and hospitality.

Exhibitors had the opportunity to connect with hundreds of potential clients, grow their networks, and showcase innovations shaping the future of the industry. The show floor buzzed with energy as visitors explored the latest products, attended live demonstrations, and engaged with thought leaders across the coffee value chain.

Building on this momentum, MICE will return from 26–28 March 2026, once again hosted at the Melbourne Convention and Exhibition Centre. With excitement already building, over 40% of the exhibition floor space has already been secured, reflecting the strong demand and anticipation for next year’s edition.

MICE2026 promises another groundbreaking event, offering unparalleled opportunities for businesses to grow, connect, and be at the forefront of coffee innovation.

On the remote island of Himeshima in southwestern Japan, home to just 1,700 residents, Australian John Widmer has become a local figure of interest — and not just because he’s reputedly the island’s only foreigner. He’s also the proud owner of Ozi Cafe, a colorful coffee shop he hopes will become a new destination for visitors.

Travelers arriving by ferry to the island in Oita Prefecture are met with the café’s eye-catching green and yellow facade, adorned with a cheerful hand-drawn caricature of Widmer himself, now 64 years old.

Widmer opened Ozi Cafe in May 2023, driven by a passion for quality coffee and a desire to bring a taste of home to Japan. Serving brews made from beans roasted and imported from Australia, the café quickly became popular among both locals and tourists.

“Customers were really surprised at how nice the coffee was,” Widmer said. “I give them a taste of the beans. If the bean tastes good, you’re going to get good coffee — that’s how I always choose coffee at home.”

Local businesses have seen a boost as well. Since Walk Japan Ltd., a company offering walking tours across the country, added Himeshima to its itinerary, more foreign visitors have been stopping by the café, helping put the small island on the map.

Originally from Sydney, Widmer was a competitive swimmer and ran a swim school in Australia for about 20 years. His connection to Japan — and to Oita, where his wife is from — eventually led the couple to relocate to Himeshima.

Despite initial challenges with language and cultural differences, Widmer has been warmly embraced by the local community. Beyond running his café, he also teaches swimming to elementary school students and is a member of a local volleyball club.

“We welcome new people bringing fresh ideas,” said Shiori Matsubara, a 63-year-old souvenir shop employee. “I hope the island keeps getting livelier.”

Robusta coffee prices climbed on Friday amid growing concerns over hot and dry weather conditions in Vietnam, the world’s largest producer of robusta beans. According to the Dak Lak weather office, the Central Highlands region is forecast to receive limited rainfall between March 21 and 31, raising fears of further crop stress.

On the Intercontinental Exchange (ICE), May robusta futures (RMK25) closed up $18, or 0.33%, while May arabica futures (KCK25) slipped 0.19%, or $0.75. The strength of the U.S. dollar, which reached a two-week high, weighed on most commodities, including arabica coffee.

Despite a slight increase in ICE-monitored robusta inventories, which rose to a six-week high of 4,360 lots, concerns persist over shrinking global production. In contrast, ICE-monitored arabica inventories declined to a one-month low of 777,708 bags.

In Brazil, insufficient rainfall continues to impact arabica crops. Somar Meteorologia reported only 30.8 mm of rain in Minas Gerais—the country’s key arabica-producing region—during the week ending March 15, just 71% of the historical average. Cooxupé, Brazil’s largest arabica cooperative, also noted that high temperatures and below-average rainfall in February are expected to reduce yields this year.

According to the Brazilian Coffee Exporters Council (Cecafé), Brazil’s green coffee exports dropped 12% year-over-year in February, totaling 3 million bags. Earlier forecasts by Conab, Brazil’s national crop agency, projected the 2025/26 coffee crop to fall by 4.4% year-over-year to 51.81 million bags, the lowest level in three years. The 2024 crop estimate was also revised downward by 1.1% to 54.2 million bags.

Meanwhile, Marex Solutions projected a growing global surplus, forecasting that the coffee surplus for the 2025/26 season will widen to 1.2 million bags, up from 200,000 bags in 2024/25.

Vietnam’s February coffee exports rose by 6.6% year-over-year to 169,000 metric tons, according to the General Statistics Office. However, the longer-term outlook remains tight. Drought conditions have already reduced Vietnam’s 2023/24 robusta crop by 20% to 1.472 million metric tons—the smallest harvest in four years. The USDA’s Foreign Agricultural Service (FAS) projects a slight decline in Vietnam’s robusta output to 27.9 million bags in 2024/25. The Vietnam Coffee and Cocoa Association recently cut its production forecast for 2024/25 to 26.5 million bags, down from a previous estimate of 28 million.

Globally, coffee export data presents a mixed picture. Brazil’s 2024 coffee exports rose by 28.8% to a record 50.5 million bags, according to Conab. However, the International Coffee Organization (ICO) reported that global exports in December dropped by 12.4% year-over-year to 10.73 million bags, with total exports for Q4 2024 falling 0.8% to 32.25 million bags.

The USDA’s latest biannual report forecasts a 4.0% increase in global coffee production in 2024/25, reaching 174.86 million bags. Arabica output is expected to rise by 1.5% to 97.85 million bags, while robusta production is projected to increase by 7.5% to 77.01 million bags. Despite the production rise, ending stocks are forecast to fall by 6.6% to 20.87 million bags—the lowest level in 25 years.

In a separate report, Volcafe cut its estimate for Brazil’s 2025/26 arabica crop to 34.4 million bags, down 11 million from its September forecast, citing the impact of prolonged drought. The firm now projects a global arabica deficit of 8.5 million bags for the 2025/26 season—widening from the 5.5 million deficit expected in 2024/25 and marking the fifth consecutive annual shortfall.

