SOFTS-Robusta coffee consolidates, focus on harvest delays

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Adds comment, price update

LONDON, November 4 (Reuters)Robusta coffee futures on ICE stood just below a recent 4.5-year peak on Thursday, supported by the short-term supply tightening over concerns over harvest delays at the main producer of robusta, Vietnam.

COFFEE

* January robusta coffee LRCc2 was down 0.1% to $ 2,229 a tonne at 1331 GMT. The second benchmark position hit a 4.5 year high at $ 2,278 last week.

* Dealers have said the COVID-19 pandemic is disrupting harvest in Vietnam, with some cherry pickers contracting the virus while others are self-isolating after coming into contact with those infected.

* New beans were due to arrive by the second half of November and traders felt that with the current labor shortage and travel restrictions between provinces, harvest time could be delayed by at least a week.

* Premium from November to March LRC-1 = R widened to around $ 90, up sharply from $ 26 at Wednesday’s close.

* There are also concerns that the flow of coffee from Vietnam may be slowed down by high freight costs and a shortage of container shipping capacity.

* Arabica coffee in December KCc1 rose 0.2% to $ 2.0965 a pound.

* Commodity traders including Louis Dreyfus, Olam and Volcafe are pursuing legal actions against hundreds of Brazilian coffee growers whose failure to meet agreed sales has left traders exposed to losses, sources and officials say. documents viewed by Reuters.

COCOA

* March New York cocoa CCc2 rose 0.1% to $ 2,475 a tonne after plunging Wednesday to its lowest level since Aug. 6 to $ 2,460.

* Concessionaires said supplies remain sufficient, with production prospects for 2021/22 in the main producer in Côte d’Ivoire remaining generally favorable.

* March London cocoa LCCc2 fell 0.1% to 1,679 pounds per ton.

SUGAR

* Mars raw sugar SBc1 rose 1.75% to 19.72 cents per pound.

* Dealers said the market was supported by the strength of crude oil on Thursday. Cane can be used to produce ethanol or sugar as a biofuel in some countries, so high energy prices can reduce the production of the sweetener. WHERE

* December white sugar LSUc1 rose 0.7% to $ 509.70 per tonne.

(Report by Nigel Hunt edited by David Goodman and Mark Potter)

(([email protected]; +44 (0) 7990 561421; Reuters messaging: [email protected] ))

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


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