China exported coffee worth $1.1 million to Russia in January and February of 2025, marking a nearly twelvefold increase compared to the same period last year, when shipments totaled just $91,700. This data was published by China’s General Administration of Customs and highlights a growing momentum in the coffee trade between the two countries.

Although China has long been associated with tea, the country is increasingly making a name for itself as a coffee producer. The southwestern province of Yunnan has become the center of Chinese coffee cultivation, with its high-altitude terrain producing Arabica beans known for their balanced body, mild acidity, and fruity notes. Improvements in quality and scaling of production have allowed China to expand its coffee exports and find growing demand in international markets.

In the first two months of 2025, China exported coffee to 36 countries. The leading destinations included the Netherlands ($8.9 million), Germany ($4.3 million), Japan ($2.9 million), France ($1.2 million), and Russia ($1.1 million). This positions Russia among China’s top five coffee export markets during the period, a notable shift considering its previously minor role in China’s coffee trade.

For the full year of 2024, Russia imported $13.6 million worth of coffee from China, a 6.3% increase compared to 2023. While Chinese coffee still represents a small portion of Russia’s overall coffee imports—traditionally dominated by Brazil, Vietnam, and Indonesia—the sharp growth reflects increasing interest from Russian roasters and importers seeking new origins and supply alternatives amid shifting geopolitical and logistical realities.

Meanwhile, China’s tea exports to Russia declined by 12.6% during January–February 2025, totaling $6.9 million, compared to $7.9 million in the same period a year earlier. However, for the full year 2024, tea imports from China to Russia reached $58.7 million, an increase of 8.3% year-over-year.

Globally, China exported tea to 98 countries during the first two months of 2025. Key importers included Morocco ($47.9 million), Ghana ($17.5 million), Senegal ($11.8 million), Mauritania ($9.5 million), and Malaysia ($15.7 million).

China’s rise as a coffee exporter, particularly to Russia, signals a deeper structural change in global coffee trade dynamics. Once seen solely as a tea powerhouse, China is now carving a niche in the specialty coffee segment. With improving quality and competitive pricing, Chinese coffee is increasingly being adopted by roasters looking to diversify their offerings with new flavor profiles and origins. If current trends continue, China may soon emerge as a stable and recognizable origin in Russia’s evolving coffee landscape.

Coffee futures were mostly lower today as a stronger U.S. dollar pressured commodity markets. May arabica coffee (KCK25) fell by 4.50 cents (-1.15%), while May ICE robusta coffee (RMK25) remained flat.

The U.S. dollar index climbed to a two-week high, weighing on coffee prices. However, robusta losses were limited due to weather concerns in Vietnam. The Dak Lak weather office reported that the Central Highlands, Vietnam’s main coffee-producing region, will likely see hotter temperatures and reduced rainfall through the end of March. Vietnam is the world’s top robusta producer.

Robusta inventories are on the rise, adding bearish pressure. ICE-monitored robusta stocks climbed to a six-week high of 4,360 lots. In contrast, arabica inventories fell to a one-month low of 782,489 bags.

In Brazil, insufficient rainfall is creating bullish sentiment for arabica. Somar Meteorologia reported that Minas Gerais—Brazil’s largest arabica-producing area—received just 30.8 mm of rain in the week ending March 15, only 71% of the historical average. Cooxupé, Brazil’s largest arabica cooperative, warned that high temperatures and dry weather last month may impact yields negatively this year.

Brazil’s February green coffee exports also declined 12% year-on-year to 3 million bags, according to Cecafe. Additionally, Brazil’s crop agency Conab projected that the 2025/26 coffee crop will fall 4.4% year-on-year to a three-year low of 51.81 million bags. It also revised the 2024 crop estimate down by 1.1% to 54.2 million bags.

Despite current supply concerns, bearish forecasts are emerging. Marex Solutions expects the global coffee surplus to widen to 1.2 million bags in the 2025/26 season, up from 200,000 bags in 2024/25.

Additional pressure on robusta prices came from Vietnam’s General Statistics Office, which reported a 6.6% year-on-year rise in February coffee exports, reaching 169,000 metric tons.

Dry conditions caused by last year’s El Niño continue to affect coffee production in South and Central America. Brazil is experiencing its driest period since 1981, according to disaster monitoring center Cemaden, threatening flowering stages of arabica crops. Colombia, the second-largest arabica producer, is still recovering from last year’s drought.

In Vietnam, drought slashed 2023/24 robusta production by 20% to 1.472 million metric tons—the smallest crop in four years. The USDA’s FAS estimates Vietnam’s 2024/25 robusta output will decline slightly to 27.9 million bags, down from 28 million bags. Meanwhile, the Vietnam Coffee and Cocoa Association revised its 2024/25 production forecast down to 26.5 million bags from a previous 28 million.

While Brazil’s coffee exports reached a record 50.5 million bags in 2024 (up 28.8% year-on-year), the International Coffee Organization (ICO) reported a 12.4% year-on-year decline in December global coffee exports, and a 0.8% decline for the October–December quarter.

The USDA’s December biannual report offered mixed implications. Global production for 2024/25 is projected to rise by 4% to 174.86 million bags, including a 1.5% rise in arabica and 7.5% in robusta. However, global ending stocks are expected to fall by 6.6% to a 25-year low of 20.87 million bags.

Brazil’s 2024/25 production is forecast at 66.4 million metric tons, down from a previous 69.9 million. Ending stocks in Brazil are projected at 1.2 million bags, a 26% year-on-year drop.

Volcafe recently downgraded its 2025/26 Brazil arabica production forecast to 34.4 million bags—a reduction of 11 million bags from September—following a crop tour that revealed severe drought damage. The trader now expects a global arabica deficit of 8.5 million bags in 2025/26, up from 5.5 million in 2024/25. If accurate, this would mark the fifth consecutive year of arabica deficits.